Regarding "contingent" order

Discussion in 'Order Execution' started by jk90029, Jun 16, 2014.

  1. Let me give you an hypothetical situation. I am a newbie in NYSE with short English.

    My understanding of the "contingent"order is as follows. Suppose current price of MSFT is $30. If I order contingent, it means that if the MSFT hits $28 then contingent is (WILL) changed to "regular" order of BUY at $25

    NOW if I have $10K in cash (NOT for margin buy BUT just for cash buy) and like to order 10 pieces of BUY, the I can order ONLY 10 pieces of $1K. Personally for my watch list with about 200 equities, usually 50 pieces of BUY can be suggested. But the cash power restrict my number of BUY orders.

    My question is when they(brokerage) to check my cash , such as whether you check my cash at $30 time or whether MSFT hit $28. Please answer me either

    1) At the time of MSFT $30
    2) At the time of MSFT $28

    If most brokerages follows 1), is there any brokerage(s) following 2)? If so, please tell me the name of the brokerage company.
     
  2. Thanks for moving. I did NOT aware it.