What is a Stock Order? A Trading Day Concept


What is an Order?

When an investor wants to trade a stock she will often give a trader specific instructions to trade that stock on her behalf. These instructions are called an Order.

An order will include the direction, such as buy or sell, the specific stock and # of shares to trade. It will also include any restrictions, such as a price or time limit. As soon as all conditions of the order are met, the trader will execute the trade on behalf of the investor. However, the more restrictions, the harder it will be for the trader to execute the trade.

Remember, an order is specific trading instructions that you want a trader to follow on your behalf. Just make sure the instructions are realistic. Or you will end up with a lot of unexecuted trades.

Have fun trading stocks by playing Trading Day, our free stock market game.

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