Opening Prices?

[Guest JoeSoap]

Hi,

Apologies if this has been answered before or if I am just not getting it!

So over the last couple days I've set specific orders before the market opens.

Example:

Yesterday I set a buy order for RACE, 10 mins before the market opened as follows BUY Price Level 16450, Stop 400 Points Away, Limit 800 points.  But once the market opened, it bought in at 17181, lucky I was able to get out at 17261.

Can someone tell me what went wrong here? This is the second time in 3 days this has happened. If I wanted to buy in at market price I would just wait until the market opened. 

This was using the spreadbetting platform.

Any advice would be greatly appreciated. 

Thanks.

17181

17261

[CharlotteIG]

7 minutes ago, JoeSoap said:

Hi,

Apologies if this has been answered before or if I am just not getting it!

So over the last couple days I've set specific orders before the market opens.

Example:

Yesterday I set a buy order for RACE, 10 mins before the market opened as follows BUY Price Level 16450, Stop 400 Points Away, Limit 800 points.  But once the market opened, it bought in at 17181, lucky I was able to get out at 17261.

Can someone tell me what went wrong here? This is the second time in 3 days this has happened. If I wanted to buy in at market price I would just wait until the market opened. 

This was using the spreadbetting platform.

Any advice would be greatly appreciated. 

Thanks.

17181

17261

Hey @JoeSoap

It's no problem. Best to have it answer specifically to your question, otherwise it may not make sense. 

We only offer two types of orders to open. One is the limit order which is buying at a more favorable level (lower than the closing price for the market). These will only open you up at the price you select or better (lower than the trigger price in this incident). If the market opens up though, this will not get triggered.

 

If you were wanting to buy at a higher price than the market closing price because you believed the market will open up then it's a stop order, which can be subject to negative slippage. You must have placed a stop order which means you can get filled at a worse price. There's no way to guarantee the open price, we will fill you at the price you select or the next available price. 

 

If you have any other questions let me know.  

[Guest JoeSoap]

Thanks for the reply Charlotte,

 

So just to clear it up, if I set an order that is above the previous day's close it will kick in as a stop order? 

For a limit order I need to set my price below the previous day's close?

Thanks again. 

 

 

[CharlotteIG]

@JoeSoapIf you're buying then yes an order above the market price is a stop order. Meaning you can be opened higher than your level. 

If you're buying below the closing price this is a limit day order. You will only be opened at the price you selected or lower. However, do note if the market opens up and does not drop to the price you selected the order will not be triggered. 

 

It would be the other way round when selling. So trigger level above the market price is a stop order and a trigger level below the market price is a stop order. 

No problem, @ me in anything if you need me. 

[Guest JoeSoap]

Awesome. Thanks for clearing that up Charlotte.

 

[CharlotteIG]

7 minutes ago, JoeSoap said:

Awesome. Thanks for clearing that up Charlotte.

 

No problem at all