Jim Cramer on Market Order Versus Limit Order
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"It's no coincidence that the market rolled over just as DoorDash (DASH) - Get Report debuted at $182 a share, almost double their expected price of $100 a share. Cramer explained that fund managers must always sell some of their other holdings in order to make room for new IPOs and today was no different," wrote TheStreet's Scott Rutt in his Mad Money recap.
"The market's weakness was made worse by younger investors using market orders to get a piece of DoorDash. Cramer explained that market orders will buy shares at any price, which is why he always urges investors to use limit orders instead," Rutt continued.
Editor's Note: this video was first published on December 10, 2020.
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