You want to sell a Google share. You believe that Google’s share price is currently too low.

You want to sell a Google share. You believe that Google’s share price is currently too low. You would sell the Google share if its price is at least 2% above the current level. What type of order should you place?

		a limit buy order
		a market sell order
		a limit sell order
		a market buy order

Expert Solution

If you place a market order, the stock will be sold at the current market price itself. As you wish to sell the shares, we will place a sell and not a buy order. A limit sell order will sell the stock for a specified price or higher. Hence, our condition is satisfied. Therefore,

The order you should place is-

A limit sell order

jeff jeffy answered 2 years ago

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