Flexible Order Types FAQs
These are the most commonly asked questions about our range of order types.
- What is the difference between a stop order and a trailing stop order?
- How do you set the stop and trailing stop price?
- What is the benefit of putting a limit on a stop or trailing stop order?
- Can you place a stop/trail on any stock?
- How do I know when my stop order has been executed?
- How long does a stop order last for?
- Where should I place my stop loss?
What is the difference between a stop order and a trailing stop order?
A stop order is set at a fixed price which you choose. You would set this above the current market price for a buy stop order and below the current market price for a sell stop order.
A trailing stop creates a dynamic point which is based on a price difference that you set below the highest benchmark for the stock for a sell, and above the lowest benchmark for the stock for a buy since you placed the order. The benchmark is the highest or lowest price that the stock has reached on the market since you placed the order.
How do you set the stop and trailing stop price?
Stops and trailing stops are placed from the Deal screen under the ‘Select order type’ section. On the following page you will be asked to input your stop price or trail value.
What is the benefit of putting a limit on a stop or trailing stop order?
You can place a ‘limit’ on your stop or trailing stop order to give you extra protection and flexibility.
For example, you may want to sell the stock if the share price slips down to your stop level, although would prefer to hold on to the stock if it crashes through your stop level. Using limits on your stops allows this capability.
Can you place a stop/trail on any stock?
You are not currently able to place stop or trail orders on warrants or Covered Warrants. You are able to place stop and trail orders for all other stocks that can be dealt online.
How do I know when my stop order has been executed?
Once a stop has been executed it immediately updates in your account. You can also choose to receive an email to alert you that your stop order has been executed, rejected or expired.
Do you offer guaranteed stop losses as part of the service?
These are available on limited stocks and indices and must be placed by telephone
How long does a stop order last for?
Advanced orders can be set for any length of time up to a maximum of 30 business days. During this time you can amend or cancel your order as many times as you like. You will only be charged commission if your order executes.
Where should I place my stop loss?
No one can tell you exactly where to place your stop limit price or trail limit value.
Our Research Centre has tools and information to help you make this decision. Including Charts, Performance Tables, Heat Maps and Market Diary. We've recently introduced Beta to the Prices page of Company Information which can be useful for understanding a company's historic volatility compared to the FTSE All Share for UK equities.