Anonymous
Anonymous asked in Business & FinanceInvesting · 1 month ago

Day-trading question about placing buy/sell orders?

I am a beginner who started paper trading on thinkorswim today. I pretty much understand how to read charts, patterns, etc. but what I am having difficulty with are the buy/sell mechanics of daytrading orders. I may need someone to break this down to me on a kindergarden level lol

So let's say a stock's current offer price is $10. I get in with a buy limit order of 10 shares at $10.

Immediately after I place it, not even 1 second later, it gets filled and I don't profit.

This is where I am getting confused and hope someone can help me understand this. Correct me if I'm mistaken.... When you find a stock you want to day trade, you're placing two orders: A buy order to buy the stock at it's current offer price and a sell order to sell the stock after it hits a certain price and (hopefully) profit from that.

In other words: Buy 10 shares of $10 stock. That's one order. Put a second order to sell those 10 shares if stock reaches $10.50. Right?

Well based on what I'm experiencing, my buy order gets filled in a millisecond as soon as I place it so I don't understand what I am doing wrong?

2 Answers

Relevance
  • Anonymous
    1 month ago

    You need to RUN AS FAST AS YOU CAN away from day trading. 98% chance you will lose.

  • Anonymous
    1 month ago

    "my buy order gets filled in a millisecond as soon as I place it so I don't understand what I am doing wrong?"

    What's the problem?   You placed a buy order and it was executed promptly.

    ???

    To answer your other question...yes, a buy order is one order and a sell order is one order.   To buy and sell is two orders.

    If you think stocks going up by 5% is a normal daily occurrence, you are going to learn a few things over time. 

Still have questions? Get answers by asking now.