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SIE: Trading & Settlement
SIE practice questioneasyOrder Types - Market and Limit

Which order type instructs a broker to buy or sell a security immediately at the best available current price?

  1. ALimit order
  2. BMarket order✓ Correct answer
  3. CStop order
  4. DGood-til-canceled order
Explanation

Why BMarket order

Market orders are executed immediately at the best available price. Limit orders specify a price and may not execute. Stop orders are triggered by price movement. GTC is a duration instruction, not price.

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