Add training workflow, datasets, and runbook
This commit is contained in:
@@ -0,0 +1,37 @@
|
||||
Cl,apter 1: Definitions 33
|
||||
Market Not Held Order. The customer who uses this type of order is giv
|
||||
ing the floor broker discretion in executing the order. The floor broker is not
|
||||
held responsible for the final outcome. For example, if a floor broker has a "mar
|
||||
ket not held" order to buy, and he feels that the stock will "downtick" (decline
|
||||
in price) or that there is a surplus of sellers in the crowd, he may often hold off
|
||||
on the execution of the buy order, figuring that the price will decline shortly and
|
||||
that the order can then be executed at a more favorable price. In essence, the
|
||||
customer is giving the floor broker the right to use some judgment regarding the
|
||||
execution of the order. If the floor broker has an opinion and that opinion is cor
|
||||
rect, the customer will probably receive a better price than if he had used a reg
|
||||
ular market order. If the broker's opinion is wrong, however, the price of the
|
||||
execution may be worse than a regular market order.
|
||||
Limit Order. The limit order is an order to buy or to sell at a specified price
|
||||
- the limit. It may be executed at a better price than the limit - a lower one for
|
||||
buyers and a higher one for sellers. However, if the limit is never reached, the
|
||||
order may never be executed.
|
||||
Sometimes a limit order may specify a discretionary margin for the floor broker.
|
||||
In other words, the order may read "Buy at 5 with dime discretion." This instruction
|
||||
enables the floor broker to execute the order at 5.10 if he feels that the market will
|
||||
never reach 5. Under no circumstances, however, can the order be executed at a
|
||||
price higher than 5.10. Other orders may or may not be accepted·on some option
|
||||
exchanges.
|
||||
Stop Order. This order is not always valid on all option exchanges. A stop
|
||||
order becomes a market order when the security trades at or through the price
|
||||
specified on the order. Buy stop orders are placed above the current market
|
||||
price, and sell stop orders are entered below the current market price. Such
|
||||
orders are used to either limit loss or protect a profit. For example, if a holder's
|
||||
option is selling for 3, a sell stop order for 2 is activated if the market drops
|
||||
down below the 2 level, whereupon the floor broker would execute the order as
|
||||
soon as possible. The customer, however, is not guaranteed that the trade will be
|
||||
exactly at 2.
|
||||
Stop-Limit Order. This order becomes a limit order when the specified price
|
||||
is reached. Whereas the stop order has to be executed as soon as the stop price
|
||||
is reached, the stop-limit may or may not be filled, depending on market behav
|
||||
ior. For instance, if the option is trading at 3 while a stop-limit order is placed
|
||||
at a price of 2, the floor broker may not be able to get a trade exactly at 2. If the
|
||||
Reference in New Issue
Block a user