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Market order

A market order buys or sells straight away at the best price available, trading certainty of filling for certainty of price.

In a fast or thin market, a market order can fill at a worse price than the last quote, which is called slippage.

Related terms

  • Limit order: A limit order buys or sells only at a set price or better, so you control the price but it may never fill.
  • Slippage: Slippage is the difference between the price you expected and the price you actually got on a trade.
  • Bid-ask spread: The bid is the highest price a buyer will pay right now, the ask is the lowest price a seller will accept, and the spread is the gap between them.

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