Hi all, first post here. Probably the dumbest question of all time and I'm missing something blindingly obvious but.......
How do bids get matched above the instant sell price but below the buy now price, when nobody can offer their shares for less than 1p below the buy now?
I've bought shares for 5 or 10p above instant sell using bids, but who have I bought them from?!
I can't find a way to sell my own shares in the same way. I'm on android does that make a difference? Tried the website too but no luck.
As I say, there's probably a very straight forward answer to this but any help much appreciated!
Gaz last edited by Gaz
@doublesfordough Because traders can bid between the IS and Buy Now price. The next trader then clicks IS and can sell to the highest bid.
Its nothing to do with offers.
Buyer puts in a bid between the 2 prices.
If you're a seller and you want to match that bid, you hit instant sell, and it tells you which bids (the highest available) you'll sell your player for.
I'll give you a worked example, if the buy price is £2.00 and the sell price is £1.00, but the highest bid is 10x£1.50. I have 10 shares I want to sell. I hit instant sell, put the quantity to 10 and it'll tell me I can instant sell those shares for £15.00 total. I do it and I get that £15.00 minus £0.30 in commission
@B-EVO thanks for the example. So if I wanted to sell 100 shares it would show me a price for those 100 in total. But it could well be better to sell them in blocks of 10 instead? You can only see these prices though by typing in the amount and seeing what price it shows? Bit of trial and error then?
It can be better but it depends on a few things.
The first advantage that's always there is you see a more precise representation of the price per share you're getting. Knowing you're selling 50@£1.10 + 50@£1.00 + 50@£0.90 may be much more useful to you than just seeing 150@£1.00
I personally like selling small quantities at a time like this right now because there's not much depth to the market. On lots of players the highest few bids are much higher than the average of the highest 300, which is what represents the sell price. You can turn a much better profit by skimming off these highest bids, biding your time until another few come in in a couple of hours, rinse, repeat, etc.
However this isn't massively practical if you you're trying to get rid of 1000 shares at a time, or if you need to get your money out ASAP for one reason or another.
It's not inherently better. If you just hit the sell button a dozen times rather than once you won't end up with more money. But there's ways you can use it to help.
Hopefully when NAZDAQ are fully onboard we'll be able to see all this anyway whenever we want though