Sunday, May 29, 2016

Trading Account Update

     As previously stated on this blog, that I have started a trading account with a balance below $1000.00.   I started to add $50.00 every two weeks but that has stopped due to a recent job loss. 

     My last trade, I experienced a lost.  That is my second loss out of 15 trades.  I had set a stop limit order to sell 750 shares of BTO @ $2.45 a share.  Why a stop limit order and not a regular stop loss order? According to my broker, Canadian Exchanges do not allow stop loss orders in for form of market orders.  So at $2.45 the stop if executed, so you stop limit order becomes a limit order.  Since it was $2.45, that is the lowest price I am willing to sell the 750 shares.  The stock fell to $2.43 and then had to rise back up to have the stop limit order filled $2.45 or higher.

     The price of the stock could of kept falling more and the order would not have been filled.  This is a downside to the Canadian Markets. 

Note:  The trades are listed under the Trading Tab above with all the trades listed as of May 29, 2016

I am not a financial planner, financial advisor, accountant or tax attorney. The information on this blog represents my own thoughts and opinions and should NOT be taken as investment or business advice.

Every individual should do their due diligence to make their own financial decisions based on their financial situation and tolerance for risk.

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