Newbie Question

🤝 Help
1

Hi All,

I’m new to trading and doing ok, at it about 3 weeks on INV account. 1k initially and up 15% overall.

One thing I can’t work out are the stocks with a P in front.

For example:

I bought into Superdry this morning at P119 and the shares increased 34% today to P174, however it’s offering me to sell at 121. Also showing as a 4% loss for the day on the stock?
As I said I’m knew so probably missing something obvious. Can anyone help explain?

Thanks Declan

2

Those are stocks with the share price in Sterling Pence. p100 should be equal to GBP 1. In stead of p you can see also GBX on other platforms.

3

Thanks

I still don’t understand if I bought my stock at 119p and it’s at 174p why it’s showing a loss of 6% on day and offering to sell at 121p.

4

Superdry is the stock

5

@Declan1979 Stocks have both bid (sell) & ask (buy) prices. When you want to buy a stock, you should look at the buy price, while if you wish to sell, you’ll need the sell price.

Our charts by default show only the ask price, that’s why you’re seeing p174 yet you’re at a loss because the app’s offering p121 (sell price).

Such spreads are quite unusual & if you were to place a buy trade, the execution would likely be at a price far better than p174.
Our current chart prices for less liquid, small-cap securities such as this one (91 million market cap) aren’t the best, that’s why you’re seeing these discrepancies.

Nonetheless, we’re switching data providers in about a week so this won’t be an issue much longer.

1 Like
6

Thanks David

Kind of makes sense but getting an offer of 121 Tm to sell when stock increased by 34% today seems really low.

7

Sell price is now down to 112 yet stock at 174, I bought at 119.

I would have thought if I bought in at 119 and the stock increased 34% I would see a increase not a load of 6%.

8

@David

It would make sense to add sell price to every stock view, not just to stocks you own. It would make lot less confusion for people especially when spread is such as this one.

Not sure if the current solution is the best, as it is not as clearly visible to people, especially new to t212.

Why not simply have top price show both:

Buy/Sell

2 Likes
9

I agree. Just looked at other stocks and shows the sell but not the buy.

Surely if a stock increased by 34% in one day and you bought in at bottom price you should not be showing a loss of 6%.

This will most likely do my head in as it doesn’t make sense. Are 212 taking a cut?

Prob withdraw and close account

10

T212 isn’t taking a cut… Some stocks are less liquid then others, also at times of high volatility you can have greater spread between buy and sell.

I personally don’t venture into small caps, so I don’t face this problems.

Anyway David said t212 is in process if changing data provider and situations like this should be lot less frequent…

11

Thanks

I don’t follow god if I were to buy in now it would cost 174p but if I sold my stock it would be 119p, where’s the 34% diff going.

Is there anything I should look out for to prevent this is it revenues etc?

12

It just means not many sellers/buyers for this stock.

You are confused now with 34% gain, but if you seen bid/ask price when buying , you would also see that bid price was substantially lower then ask at time when you bought in.

So when you bought at p119, it is very likely that bid(sell) price was in range of p80-90, than when increased 34% the bid(sell) got to p112…

But as it was not visible to you, or you didnt look after buying, now it looks confusing.

1 Like
13

Thanks Vedran makes sense, so I’m effect on these smaller stocks you could be minus 10% - 20% dependent on sell price.

If that’s the case stocks should really have the current sell price displayed so you know what your getting into.