As such, investors may choose to place stop-loss orders
on their investments, signaling that they're only willing to lose a certain percentage.
The moves, they explained, appeared to reflect the effects of a combination of program trading, stop-loss order
practices and an influx of institutional money into these markets.
Other less dramatic drawbacks with stop-loss orders
include what happens after the stop order is elected.
Commentators have already suggested various possible triggers for yesterday's move: an input error by a trader (fat finger); liquidation by a hedge fund; falling prices triggering stop-loss orders
placed at $ 115; heavy turnover by computer-driven trading programs; or some complex interaction among all these factors.
Euro buying accelerated at one point in the morning on stop-loss orders
to sell the dollar for the European unit amid increased risk appetite triggered by the favorable U.
3211 as traders tried to hunt for stop-loss orders
, slipping from a one-month peak of $1.
The May 6, 2010, flash crash highlights the significant risk in market orders (they can literally be executed at any price) and the outdated, dangerous nature of stop-loss orders
(a stop-loss order
, in essence, becomes a market order).
Use of stop-loss orders
means a position could be liquidated at potentially very low prices during periods of extreme volatility.
are activated on a daily close breaching the specified price level.
An end to the stop-loss orders
, the multiple deployments, the soaring soldier suicide rates, the epidemic of post-traumatic stress disorder and traumatic brain injury.
Peirce reportedly was inspired to make "Stop-Loss" by her brother's experiences serving in Afghanistan and Iraq, and by accounts of real-life soldiers who defied their stop-loss orders
Two relatively simple techniques that investors have to protect themselves from loss in these situations are stop-loss orders
and short sales.
As the $1,925 level was broken the selling accelerated on the triggering of stop-loss orders
But Army stop-loss orders
(essentially a form of conscription) have "ended that option for many troops.
Faced with an acute shortage of men and women in uniform, the Pentagon issues stop-loss orders
to prevent personnel from going back home even after their hitches technically end.