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View Full Version : What the F--- ? Could This Really Be?

ttibsen
10-12-2009, 02:56 PM
Assume that I bought 100 shares of Moose Pasture Mines @ 5 on the Toronto Stock Exchange. Further assume that MPM is not a heavily traded stock. I want to limit my losses on MPM to a dollar so I set the following order

Sell Stop MPM @ 4

I have just learned to my utter disbelief and amazement that if MPM trades down to and lower than 4, my order will only go through at 4 so that if there isn't a buyer for my 100 shares @ 4 exactly, my Stop order will remain unfilled even though the trading has gone below the 4 dollar level. Could this possibly be true? If so, what kind of protection do you have for stocks that don't have heavy trading?

John
trent
10-14-2009, 04:48 PM
Assume that I bought 100 shares of Moose Pasture Mines @ 5 on the Toronto Stock Exchange. Further assume that MPM is not a heavily traded stock. I want to limit my losses on MPM to a dollar so I set the following order

Sell Stop MPM @ 4

I have just learned to my utter disbelief and amazement that if MPM trades down to and lower than 4, my order will only go through at 4 so that if there isn't a buyer for my 100 shares @ 4 exactly, my Stop order will remain unfilled even though the trading has gone below the 4 dollar level. Could this possibly be true? If so, what kind of protection do you have for stocks that don't have heavy trading?

John

Which discount brokerage are you using?
ttibsen
10-17-2009, 04:34 PM
I use QuesTrade and while we are on the subject of online brokers do you know whether any of them offer the ability to place 2 simultaneous orders -

one - a protective stop sell order to limit your losses

the other - a limit sell order to lock in profits

This way, you could enter a trade and go on vacation, knowing that you will either be stopped out at a loss or you will have exited your trade with a profit. As far as I know, QuesTrade only accepts one order at a time which certainly makes things a lot more difficult than they have to be.

John
trent
10-22-2009, 04:43 PM
I'll check if you can do that with RBC Direct Investing and I'll let you know.