Open Order
An open order is a type of financial transaction that allows an investor to buy or sell a security at a predetermined price. The order remains open until the investor decides to close it or until the price of the security reaches the predetermined price. Open orders are typically used by investors who are looking to take advantage of short-term price movements in the market.
History of Open Orders
Open orders have been used by investors since the early days of the stock market. In the past, investors would place open orders with their brokers, who would then execute the order when the price of the security reached the predetermined price. Today, open orders can be placed directly with online brokers, eliminating the need for a broker to execute the order.
Comparison of Open Orders
| Type of Order | Description |
|---|---|
| Market Order | An order to buy or sell a security at the current market price. |
| Limit Order | An order to buy or sell a security at a predetermined price. |
| Stop Order | An order to buy or sell a security when the price reaches a predetermined level. |
| Open Order | An order to buy or sell a security at a predetermined price that remains open until the investor decides to close it or until the price of the security reaches the predetermined price. |
Summary
Open orders are a type of financial transaction that allows an investor to buy or sell a security at a predetermined price. Open orders have been used by investors since the early days of the stock market and can be placed directly with online brokers. For more information about open orders, investors can visit websites such as Investopedia and The Balance.
See Also
- Market Order
- Limit Order
- Stop Order
- Day Order
- Good-Till-Canceled Order
- Fill-or-Kill Order
- All-or-None Order
- Immediate-or-Cancel Order
- Trailing Stop Order
- Scale Order
