What I about to inform you is totally real. The following occasions took place to me. I have actually not included the name of the broker in concern to safeguard - how will I state this - the innocent.

I previously had several brokerage accounts for a number of factors, the least of which was to keep separate my trading accounts from my investing accounts. The account in concern was an online brokerage account with fairly brand-new company at the time.

This experience revolves around one broker, one stock and one trading day. I was day trading among the hottest stocks around at the time, IOMG. This particular day was an extremely high volume trading day, I forget the specific reason the stock had high volume for that day, more than likely there was news driving the stock price.

I began the day early with a limit order to purchase 500 shares. I was filled and then put a sell order at $0.125 higher than my fill cost. I was almost instantly filled, banking $62.50 minus fees in simply minutes. Recognize this took just a few minutes of my time. If I kept up with this, I started doing the mathematics in my head based on what time of day it was and figured I might pull out $1000. That was a mistake.

The next trade didn't go so well, basically I broke even on the trade minus the commissions. The stock continued lower after I exited.

Put on another 500 shares trade, this http://connerdarg393.angelfire.com/index.blog/1637065/will-stock-market-broker-ever-die/ time I rode the stock up $0.500 for a $250 profit minus brokerage charges.

Now that I had it found out, time to go all out. The next trade was a thousand share trade with the objective on taking out a minimum of $0.50 per share. The stock made it to my earnings level and I ... didn't leave the trade. It actually went a little higher prior to rejecting. Dang, I missed the huge profits by being greedy. Still, the position was profitable and I was going to maximize it.

The stock never made it back to the high revenue mark. The stock quickly turned down. Given that I didn't have an exit technique if the position was unprofitable, I missed the opportunity to get out at breakeven.

In case you haven't figured out where this is going, let me just tell you that it wasn't quite.

I eventually put in a limitation order to sell 0.125 greater than the present cost. That didn't get filled. From there the price come by $1. Very quickly, I was at a $1000 loss for the trade. I finally stated adequate is enough and put a market order to offer.

Provided my level of frustration at this moment, I required to get out of your home and go for a walk. When I came back I visited to inspect just how much that damage was.

Here's where it gets worse. I login to learn that the last order I placed, the market order to offer, was cancelled.

I finally put two and two together and figured out that the broker doesn't allow more than one open order! I cancel all open orders and then place a market order to sell.

I didn't have a plan in location to deal with this. Their online purchasing system enabled me to position a second order for the exact same security. If they were going to cancel a second open order, why did their system to allow me to position it in the very first location.