Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Strategies & Market Trends : The Residential Real Estate Crash Index -- Ignore unavailable to you. Want to Upgrade?

To: Perspective who wrote (148125)	9/19/2008 2:33:58 PM
From: GraceZ	Respond to of 306849

It always comes down to the problem of do you put it near or far. If you put it near you risk getting shaken out on wiggles, but your loss is small. If you put it far away you risk being the poor schmuck who ends up with the worst fill of the day and locks in a terrible loss. The market has a way of discovering just where the most stop orders reside. Of course, in a fast moving market with overwhelming volume you can't always avoid these kinds of bad fills. I remember one of my worst days back in the tech bubble, trying to trade with a slow online interface where the time lag between my order and the fill was long enough for me to end up long at the HOD as well as short at the LOD in the same issue when I tried to sell it and cut my losses. I got them to match up the shares with a phone call but the fills on both were ridiculously far away from what I was seeing quoted. I think I used nothing but limit orders for two years after that!