What is Stop Order?

Stop order is finance term which is used share market trading. It means to stop the order of buy or sell. If you have bought the share, you can stop it and order to sell it on your pre-determined price. If you have sold the share, you can buy again at your pre-determined price.

Ok, I explain it in the detail

Stop order is great advance technique which helps investor to safe from future losses in the share market. It is an insurance. For example, you pay small premium to insurance company for your shop for one year. If any day, your shop has caught the fire, you get insurance amount from insurance company, like this, same can apply with the help of stop order technique. There is no cost of this.

You just invest its time to understand the technique and use it in your DEMAT account.

Ok, we are teaching its more detail with example

For example, I bought 1 share of RS. 100 and its trend is decreasing and its price has reached Rs. 90. I have bought its 10,000 quantity. It means, I loss Rs. 1,00,000 due to decrease of the price of share.

Rs. 100,0000 - 9,00,000 = Rs. 1,00,000. Now, Its trend is showing downward and its means, its price may go to Rs. 80 but, I can not tolerate its more loss but I have hope, its price may rise. So, I will stop the order by saying my stock broker to sell this share if it is price will down and reach at 88, I will sell it. I went to picnic and price was went to 80 but my stock broker is smart who sold it at 88 my all shares. Now, with stop order technique, I protected myself loss of Rs. 80,000

9,00,000 - 880,000 = 20,000

8,80,000 - 8,00,000 = 80,000

Now, learn how to Apply this Stop Loss Technique in your DEMAT Account

Steps to Stop Order in DEMAT ACCOUNT 

I have SBI DEMAT Account and I am teaching in it.

1st Step : Just login your sbi demat account with password, login id and PAN CARD

2nd Step just go to trade

3rd Step :  write the company name whose share you want to sell in future day for protecting the loss. Write its quantity.

4th Step :   Now, Go to fix strategy of Stop order by choosing Order type option as SL - L

It means stop loss limit

5th Step : Set price and Trigger price

Normal price must be less than trigger price. If trigger price is Rs. 88, then set normal price is Rs. 860   

6th Step : Sell 

Now, click on sell and
With this, brokering software has taken your input of stop order. It will valid one day.

Video Tutorial

Watch following video tutorial for better understanding of above.

Reference eBook

Be Pro- Investor of Indian Companies Shares







access account accountant Accounting accounting definitions accounting ebook Accounting education accounting procedure accounting process outsourcing Accounting Software advance advertising africa Amalgamation amendments announcements Annuity assets audit auditing Australia B.Com. balance sheet bank Bank reconciliation banking basic accounting BBA benefits best bill black money blog bloggers book keeping bookkeeping Branch Accounting - full tutorial budget Budget variance business businessman CA calculator canada capital capital budgeting career cash cash book cash flow statement Chiense children china class coaching coins college commerce commerce students company computer computer accounting conference Contact vinod kumar Control Your Spending corporate accounting cost cost accounting cost center cost centre CPA credit credit card cs currency data Debit and credit debit cards debt debtor degree depletion depreciation Diwali Messages documents dollar domain Downloads Dubai e-accounting earning education Education Loans email employee EPF ERP euromoney examination excel excise duty expenses facebook factor of loan fans feature fifo FII fiji finacle finance Finance Journal Entries Financial financial accounting fire insurance flickr flow forensic forex formula france fraud free fun function fund GAAP GDP gdr germany gold goodwill goodwill accounting google google apps Google Adsense google apps google base google buzz google calendar Google docs google finance google fusion tables google talk govt. GST guide health Hindi Hindi Language history holding company How to treat FBT in Tally 9 HRA ICAI ICAWI ICICI Bank IFRS income income statement Income Tax India indian railway Indonesia inflation inflation accounting infographics information inspiration insurance insurance accounting Intangible interest international Internet Introduction of Tally 9 inventory investment investment in Shares invoice IT Japan Job costing journal entries Journal Entries eBook Help Kalculate keyboard kindle kuwait laptop law LBT learning lease lecture ledger leducation Leverage Analysis liabilities lifo linkedin loan logical point loss loss of profit M.Com. m.phil malaysia management accounting manual accounting manufacturing account market marketing mastercard material MBA MCA media migration mobile money ms word ms. excel multi currency in tally 9 Multicurrency Accounting mutual fund national security new and sacrifice ratio new york times new zealand news NGO nonprofit-accounting North Georgia Mountains NPV NSE odbc office oman online application online accounting Online Accounting Course otcei pakistan parents Partnership pay pal pdf Personal Finance pie chart pie chart of income pnb podcast ppf presentation price privacy policy prize money prof. vinod kumar profit profit and loss account project management provision purchase puzzles quickbooks Quote quotes quotes of svtuition rating agency ratio analysis RBI readers real estate rectification of errors remote control reports reserves responsibility accounting retirement revenue Revenue reserves review risk rupees salary sale saudi arabia saving sbi scholarship school SEBI security service tax share share trading Shares shri lanka singapore sms social accounting society solution South Africa stock stock exchange structure student students study subsidiary company svtuition swiss bank tally tally 9 Tally 7.2 Tally 9 Tally.ERP 9 tanzania tax Tax Accounting TDS teacher teaching technology test testimonial testimonials thailand tips trading trading on equity transaction trend trial balance truthfulness tuition twitter UAE UGC - NET Commerce UK United Arab Emirates university usa valuation VAT Video Voucher and vouching Wealth wikipedia working capital youtube
Accounting Education: What is Stop Order?
What is Stop Order?
Accounting Education
Not found any lecture VIEW ALL Continue reading Reply Cancel reply Delete By Home PAGES Lectures View All RECOMMENDED FOR YOU Category ARCHIVE SEARCH ALL Lectures Not found any lecture match with your request, please help to write it and send it to our email at vinod@svtuition.org for making this website free accounting and finance encyclopedia. Back Home Sunday Monday Tuesday Wednesday Thursday Friday Saturday Sun Mon Tue Wed Thu Fri Sat January February March April May June July August September October November December Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec just now 1 minute ago $$1$$ minutes ago 1 hour ago $$1$$ hours ago Yesterday $$1$$ days ago $$1$$ weeks ago more than 5 weeks ago Followers Follow THIS CONTENT IS PREMIUM Please share to unlock