anybody pls clarify my doubt regarding sl order

rajatheroyal · #1 26th July 2008, 12:11 AM

Hi friends,
i am using odin software for my trading.I know about sl order,but i have a doubt i would be happy if anybody helps me. my doubt is as follows
suppose i bought 100 share of abc company @ 150 on monday
the next day i hear some bad news about that stock and i expect a gap down opening on tuesday morning. Now how should i give a stop order to sell that 100 share of abc bought @ 150 at the opening market price(what ever the price may be) in order minimize my loss?
u may feel that i should place a stop loss order, but what should be my trigger price and what is the actual price to be given.
please any body illustrate assuming that the stock opens at 120 and goes down to 90 tuesday moring,how would have i put an order to sell at the opening price to minimize my loss?

deb99891 · #2 26th July 2008, 12:25 AM

price mkt n trigger last .05 paisa bellow LTP

rajatheroyal · #3 26th July 2008, 12:40 AM

Quote:

Originally Posted by deb99891

price mkt n trigger last .05 paisa bellow LTP

Dear friend
u are talking about stoploss limt order and i want to know about ordinary stop order.
in case of simple stop loss order,once the price on your limit is reached the order is executed at the prevailing market price.with the stop loss limit order, once the price of your limit is reached the order is executed at the price that is specified on the order.
i want to know how to give simle stop loss orders.
This is because in the above example if i give sl order only after opening of market say at 120, the price within seconds reaches to 110 it does not wait for me to give order. so i want to know how to give stoploss order to sell at the opening price that is @120 in order to minimize the loss.
hope you understand.

deb99891 · #4 26th July 2008, 12:48 AM

Quote:

Originally Posted by rajatheroyal

Dear friend
u are talking about stoploss limt order and i want to know about ordinary stop order.
in case of simple stop loss order,once the price on your limit is reached the order is executed at the prevailing market price.with the stop loss limit order, once the price of your limit is reached the order is executed at the price that is specified on the order.
i want to know how to give simle stop loss orders.
This is because in the above example if i give sl order only after opening of market say at 120, the price within seconds reaches to 110 it does not wait for me to give order. so i want to know how to give stoploss order to sell at the opening price that is @120 in order to minimize the loss.
hope you understand.

check with ur broker tat after market order is available?
if yes then just place a stop market order .
triggger price not an issue(say at 134.95 ) in gap down opening right?
regards

rajatheroyal · #5 26th July 2008, 12:52 AM

Thank you for ur instant reply

.i will ask my broker.

deb99891 · #6 26th July 2008, 12:56 AM

Quote:

Originally Posted by rajatheroyal

Thank you for ur instant reply

.i will ask my broker.

ur most welcome sir

regards

AW10 · #7 26th July 2008, 01:52 AM

Quote:

Originally Posted by rajatheroyal

Dear friend
u are talking about stoploss limt order and i want to know about ordinary stop order.
in case of simple stop loss order,once the price on your limit is reached the order is executed at the prevailing market price.with the stop loss limit order, once the price of your limit is reached the order is executed at the price that is specified on the order.
i want to know how to give simle stop loss orders.
This is because in the above example if i give sl order only after opening of market say at 120, the price within seconds reaches to 110 it does not wait for me to give order. so i want to know how to give stoploss order to sell at the opening price that is @120 in order to minimize the loss.
hope you understand.

If you just want to get out at any price, then place a limit order at lowest allowed price by offline ordersystem. Ex - Place a limit order to sell at 100 (some systems have inbuilt check to ensure that your entered price +/- x% of last traded price). Exchange will get you 100 or better price for SELL order when it reaches their computer..

For Stoploss Limit order, your stoploss price has to be traded before your order comes in the active queue. Till that time, your order stands on the side. For Limit order, it directly comes in the queue but with condition to not to get u price worse then that is mentioned in the order (in this case - 100). For each stock NSE has given the % price range for the day so that will help you in finding the worst possible price for next day.

Also check with your broker on how they exactly process after hour orders.

Hope this helps.
Happy Trading.

rajatheroyal · #8 26th July 2008, 02:03 AM

Quote:

Originally Posted by AW10

If you just want to get out at any price, then place a limit order at lowest allowed price by offline ordersystem. Ex - Place a limit order to sell at 100 (some systems have inbuilt check to ensure that your entered price +/- x% of last traded price). Exchange will get you 100 or better price for SELL order when it reaches their computer..

For Stoploss Limit order, your stoploss price has to be traded before your order comes in the active queue. Till that time, your order stands on the side. For Limit order, it directly comes in the queue but with condition to not to get u price worse then that is mentioned in the order (in this case - 100). For each stock NSE has given the % price range for the day so that will help you in finding the worst possible price for next day.

Also check with your broker on how they exactly process after hour orders.

Hope this helps.
Happy Trading.

Great reply

The Following User Says Thank You to deb99891 For This Useful Post:
rajatheroyal (27th July 2008)

The Following User Says Thank You to AW10 For This Useful Post:
rajatheroyal (27th July 2008)