Question: Understanding How Trade Orders Work Different trade orders such as market orders, limit orders, and stop-loss orders are created to give investors the liberty to

 Understanding How Trade Orders Work Different trade orders such as market
orders, limit orders, and stop-loss orders are created to give investors the
liberty to manage their securities based on their expectations out of the
investments. Brian purchased 150 shares of an exchange traded fund (ETF) specializing

Understanding How Trade Orders Work Different trade orders such as market orders, limit orders, and stop-loss orders are created to give investors the liberty to manage their securities based on their expectations out of the investments. Brian purchased 150 shares of an exchange traded fund (ETF) specializing in encrgy for $90.24 per share. Brian is comfortable holding on to his shares in the foce of minor fluctuations, but does not want to risk the share value falling far beiow his purchase price, He therefore considers placing a order so that all 150 shares would be sold if the share price falls to $88. The following graphs depict two hypothetical paths for the share value of Brian's ETF over the course of the next six months. Complete the sentences below each graph to describe what would happen if Brian placed the preceding order under each of the two circumstances. In the preceding scenario, his order would be activated and executed at order would over the six month period. In the preceding scenario, his order would be activated and executed at order would over the six month period. True or Faise: If instead the stock price had declined for the majority of the period and ended up at a price of $82, placing the order would have limited his losses. True False

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