Trade Before Your Investment Essence Course.
Learn to place an order before practicing.
In addition to the two basic order types explained in the video, papertrade currently supports stop limit orders and stop market orders. Below, we summarize the key points of these order types:
(1) Limit Order: You have control over the execution price, and the final purchase price will be lower or higher than the price you set. However, you need to wait for matching, and there may be a delay in execution time.
(2) Market Order: Executes at the market price, with fast execution speed. However, the price fluctuates greatly and is uncontrollable.
(3) Stop Order (including limit and market):
After buying stocks, if you are worried about a significant price drop and want to minimize losses, you can consider setting a stop sell order.
After short selling stocks, if you are concerned about a significant price increase and want to minimize losses, you can consider setting a stop buy order.
If you do not hold any positions, but predict that a stock will significantly increase (or decrease), you can also submit a stop buy (or sell) order.
When placing an order, you need to set a trigger price. When the market price reaches this trigger price, the system will automatically submit a stop order.
