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Stop orders are stock exchange orders to buy or sell. They are executed when the price of a stock has reached a certain value previously set by the client

This service is especially aimed at experienced clients who like to invest in the stock market and are acquainted with how capital markets operate.

Main Advantages

  • Convenience - Extremely useful for investors who don't have the time to continuously track stock exchange price fluctuations.
  • Free service - You only need to pay for a regular stock order as per our Price List.
  • Security - By placing a Stop order, you'll be securing your investment. You may even limit your losses by placing a Stop Loss order and determining the maximum loss you're willing to risk for each portfolio position, or use a market rally to take a position with an Uptrend order.
  • Transparency - You may, at any time, track and/or cancel your Stop Orders, provided they haven't been executed yet.

Types of Stop Orders

Regular order:

  • An order that is immediately carried out, using the amounts you've set.

Stop Order:

  • Stop orders are stock exchange orders to buy or sell. They are executed when a price of a stock reaches a certain value previously set by the client. By placing a Stop order, you'll be securing your investment. You may even limit your losses by placing a Stop Loss order and determining the maximum loss you're willing to risk for each portfolio position, or use a market rally to take a position with an Uptrend order.

E.g

Sell Stop Orders

  • Stop Loss - A stock is worth € 7.15 and you indicate that you want to sell if it drops to € 6.50, hedging your losses. You place a Sell Stop Order and set the trigger price at € 6.50 indicating that you don't want to sell below a certain Minimum Price (e.g. € 6.25). You'll be thereby securing your position, which may only be sold within the price range of € 6.50 and € 6.25, avoiding greater volatility and the risk of lower prices. (The Stop Price must be below the market price, the Minimum Price must not be higher than the Stop Price.)
  • Profit Taking - A security is worth € 7.15 and you establish that you want to gain the difference if it if it rises to € 7.50. You place a simple sell order at a Minimum Price of € 7.50, which will be executed if the market reaches that price.

Buy Orders

  • Uptrend or Stop Limit - A stock is worth € 7.24 and you believe that if it reaches € 7.50 it might rise even higher. You place a buy stop order and set the trigger price at € 7.50 with a Maximum Price at, for example, € 7.80. This way you limit your buy price. (Stop price must be higher than the market price. Minimum Price must not be lower than the Stop price.)
  • Downtrend - A stock is worth € 7.24. If the price drops, you think 7 Eur is a good buy price. You place a simple buy order and set the Maximum Price at € 7. Your order will be executed if the market reaches that price.

Markets

You may place a Stop order at any market* available at millenniumbcp.pt.

The time limit for Stop Orders is 30 days (same as for regular stock exchange orders).

Price List

Fees are the same as for regular Stock exchange orders - there is no extra charge. See our Price List here.

 

Declarações / Prevenções
Disclosure / Disclaimer

 

02.002.1185 2010/08/19