You bought IBM stock at $70 per share. It is now $120 a share. You think it could go higher but you are nervous that it could go down and you would lose your gains. To protect your gains but still give yourself the chance to make future profits you could place a

Question

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A sell stop order at $100 a share would allow you to protect your gains by automatically selling your shares if the price drops to $100, while still giving you the opportunity to benefit if the stock price continues to rise.

You Bought IBM Stock at $70 Per Share