I bought shares of blue star at 0.0001 and after confirming the purchase it is showing that the shares were purchased at 0.0002 and I lost half of the money that I used instantly…!!
Is this a trick or some sort of a joke by Freetrade…???
It will be the Bid/ ask spread. Penny stocks always have a massive spread. Did you check the spread before you bought them?
I assume it’s this?
showing a 66% spread on there. so you will be instantly 66% down at least.
4 Likes
That is a fair point. Maybe Ft should show the spread
1 Like
I think it’s more of an education issue in this case. If you show the spread to someone who doesn’t know what a spread is, it won’t have an effect.
Generally, I’d also welcome showing the spread though.
1 Like
You didn’t. You bought shares for 0.016 pence (I assume as the other person didn’t buy enough shares for £400 of anything)
so you didn’t lose £400, you bought at the price someone was willing to sell to you. that stock only had 5 trades today, and the price was between about 0.015 pence and 0.022 pence. you don’t see that last digit on Freetrade because its displaying in pounds but its there (should be in your contract note)
if you’d like a quote ordering system then id recommend commenting on and voting on this thread [Feature request] Quote Price
Freetrade (along with all new workers that im aware of) don’t offer a quote system. your orders are executed at the best available price at the point on order.
2 Likes
Voted. Out of interest, how did you find out that stock only had 5 trades today
1 Like
London Stock Exchange shows you the trades on their website
2 Likes
This is why I’d advise anyone who doesn’t know what they are doing to not touch penny stocks witth a bargepole. only 5 trades in a day, massive spread. You basically need it to make a huge gain just to break even, and the lack of interest from any other investors makes that extremely unlikely to happen. With liquidity that low you might struggle to sell at all.
5 Likes