HI,
What does end of day means on a Sunday for a limit order ? End of Monday ?
Yes, the end of Monday.
Ok I placed an order for Barclays at limit on Sunday at 80.40.
Order didn’t fire as price jumped +4% on opening…I’m used to crypto markets where things are open 24/7 so I guess there isn’t a backlog of orders to fill whilst the price changes…
So what is the strategy for limit orders placed when the market is closed ?
Is the limit price(buy) the best price I’m happy to pay and orders will fire even if the price is lower ? Or will they only execute if price is the same as the limit?
Just trying to understand how I can place a limit successfully over the weekend…avoiding market orders…
basically I guess by the time my order gets looked at so many other orders have executed in all the exchanges and price would have changed already…all of this in microseconds…is like opening flood gates at the speed of light ?
Limit Buy order is awsome tool for automation of investing. Especially for catching good price when high volatility and /or big drops.
Limit Sell would be triggered in this scenario and you would probably get best price of 85p for example Barclay’s.
I personally don’t buy on green days, esp when I see pre market/futures up 5%. Usually on beginning everything shoots up. Risk of getting very bad price(short term).
I use limit buys to put 5% drops on current value, or fair value of stocks. Or If I see futures -4-5% to catch best price at open…
Anyway I am puzzled why didn’t you buy the stock on Friday for the price you set now? 
Well because I basically just started. Where do you look for futures charts ? here ?
Can I ask if Limit buy will buy at best price up to the limit I’ve set ? Or will it trigger only if the price is EQUAL to the one I’ve set ?
Again Limit buy is set below current price, I don’t see point of limit buy at current price or above…
It will trigger at price level, give you best available price. If you have stock at 80p, you set limit buy at 75p.
Market opens stock drops to 60p, Limit buy triggers, very likely you will get the stock for 60p. Meaning you got better deal.than planned for.
Ok let’s just for sake of speaking say I do a limit buy at 77 and stock is at 76 over the weekend.
If it shoots up on market opening shouldn’t my buy be executed ? Because that is what I’d expect…I want to be able to set a buy at a certain price so I know that it will trigger up to a certain point… and not get an uncertain price like a Market order.
Thanks!
I don’t understand. You want to set buy order to higher value then current price? Do you want to invest or trade? Because if you want to trade you can go CFD account, it is open almost 24 h…
Maybe someone else can understand your logic, but for invest purposes, you set limit buy lower then current price. If you wanted to buy stock on Monday current price , you could have bought it on Friday.
I understand your point and confusion but I want to invest getting in at the point I want. So that is why I am puzzled. If I set a limit buy order for 76 and the stock is at 75 I’d expect to get in(buy). it should allow me to get in below or at 76…instead what I got is that at market open I get completely ignored…so I wanted to ask if is normal since there is backlog of orders before mine ?
Dropbrick, you seem to misunderstand how limit orders function. limit orders are not for buying above your current position, rather they are for setting buys at a specific value that is lower than the current market, and for selling higher than the current market. not the other way around.
if you set a limit order for 77 and the market jumps up past that over the weekend, say to 79 or 80, your order will not trigger because it can no longer get you that price. limit orders work by only triggering when it can get you the price or better from available offers in the market, once the price rises to 79 or 80, there are no longer any offers of 77 available for your limit order to trigger at. your hypothetical is asking to buy the price or worse.
please watch the tutorial videos on Trading 212’s youtube channel.
1 Like
If price goes up above your price in pre market then yes your price is ignored.
if the price is at 76 why even bother making a limit order for 77? you might as well make the limit order for 75 to catch any moments where you might get the shares cheaper, otherwise use market orders to open a position immediately at 76
And the below is my point. Why if I deliberately set it “wrong” it didn’t buy ? I wanted to get in on a stock and I set the limit buy on purpose price higher than the current price to make it will buy it 100% but the market jumped so quickly that the order didn’t fulfil.
So my question was: is it possible that by the time the platform processes the backlog of orders of the weekend, and get to my order, the price would have jumped over the limit I’ve set ?
========================================================================
if the price is at 76 why even bother making a limit order for 77? you might as well make the limit order for 75 to catch any moments where you might get the shares cheaper, otherwise use market orders to open a position immediately at 76
But you don’t know the price will open at 76. If you have a market order and the price jumps to 90 on the open, you may be paying more than you wanted.
You need to google terms pre market. Reason why the price “jumped” was that it was already at the 85p level before market opens. The graph shows like it was traveling from 80 to 85p but in reality it was 85p on open, thus if you set 81p or whatever wouldnt not trigger as it was above your maximum price… thus you need to look at premarket price. You can check this in cfd platform of t212 as well…
Thanks all! More reading to do.
Thanks @Vedran. I’ve asked a further question here: Sunday trading of stocks?
if you could help…