Registered: Feb 2010
04-04-12 12:54 AM
What the guy above me says works. However, in his example the "downside" is that during a gap up overnight all 5 trades might trigger simultaneously triggering 5 different trades thus 5 different commissions. To protect against this you can add a condition to the sell limits.
For example sell 100 at 5.25 only if price is < 5.30.
That means the order will trigger only if the price is between 5.25 and 5.30.
In addition, there are also LIT order (limit if touched) these orders contain a stop (trigger price) and a limit order. For example the trigger price may be 5.30 and the limit 5.25. This ensure you have some leeway to hit the bid price rather than the limit only order which stays at the offer in the hopes of you getting hit.
I personally don't use LIT anymore, but they can come in handy for different scenarios.