Question
Anna just made another fantastic investment: she purchased 400 shares in GG Corporation for $20.37 per share. Yesterday the stock closed at $54.63 per share.
Anna just made another fantastic investment: she purchased 400 shares in GG Corporation for $20.37 per share. Yesterday the stock closed at $54.63 per share. In order to log in her gains, she has decided to employ a stop-loss order. Assuming she set the order at $53.98, what is likely to happen? Why might this not be a wise decision? At what price would you recommend setting the stop loss order? Why?
in order to log in her game she has decided to employ a stop loss order. Assuming she set the order at $53.98: A. it is unlikely that the position will be sold as the stock fluctuates around its closing price. B. it is likely that the position will be sold as the stock fluctuates around its closing price. C. there is not enough information to answer this.
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