Should you always bid to buy stocks below asking price?

Question

Should you always bid to buy stocks below asking price? I am trying to buy gold and silver stocks, and even though the prices are low, I am always trying to buy 50 cents or a dollar under the value, is this bad, or is it ok to pay full price while the stocks are currently a low price?

Answer 1

Getting a better price is always good for making profits, provided that you actually get the better price.  

But sometimes the price doesn't go your way.  And you may end up missing your trade altogether.  And you also might get only a partial fill of your order.  Which is not good for making profits.

You need to look at your trading statistics and see if your way of trading is actually benefiting or harming your profits.

Answer 2

It is not bad to try to get any stock for the least you have to pay.  that is the name of the game, buy low and sell high.  It is Okay to pay full asking price or even over the quoted price if this is what is needed to clinche the deal and its the deal you want.  It is your desire that is important here.

Answer 3

I think perhaps you are intentionally pricing yourself out of the market because you lack conviction as to whether you really want to buy.

If a chart support or resistance is your reason for picking a certain point, that's well and good. Likewise if you are analyzing value and you are picking a buy point. But arbitrarily picking a value that is a buck or so below current price doesn't make sense to me. If a stock moves down to your buy price, there's no reason it might not move lower still.

Answer 4

That would depend on what do you think would happen to the price on that day.

For example looking at global cues one kind of knows for sure that the market might give a negative opening. in that case it is better to bid for the stock at a lower price.

however if you feel that your price is reached or you really need to invest in the particular stock or commodity cause it is looking good then you can buy it at market price too.

That how I decide.