ShmoopTube

Where Monty Python meets your 10th grade teacher.

Search Thousands of Shmoop Videos


Charts Videos 93 videos

Finance: What is Devaluation?
1 Views

What is Devaluation? The process by which a nation deliberately lowers the value of its currency relative to other international currencies is call...

Finance: What is a secular trend?
13 Views

A secular trend is something that changes over time, but is not necessarily an element in a repeated, continuing cycle.

Finance: What is the Advance Decline Ratio?
14 Views

What is the Advance Decline Ratio? The advance decline ratio is used to determine how the market performed on a given day. It does this by comparin...

See All

Finance: What are Limit Order, Sell Limit and Stop Limit? 7 Views


Share It!


Description:

What is a limit order, and how can we be sure we never have one of those in place when we go to a doughnut shop?

Language:
English Language

Transcript

00:00

Finance a la shmoop what is a limit order? you want to sell a thousand shares

00:07

of Colonel electric it was demoted after they cut their dividend the shares have [Scissors cuts dividend in half]

00:13

been trading wildly between $15 and $25 a share you don't want to feel like a

00:19

moron for having sold them at fifteen bucks when six weeks later they kissed

00:24

25 with tongue so what do you do well you put in a limit order that is you put

00:30

a limit of a minimum price of 25 bucks a share for Colonel Electric such that [Pile of stocks appear]

00:36

those shares will simply sit in your account unsold maybe forever until

00:41

somebody out in the wild blue yonder of Stockland is willing to pay twenty five [Woman standing at a colonel electric stand]

00:47

dollars or more for the shares where you have a minimum price limit of 25 bucks a

00:52

share in your order so here's to hoping they sell and don't get further demoted [Man carries stock into car]

00:57

Sargent Electric is just a place you don't want to go

Related Videos

GED Social Studies 1.1 Civics and Government
39794 Views

GED Social Studies 1.1 Civics and Government

Fake News
11938 Views

How do you tell fake news from real news?

Finance: What is Bankruptcy?
260 Views

What is bankruptcy? Deadbeats who can't pay their bills declare bankruptcy. Either they borrowed too much money, or the business fell apart. They t...

Finance: What is a Dividend?
1777 Views

What's a dividend? At will, the board of directors can pay a dividend on common stock. Usually, that payout is some percentage less than 100 of ear...

Finance: How Are Risks and Rewards Related?
589 Views

How are risk and reward related? Take more risk, expect more reward. A lottery ticket might be worth a billion dollars, but if the odds are one in...