Currently, Wealthsimple Trade supports market orders and limit orders only.
Market Orders - Are orders to buy or sell a stock immediately at the best available price.
All "Market Buy" orders are actually submitted as "Limit Buy" orders with a 5% collar added on top of the price to protect you from adverse price changes and to prevent your account from going into overdraft. This ensures the order functions as a "Market Buy" order but offers added protection in case the price increases dramatically.
For example, if you submit a "Market Buy" order to purchase a stock that has a price of $100, we will submit this as a "Limit Buy" order with a limit price of $105. This means that your order will only get executed if the market price is $105 or less. If the market price is higher than $105, the order will remain open until the price falls below $105.
Our executing brokers are obligated by law to give you the best available price so this will not result in you paying more for a stock than the price on the market.
Market Sell orders do not have a collar and will always be executed at the best available price, regardless of how the price may have changed.
Limit Orders - Are orders to buy or sell a stock at a specific price or better. If you are buying a stock, you can choose the highest price you're willing to pay and your order will only execute if the market price is at or below that price. If you are selling a stock, you can choose the lowest price at which you're willing to sell and your order will only execute if the market price is at or above that price. Limit orders are not guaranteed to fill (i.e. if the stock price does not meet your limit price, the order will not execute and will expire at the end of day or until you cancel it).
Limit Buy: For example, say you want to buy a stock that has a current price of $100 but you only want to buy it if the price drops below $95. You can set a limit price of $95 and the order will only execute if and when the market price is at or below $95.
Limit Sell: For example, say you want to sell a stock that has a price of $100 but you only want to sell it if the price goes above $105. You can set a limit price of $105 and the order will only execute if and when the market price is at or above $105.
Note: All orders are any-part orders by default, which means that if an order can only be partially filled for the volume specified, it will execute that portion of the order.