Chapter 5
Getting It Done: How to Enter and Execute Trades
IN THIS CHAPTER
Understanding the different ways your broker can hold your shares
Differentiating between different types of orders
Knowing the potential rewards and risks of buying on margin
Appreciating the upsides and downsides to trading after hours
Using put and call options
Finding data about options
All the theory in the world about online investing won’t do you a bit of good if you can’t seal the deal and execute your trades. Trade execution is the process of logging on to your online broker and buying or selling investments. You might be wondering what’s so hard about buying a stock: Just log on to the online broker’s website and click the Buy button. And in some cases, you’re right. But sometimes you want to be more exacting. You have ways to tailor your buys and sells so that your broker carries out the transaction ...
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