Which of the following would be a common use of a stop order?

Which of the following would be a common use of a stop order?



To protect the profit on a long position.

To prevent loss in a short position.

To buy at a specific price guaranteed by a specialist.

To lock in a price with the specialist.



A) I and III.

B) II and III.

C) II and IV.

D) I and II.



Answer: D) I and II.


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