About This Chapter
Trading Orders & Strategies - Chapter Summary
Study this chapter to ensure you have a quality understanding of trading orders and strategies. Lessons created by top instructors go over bid prices, trade capacity, the meaning of trading orders and more. By the end of this chapter, you could be able to:
- List and describe types of trade orders
- Differentiate between a bid price and ask price
- Provide descriptions of principal trading and agency trading
- Identify and discuss types of trading strategies
This chapter features a self-paced format that allows you to determine when to study and how to navigate the learning materials. Select any lesson as your first, explore the others in any sequence, and take accompanying quizzes whenever you choose to confirm your understanding. If you need to study on the go, take advantage of mobile features that let you access materials on your tablet or smartphone. When ready, gauge your grasp of the entire chapter by taking our practice test.
1. Trade Orders: Definition & Types
So you've decided to trade stocks...now what? In this lesson we will identify and describe the different types of trade orders: market, limit and stop. The one you choose will depend on the investors goals and objectives.
2. Bid Price vs. Ask Price
In this lesson we explain how the bid price and ask price that appear in stock quotes works as well as the reason for the difference in these two prices.
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Other chapters within the SIE Exam Study Guide course
- Federal Laws & Regulations in the Securities Industry
- Regulatory Entities & Agencies
- Market Participants & Structure
- Federal Reserve & Market Impacts
- Economic Factors
- Offerings in the Securities Industry
- Equity Securities
- Debt Instruments
- Options in the Financial Industry
- Investment Companies & Packaged Products
- Municipal Fund Securities
- DPPs, REITs & Hedge Funds
- Exchange-Traded Products (ETPs)
- Overview of Investment Risks
- Investment Returns & Trade Settlement
- Corporate Actions
- Customer Account Types & Registrations
- Anti-Money Laundering (AML)
- Books, Records & Privacy in Finance
- Public Communications & Suitability Requirements
- Prohibited Activities in the Financial Industry
- Regulatory Framework in the Security Industry