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At Best

TradingKeyTradingKeyTue, Apr 15

“At Best” is a trading term used when an order is placed with a broker without a defined price limit. This indicates that the broker has the authority to execute the order at the best available price in the market as quickly as possible. This approach is typically taken when the trader prioritizes having the order filled over the price at which it is executed.

For a buy order, an “At Best” instruction suggests that the broker should strive to secure the lowest possible price. Conversely, for a sell order, it indicates that the broker should aim for the highest possible price. However, since no price limit is set, there is a risk that the final execution price may differ significantly from the current market price, particularly in volatile market conditions.

The opposite of an “At Best” order is a “Limit” order, where the trader specifies the maximum price they are willing to pay for a buy order or the minimum price they are willing to accept for a sell order. A limit order guarantees that the trader will not pay more or sell for less than a specified price, but it does not ensure that the order will be executed.

Disclaimer: The content of this article solely represents the author's personal opinions and does not reflect the official stance of Tradingkey. It should not be considered as investment advice. The article is intended for reference purposes only, and readers should not base any investment decisions solely on its content. Tradingkey bears no responsibility for any trading outcomes resulting from reliance on this article. Furthermore, Tradingkey cannot guarantee the accuracy of the article's content. Before making any investment decisions, it is advisable to consult an independent financial advisor to fully understand the associated risks.
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