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15 March 2002 @ 08:23 am
Say what?  
So i got up early this morning and checked on my stock options cause they expire on the 17th.

The price was bouncing up and down all over the place for the first hour of trading, so i decided to just call in and place a sell order as soon as it was positive.

The person at the company said they needed ot contact EA to verify the number of stocks, and they weren't answering at the momment so it would take 15 or so minutes.

So i looked at yahoo about 30 minutes later, and the price had jumped 50 cents. So i decided to call back and see if they'd processed the order, and at what price. So i called up, and they told me that the options had sold at $60.27. This sounded a little strange to me, so i double checked with them to make sure i'd gotten it right, and then i checked yahoo. According to yahoo the high price for today is $60.20 =)

Not sure where the extra 7 cents came from. Maybe there was a spike smaller than the timespan in which yahoo updates? I'd certainly expect major financial companies to have better tracking software than yahoo =) In any case, as long as they actually got that price i'm happy.

Now just watch, now that i've sold the stock will probably hit something ridiculous like $65 today =)
Patriciatrysha on March 15th, 2002 11:16 am (UTC)
you can actually request a price to sell at..

You can say. I want to sell my stock at "65.00"/share - and they will be placed on sale, odds are that no one will buy them, but you can do it. When you just say "sell" you are letting your broker make the price decision for you.
DonAithnendonaithnen on March 15th, 2002 06:47 pm (UTC)
Yeah, i know how that works, but it doesn't explain how they managed to sell it at a price going at least 27 cents higher than the going price at the time, the "odds are that no one will buy them" should have come into effect =)
Patriciatrysha on March 16th, 2002 11:36 am (UTC)
sure it does!

someone put an order in saying "i want to buy x stock for 60.27", probably because they had an order suffiecently large, they wanted to bid a high price in order to get priority so that they could get all the shares they wanted. your stock was part of that trade, that prerson was expecting the stock to go up higher than those 27 cents and wanted to make money on volume (one possibility)

stocks sell above and below the market price all the time.
if stocks never sold above the "market price", the value of the stock would never go up. it's merely an average anyhow.
you will see this very often in market orders when the value is rising, it usually means someone overestimated the height of the rise.
Silverhawksilverhawk on March 15th, 2002 06:23 pm (UTC)
and you left your alarm on...
Which of course resulted in a "what are we listening to?" much later and one room over, but it was distinctly loud.
DonAithnendonaithnen on March 15th, 2002 06:46 pm (UTC)
Re: and you left your alarm on...
Eep, i'm sorry =(