Does a market if touched order trigger if open is about touch point?

Discussion in 'Interactive Brokers' started by Saltynuts, Oct 29, 2020.

  1. Just reading about orders, I see there is a market if touched order. Very close if not exactly what I am looking for in one respect. Let's say stock is at $10. I place a market if touched buy at $11 tomorrow. I assume that if stock opens at $11, or opens below $11 and runs up to $11, it will be triggered. But what if stock opens at $12? Will it be triggered? Or no because it never touched $11, it gapped up through it and never touched it?

  2. bump!!!
  3. userque


    The first link of a google search revealed [emphasis added]:

    Market-If-Touched (MIT) Order Definition and Example

    "...Suppose that a stock is trading at $10.00 per share. According to your analysis, the stock will be undervalued at $8.00 per share. You may place an MIT order at $8.00 per share. If the price moves to $8.00 or below—the trigger price—a market buy order will be sent out and filled at the best price at the time. That price may be $8. I could be $8.02, $8.10, or $7.90, for example. This means you can invest near the "undervalued" price without constantly watching the market. ..."

    You could also,

    Ask your broker; or read your broker's 'Order Definitions.'

    You could also,

    Use your simulated account to try it and see what happens.
  4. Thanks userque. I saw that, but elsewhere where I read about it it seems to suggest ots only triggered if there is an actual trade at the price you specify, which is contrary to what you posted. I searched the IB website and didn't find any further clarification. Guess I'll have to call IB to find out. Will report back!
    userque likes this.
  5. userque


    Please do report back. Trading at the actual price seems too restrictive, imo.