How is a market if touched order useful to me?
A market if touched(MIT) order is typically used to buy when the price of a stock is falling or to sell when a stock is rising. This order can be considered an alternative to limit orders when fractional orders are desired.However, since the MIT order initiates as a market order if and when a specified price level is touched, there is no guarantee of the price at which it would be executed.
Related Articles
What is Market if Touched order?
A market if touched (MIT) order is an instruction to buy or sell a stock when a specified price, the order was placed at, is touched, even if it does so very briefly. When the price hits the level specified in the market if touched order, it turns ...
How is a market if touched order different from a Limit order?
A limit order guarantees that an order is filled at a specified price level. However, there is no guarantee that it would get executed. Additionally, a limit order only allows for the whole quantity of shares to be bought or sold.A Market if Touched ...
Are there any risks associated with placing a market if touched order?
The Market if touched (MIT) orders are executed as market orders and hence get executed at the market price at that point. Hence the price at which the orderis executed may be higher or lower than the expected or specified price.
What is a stop order?
A stop order, also referred to as a stop-loss order, is an order to buy or sell a stock once the price of the stock reaches a specified price, known as the stop price. When the stop price is reached, a stop order becomes a market order.A buy stop ...
Can extended hours trade orders be placed during market hours?
Yes. An extended hours trade order can be placed at any hour of the day by following the steps mentioned on the linkhere. The orders can get executed during pre-market hours, market hours, or post-market hours Pre-Market hours: 04:00 AM EST 09:30 AM ...