Video intro plays
Narrator: Interested in placing an options trade that'll allow you more control over your limit price? A walk limit order automatically changes the limit order price by cancelling and replacing the order at successive price increments, from the Start Price to the End Price, based on the Price and Time increment settings. This order type can be accessed via the All-In-One Trade Ticket® or SnapTicket®. For this example, we'll use SnapTicket. To get started, select SnapTicket, then select Options and enter a security.
Snapticket is selected, then options is clicked and a security is typed in.
Narrator: Remember, standard equity options contracts control 100 shares of the underlying stock. Select the type of position you want to take, the number of contracts you want to trade, and then under Order Type select Walk limit.
Strategy drop-down is selected and an option is chosen. An order quantity is entered, and the order type is selected.
Narrator: Sell orders can also be walk limit orders, but we'll proceed with a Buy to open order. First, set your Start price, which is the price you are hoping to pay and is set to the current bid price by default.
Start price is modified.
Narrator: The End price will stop the order at the highest price you are willing to pay and remain there until the order is filled or the trading day ends. The end price is set to the ask price by default.
The end price and ask price are highlighted.
Narrator: Set the Price increment, which will indicate how much you want each successive order to change.
Price increment is modified.
Narrator: Please note that there is a 10-increment limit and any price above the 10th increment will not be reached. You'll also see an order warning on the Review Order page indicating this information. Finally, set the desired Time in seconds, which specifies how much time will pass between each price increment.
Time is modified.
Narrator: Walk limit orders have a 60-second maximum time frame for incremental price changes. Fill out the remaining details on the trade ticket, then select Review.
Review is selected.
Narrator: Carefully review the details of your order and any order messages, then select Place Order to place your trade.
Place Order is selected.
Narrator: When the specified time increment expires, the order will be canceled and replaced with a new one modified by the price increment. This process will continue until the trade system is successful in executing your trade, or when the trading day ends.
Video outro plays.