4 Trades You Can Make With Help Of Your Broker

The manner in which trading has progressed over the last few years is something that could never have never been foreseen several years ago. Back then, trading was something of an art, and there were only a select few individuals in the world (usually based in the big cities) who could truly make it work.

Nowadays, this has turned on its head. Sure, it would be a gross exaggeration to say that the “brains” element of trading has been taken away. However, through the likes of the MT4 Multiterminal, it has certainly become easier for traders to manage their stocks and ultimately turn a profit.

One of the areas which we are looking at today focuses around trades you can make if you decide to use a broker. For a whole host of reasons, a lot of traders opt for the broker approach. Today’s guide will now look at some of the types of trades that these brokers can help you with, and allow you to profit from.

Limit orders

Considering the nature of this article is targeted at beginner traders, this is probably one of the most popular types of trades open to this category.

In short, if you opt for a limit order, you are in complete control of the price you are paying for stock. You set the minimum and maximum levels, and it is never going to break these areas.

Of course, there’s a difference between setting these levels and buying from them. Unfortunately, even armed with a stock broker, you might still not be able to execute a purchase or sale at these rates if nothing comes available.

Market orders

Next on the list are market orders, which differ somewhat in relation to the above. The difference is the fact that you will pay market rate – so there’s much more risk involved here. Nevertheless, they are popular, for the simple reason that they are instant and allow you to pick up shares very quickly.

Good-till-Cancelled orders

This is one of the interesting types of stock, and means that the order remains open until you cancel it, 60 days have passed, or the stock has been bought at your required price. This is in contrast to most of the stocks we have looked at, which tend to be given an expiration date.

All-or-None orders

Finally, an all-or-none order occurs when you buy a decent amount of a company’s stock. A lot of the time, you are not allowed to do this in one fell swoop, as there’s too much chance of it moving the market.

However, there can sometimes be the possibility to do an all-or-none trade. This is an instruction to your broker that unless you can buy all of the stock at once, and not in separate parts, you won’t buy any of it.

As you might expect, there are plenty of caveats here which mean it’s nowhere near as popular as the first two types we looked at today.

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About Dequiana Jackson

Dequiana Jackson, CEO of Inspired Marketing, Inc., is a small business marketing coach who shows women entrepreneurs how to use solid marketing strategies to turn their life’s passion into a profitable, service-based business. Dequiana is the author of Know Your Business: How to Attract Ideal Clients & Sell More and runs the award-winning blog, Entrepreneur-Resources.net.

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