I'm looking to buy an option contract on gme.
I'm just a little confused at the limit order vs market order of the contract.
Ie. How do I know what to set limit price at vs accepting market?
Do I set it at or near strike price? Any explanation is appreciated.
I'm regarded ß
Posted by Xertviya
7 Comments
Never ever ever buy market orders. You will get fucked doing that. At the very least, set a limit at the ask price.
If the bid/ask spread is wide, try setting your price right in the middle and leave that order open for 5 minutes or so and see if it fills. If it doesn’t, increase the price slightly and try again. Repeat until you get filled.
The strike price and the premium price of the option are two different things. Might want to get slightly less regarded about that before diving in.
Good luck soldier.
Never open any option with a Market order, always a Limit order even if you enter the Market price. It’s a protection against possible bad things happening.
After that, more information is needed. What option contract are you interested in?
if you dont even know what market or limit orders are, you should be doing options. Also since u don’t know what the strike price is. the price of the options and the stock are not the same. Also, NEVER trade meme stocks. Seriously, market and limit orders aren’t just for options. It’s complete basics
Why tf would you buy your first option on gme
Parody!
Don’t touch GME dude.
Put in a market good till cancelled order at the strike price