How do you sell stocks on the stock market?

Question

If you want to sell a stock on the market do you have to set an ask price and have someones bid price match your ask price in order for it to sell or is there a way for you to sell the stock at anytime incase you want to get rid of the stocks quickly without doing the bid ask process?

Answer 1

Market makers set the bid and ask price, not you. The bid price is the price that you can theoretically get at that instant (ignoring the size of your sale--the number of shares that you can sell at the quoted bid price is constantly changing, but that shouldn't be an issue if you have just a few shares). If you are satisfied with that price and willing to trust the market makers won't play games with you, you can enter a "market order" to sell, which means you'll take whatever price you can get. The bid is not a contract or a guarantee, so you have no recourse if your stock actually sells below the bid price. I've entered many market orders and almost all of the time I get the bid price. If you just want to dump a single stock and aren't trading or following the stock, it would make sense to sell with a market order and not try to get exotic.

It is essential that you do this through a discount broker. Scottrade might have an office in your city, and their commission is very low, or anyone in the US can open an account with them on line. A place like Merrill Lynch will charge you an arm and a leg for a trivial amount of bookkeeping work.

Answer 2

One can just sell "at market" and order should go through quickly.

Answer 3

I use an online broker.  I check the bid and ask price, but unless the spread is large, I sell at the market since the commission is higher on limit orders.

If there is a large spread between bid and ask, I generally bid or ask a price in between.

Unless you are dealing with a stock that hardly anyone is trading, the market price is usually the best way since you get an immediate execution of your order.  If you try to save a few cents, the price may move in an unfavorable direction while you are holding out for the better price, and then you could be forced to either forget it or make a less favorable deal.

Answer 4

I often do it at market. Scottrade is usually so quick at filling the order (sometimes so quickly that I think it is usually another Scottrade customer and the order never really made it to the exchange -- which you have to watch that the execution price is close to market, but Scottrade has always been good about that with me) I usually get the right price. Then too, they can email you an alert to specific criteria (specific price touched, percentage move, etc.).

On those moments when I'm dabbling in some penny stocks, I have to do a required limit trade. Sometimes I get peculiar results, but then these are not widely traded so that is to be expected.

Answer 5

If it's a stock sold on one of the major markets, you can place a "market" order and it'll sell in seconds for the current market price.

Answer 6

You need to talk to a brokerage firm.  You will open a brokerage account and you can either do it with their help or you can do it yourself.  There are fees.