Hey - A quick other thing which I missed, and it's quite useful... So something about -
again, it's about orders... Let's say it's - today at the moment, it's about quarter
to twelve here in Southern Italy, alright. So, I'm on Central European Time, and I
want to buy some... some U.S stocks, alright - I want to buy some Zendesk...
All right... U.S tech stock. So, say I go to the page 'ZEN' and I go to the 'Trade'
button, here - as usual. Okay, so... I used to think - when I first started trading, that...
I'd try and buy certain stocks, and I'd go to buy them, and then I wouldn't see them
in my portfolio... and I'd wonder "whaaaa, what's happening" and I'd re-buy them and
re-buy them, and re-buy them... Okay - because Zendesk is only traded on the... It's a U.S tech
stock - it's traded on the New York Stock Exchange... I can only buy that when the
stock exchange that trades it is actually open... okay. So the market, it opens
at half three Central European Time so 3:30 today, it's sort of nine or
eight or whatever in New York, and the markets open. So I have to wait till
half three before this - I can actually buy it. Now, if it's before that, or after
that.. in time - so now it's, I don't know, it's like 4:00 in the morning in New
York or whatever... So, if I go to buy it - let's see how much - hold on -
first I want to see how much I've got my portfolio. This is the virtual portfolio.
44 - so I'm going to do 980.82 just to get it to
a nice round number... hold on. So, let's say I go to trade it - I put in
my amount - 980.82 - that's how much I want to buy
alright. Here, it says 'At Market'. Now, with all of the other assets, you have
that drop down we saw... You have the normal one - which is to buy it at the
market rate, and then, here you have a button which, you know, you click and it
says 'Order' - like we saw earlier. For somehow on stocks - or some reason on
stocks, it doesn't actually do that. It has a different method of doing it. So, here we
have 'At Market' - is the standard - so it's a normal 'At Market' order - which means
I'll buy it at this price. That's the price I want to buy it... If you want to
set what we call an 'Order', you have to click the 'Rate' button, and then you can
specify - "No, I think it's going to go down - I want to buy it when it's at 32" okay, or
whatever... So that's how you set an order in stocks - I don't know why they did it
differently... Click the button again, it goes back to 'At Market'. Now... Because we're
out of hours - because that market - the New York stock market, isn't open at the
moment... it's only 4:00 in the morning - If I go to buy it now, and I want to buy it at
market - the normal one - I don't want to set an order, I want to buy it 'at market',
automatically it turns it into an order, okay? So it's going to turn it into an order -
boom ... all right... Now 'Buy ZEN Order Placed At Market' So now, if I go into my
portfolio, I can't see any ZEN - and this is what used to confuse me... I'd go
through and think "Where is it, where is it ?" So I'd try and buy it again and think the whole
system's broken... As we saw before, this is a history of all my past trades. This one
here is my portfolio. Here is my orders... So it's automatically turned that into an
order to execute 'At market'. it's turned it into a market order, because the
markets are closed now. It's going to wait, and at half three today - the second it
opens, it's going to buy that amount... It's going to spend my money on Zen at whatever
price the market is at now. It might be that yesterday, Zen was at a certain
price, so it might be yesterday - if we go back to Zen... Sometimes the price changes
overnight, you see. So yesterday, when it closed, it was at 34.68...
Sometimes, people buy amounts of stock after the market closes, and before
the market opens. So it might open today, and it might be higher, or lower - slightly.
Usually, unless there's an earnings report - then it can change massively
overnight... But otherwise, it only usually changes a small amount. Unless there's
some big news... So when it opens today, the New York stock exchange, my order - my
'At Market' order which is here, is automatically going to be bought, and
then i'm going to see it in my portfolio, okay... So if you're 'out of hours', it
automatically uses orders. Here's the other thing I wanted to say... Here now -
this is why i did it - you see I have 44,000, that's why I did that...
I have 44,000 available balance. Alright, so - one of the things, when you're using
orders, is you might be tempted - as I was - to say "Well, hold on a minute... I can just
set orders for low prices on a range of assets, and I'll just leave them there
indefinitely... I can just leave them and if it ever hits that price I'll buy it
at that price - that's got to be a win!" Okay, here's
something with that... So let's say I go back to... I go to Google all right -
No, let's say I go back to Bitcoin because it'll show you the difference in
how you do it again... So ... I go to Bitcoin - I want to trade some
Bitcoin, and I click the 'Trade' button - here's the 'Trade' button okay, and that's
the difference - here it's 'Order' and 'Trade', on the stocks they treat it differently...
So... I go back to 'Order' and let's say I want to... Remember now - I had in my
portfolio - I had 44,000 available. Remember that number.
So... Bitcoin. I go to 'Trade' and I'm going to do an order, and I want to do $1000
of Bitcoin - I think it's gonna drop, and so I want to buy it when it's
at 7500, all right - so I think it's gonna drop a thousand ... whatever ...
yeah well $800 .... all right, so I set my order for 1,000 remember I had 44,000
available - set my order. 'Buy Bitcoin' - my portfolio now says 43,000. And that
'Allocated' will have gone up 1000. So, when you when you set an order... and I
can go now to - back to my orders, and you can see - there's the one that I set which
is going to be opened 'At Market' and the other one is an actual order - this is a
'Market Order' because the markets weren't open, it will open it at the market price
whenever they open. This one here is an order that I've actually set - limit order...
So it's going to buy Bitcoin when it gets to 7500. So it's - I've invested 1000 - that
money, I can't use anymore... It's tied up. So, the second you place an order - however
much you want to spend on that order, gets taken out of your 'Available Balance'
put - and it's put, becomes part of your 'Total Allocated' so they ring-fence it,
they take it to one side, and they say 'Alright, that's being used for an order -
you can't use that money anymore - it can't be used for something else, we need
to put that aside so that when your order goes through, we've got the money
there already, and we can just buy it straight away."
So that's a thing you want to consider... If you place lots and lots of orders, as I
said before, your money - you want your money doing stuff... So if you tie all of your
money up in unfulfilled orders, especially if, you know, if I had put that
- "I want to wait till bitcoin's at 1,000", it could be waiting forever... Maybe
not, but I could be waiting a very long time to do that... and whilst I am waiting,
it's keeping that money to the side and I won't be able to use it to make other
trades. So that's something to think about, okay... So if you have got yourself into
a situation where you've got lots of pending orders - they're still open and
they haven't be fulfilled - remember that they're 'Good Til Canceled' - that's that
phrase that I forgot yesterday... So basically 'Good Till Canceled' just means
that the order is going to stay open - the one that you've set, the pending one - it's
going to stay open until either it's fulfilled - so it actually hits that price
and it's bought, or until you cancel it manually... Otherwise, it's just going to sit
there. So let's say you've set an order, and you think it's not going to be
fulfilled and your money is tied up. Let's say you want it back in your
available balance... You can just go to that part of your portfolio where you
can see all your orders - go to those little red X's on the side, and you can
just cancel them manually. Now when you cancel them manually, there isn't a fee
for that - you don't get charged to cancel an order. So there we are... you can just
get rid of them, and the money will be returned to your available balance, and
you can do with it whatever you want. So be careful with your orders - don't just
set loads and loads of random orders because it will use all of your money up
which is no good.
That's it.