#OrderTypes101
Order type "101" refers to a fundamental order type in the stock market called a market order. A market order instructs the broker to buy or sell a stock at the best available price in the market at the moment the order is sent. It's the simplest and most common order type, ensuring execution quickly.
• Types:
There are two types of market orders: buy and sell.
For example, if you want to buy 100 shares of Apple (AAPL) and place a market order, your broker will buy the shares at the current market price, which is the best available price at the moment.
Key Differences: Market orders differ from other order types like limit orders, which allow you to specify a price at which you want to buy or sell. Limit orders will only be executed at the specified price or a more favorable price, unlike market orders which are executed at the current market price.