Small investors: "never put in a market order"

How Small Investors Can Get Stomped


First, avoid open-ended buy and sell orders. The UAL trade was a market order, or an instruction to sell at the best available price. "Rule No. 1 for the small investor is never, ever put in a market order," says Joe Saluzzi, a partner at Themis Trading in Chatham, N.J. Instead, use a limit order that stipulates either the price below which you won't sell or above which you won't buy.

Comment: I haven't used Limit orders and have not been burned by a "flash crash". Going forward to protect myself I will be using Limit orders

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