Order: Financial Terms Related To Order
Order: Financial Terms Related To Order
Order: Financial Terms Related To Order
ORDER
At the opening order
• A conditional trading order that indicates a security may be purchased only at the
designated price or lower. Related: Sell limit order.
• An order to buy a security that is entered at a price above the current offering price
and that is triggered when the market price touches or goes through the buy stop
price.
Complex order
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Conditional order
Contingent order
Day order
• An order to buy or sell a security that automatically expires if not executed on the
day the order is placed.
• An order to buy or sell stock that automatically expires if it can't be executed on the
day it is entered.
• Is an order to trade securities, derivatives or futures which expires at the end of the
trading day for which it was entered.
• Is the New York Stock Exchange's computerized order entry system. It is also
known as DOT.
• Abbreviated EOQ. The order quantity that minimizes total inventory costs.
costs.
• A trading order that is canceled unless executed within a designated time period.
Related: open order.
Limit order
• An order placed with a broker to buy or sell at a price as good or better than the
specified limit price. Sometimes known as an Or Better Order.
Market order
• This is an order to immediately buy or sell a security at the current trading price.
Matching orders
• Simultaneously entering identical (or nearly identical) buy and sell orders for a
security to create the appearance of active trading in that security. This violates the
antifraud provisions of the Securities Exchange Act of 1934.
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• An individual investor can place an order to buy or sell a security. That open order
stays active until it is completed or the investor cancels it.
Open order
Or better order
Order
• Is the book of public orders held for execution by the Chicago Board Options
Exchange (CBOE).
Order costs
Orderly
Pecking order
• The argument that external financing transaction costs, especially those associated
with the problem of adverse selection, create a dynamic environment in which firms
have a preference, or pecking-order of preferred sources of financing, when all else
is equal. Internally generated funds are the most preferred, new debt is next, debt-
equity hybrids are next, and new equity is the least preferred source.
• Refers to an order placed with a syndicate prior to the winning of the municipal
issue by that syndicate. Often this order receives execution priority.
Principal orders
• Refers to activity by a broker/dealer when buying or selling for his or her own
account and risk.
Reorder point
• The point at which to reorder inventory, expressed as days of lead time ? daily
usage.
Resting order
order.
• Conditional trading order that indicates that a, security may be sold at the
designated price or higher. Related: buy limit order.
• An order placed with a broker to buy or sell at a specified price or better after a
given stop price has been reached or passed.
• An order placed with a broker to buy or sell when a certain price is reached;
designed to limit an investor's loss on a security position.
Stop order
• An order to sell a stock when its price falls to a particular point to limit an investor's
losses. See also: Stop-Loss; Stop-Limit Order.
• An order to buy or sell at the market when a definite price is reached, either above
(on a buy) or below (on a sell) the price that prevailed when the order was given.
Unrestricted order