Cooper:
It is important for you to understand that there is no such thing as a true stop order of any kind on the Nasdaq. As I'm sure you know, the Nasdaq is a dealer driven market, not an auction driven market like the NYSE and AMEX. While the Executioner DOES allow buy and sell stops on all listed stocks (NYSE and AMEX), it simply can't do stops on the Nasdaq. No one can. Now I know that certain firms do advertise stops on the Nasdaq, but this is really not true. This only means that the broker dealer you are dealing with is SELLING order flow. In other words, they are selling your order to a market maker, and he in turn is executing your order, in most cases to HIS advantage. This is not ideal for the serious trader who knows that his order in the hands of someone who is really deemed the enemy (trading is war between market makers, exchanges and other traders) is counter productive. Remember, the Executioner (www.executioner.com) provides you with the same access to the market the professional market makers have. And, Cooper, market makers don't have stops either. This is a question you must ask yourself. If the very top notch pros in this business don't use stops, why should I use them? Stops were designed for the public, and the public is considered to be sheep by the pros (market makers). If stops were so advantageous, all the high level market players would use them. I know of none that do. I hope this helps.
Oliver L. Velez |
