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A Stop-Loss Order May Not Protect an Investor's Profits If

Question 37

Multiple Choice

A stop-loss order may not protect an investor's profits if


A) the stop-loss price is never reached.
B) an unexpected event cause the price to drop steeply when the markets are closed.
C) the price enters a prolonged period of gradual decline.
D) the price drops even slightly below the stop price before the order can be executed.

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