Welcome to Questrade. In this video we'll show you how to place your first trade using market and
limit orders on the QuestMobile app. When you're viewing a stock or ETF you can easily tap the
floating buttons at the bottom of the screen to buy or sell shares. Remember, you can view a stock
or ETF by using the search icon at the top of your screen or by clicking the stock name in your watch
list, holdings, or anywhere else it appears. Stocks used are for illustrative purposes only
when you click buy or sell you'll see a snap quote of the stock or ETF's current market value
and be able to choose whether you want to submit a limit or market order. For this first example
we'll be using a market order. Later in the video we'll walk through a limit order. A market order
is an order to buy or sell a stock at the best available price in the current market. They're
considered to be the simplest type of order. If you use a market order to buy a stock you'll
receive the stock's current ask price or very close to it as it's the lowest price sellers
are currently accepting. If you receive a market order to sell a stock you'll receive the bid price
or very close to it as it's the highest price buyers are currently accepting.
When you choose to place a market order you'll see the ask price at the top
and be given the choice of how many shares you'd like to buy. Below that you'll see the account
that these shares will be held in, how many shares you already own in this stock or ETF,
and the amount of money available to trade with. In this example we'll purchase one share of Apple.
Please note that because apple is traded on the NASDAQ, an American stock exchange, its shares
will be bought and sold in USD. At the bottom you will see the estimated cost of the order. Click
the next button and you'll receive an overview of your order before it's officially confirmed.
This will provide a summary of details such as order duration, which account you're trading in,
and the total estimated cost of your order including any commission or exchange fees.
You should also confirm the account you want to use for the order. If you have multiple
accounts you would have selected this in a screen that appears after you select a market order.
The estimated total on screen will show you how big of a position you are purchasing in the
currency of the trade. Finally, when your order is submitted you'll get this confirmation screen.
From here tap go to orders to see a list of your open and recently filled orders.
Let's go through another example this time trading an exchange-traded fund
also known in short as an ETF. For this example we'll search for SPY in our symbol lookup box.
SPY is an ETF that tracks the price of the S and P 500 index in the US.
Remember this is just an illustrative example for educational purposes
and there are a wide variety of different ETF types that track popular benchmarks,
indexes, and investing strategies. This is not a recommendation to purchase spy or any
other ETF. Now let's jump over to limit orders which allow you to set the price you'd like to
buy or sell a stock at. We'll show you how to buy an ETF using a limit order as an example.
When using a limit order you'll start by entering how many shares you'd like to
buy. For this example, let's stick to one share of SPY. Next, you'll choose how much you'd
like to pay per share. Please note that your order may not complete or fill if what you're
buying doesn't reach your price target. In this example, SPY's ask price is around 445 dollars.
If you put in a limit order to buy that's the same or higher than the ask,
you'll pay the ask price. But if you input an order that's lower than the ask price, such as
440 dollars, your order may not fill unless the ask price drops and reaches your limit price.
To keep things simple we'll use a limit price that's very close to the ask price so that the
order will be more likely to fill quickly. After filling in your desired price you'll be taken to
a confirmation screen to review your order. This screen will ask you to choose your order duration.
The duration of the order will determine how long your order is active for.
A day order is valid from the time the order is entered until the end of
regular trading hours on that day. If the ask price does not reach your limit price by 4 pm
the limit order will automatically cancel and you will have to re-enter it on the next trading day.
If you'd like your order to stay active longer you can choose the until cancelled option.
This allows the order to be in effect for up to 90 days or until you cancel it. This can
be useful if you think the stock price will reach your limit price in the next few days
or even weeks. Great, we just received confirmation that our limit order has been filled.
We hope you enjoyed this walkthrough of placing a market and limit order on QuestMobile. For more
information about QuestMobile, please head over to our educational videos on our YouTube channel.