I've read about the moving averages theories on when to buy and sell but was curious if a sale was guaranteed when you click the sell button. Basically, if BTC is selling for $250 but it begins a downward trend and I choose to sell at $240, is that sale guaranteed to happen? Or am I dependent on buyers who are willing? Is there a worry that during a decline a sell command doesn't happen at $240 (since everyone sees it declining and doesn't buy) and I am unable to actually sell the BTC until it levels out at the bottom of its decline? Is there a way to avoid this?
Does the exchange location change this answer? If I sell at Mt Gox, is it more likely to go through than if I sell in Coinbase?
Finally, is the reverse true? If there is an upward spike I can click buy, will it go through or is it possible that the sellers choose to not sell at the price and wait to see how high demand takes the price?
Thank you for your help! I'm studying the theory of buying and selling but want to make sure the reality is feasible. If I can't actually sell when the signs say so then this is much riskier than originally thought.
You can only sell at a price someone who wants to buy.
If you want to sell for sure, choose 'sell by market price' option provided by some exchanges. If your exchange does not provide this option, you could sell at '0' or a reasonable lowest price you can accept. The system will choose the best bids for you.
This is pretty much the only way. Even market selling on Bitstamp is problematic in this situation, because they will fill your order at that price, and if there is any left over, your order will sit as a limit order. If you want to be sure, you have to place a sell order way below market, and hope it fills near the top. Panic selling is dangerous!
