When trading otc stocks, a limit order must be used. If I have $2000 and wish to use it all what type of order

Question

Can I not specify a certain # of shares, but a max dollar amount to spend? For example, I wish to buy a stock that closed at .

024 on Fri. I want to buy as many shares of this stock as possible up to .08. If I place a limit order to buy to .08, I can only place an order for 25000 shares because I have only $2000 available to invest.Therefor,If the stock opens at .024, and the order is executed at that price, I will have only used $600. Is there a way to buy as many shares as I can up to .08 until a specified dollar amount has been reached? By the way, this is all being done through an E-trade acct. Any suggestions would be appreciated.

Answer 1

You have to specify the number of shares you want to buy, the max price you are willing to pay and for how many days the order will remain valid.

Eg, Order:. Buy 200 shares at limit $10 each, until Jan 31.

When the price falls to $10 or below, the broker will by them for you at the actual price.  

I use limit orders all the time.

Answer 2

The regular E-trade interface won't support a complicated provisional order like this. I think they have a more sophisticated frequent trader interface that might allow more complicated orders. I've never tried it because I use Interactive Brokers for heavy trading, and if you do more than one transaction a month you should dump E-trade. E-trade penalty for stop and limit orders is outrageous, and Interactive Brokers' base commission is dramatically lower. IB's fancy interface supports trade types I've never heard of, so it's possible they will support what you want.

Answer 3

Hi

The best way to buy those share is through CFD`s  at a couple of thousand a time say 50.000

shares or more.

This way you will have a little less capital but best if you market direction pays off, leaving you with a little equity to trade.

Peter Matty

Answer 4

So put in an order for 80,000 shares at a limit of $0.025 and don't check the "all or none" box.  That way if sellers only have 30,000 shares to sell, you will get the 30,000 for $750.  As you have $1250 left, then for the next trade put in a limit order for 41,666 shares at 3 cents = 1249.98 leaving you with 2 cents.  Again don't check all or none box so if you get just part of your order, do it again with new amounts.