Understanding the Grand Exchange is important to trading. Free players may have 2 slots, while members may have 6. Players may not sell an item immediately after buying it, or buy an item immediately after selling it. More specifically, when an item is traded, a timer of exactly 4 hours is started, and the opposite transaction for this type of item may only be conducted when the timer has expired. The timer does not start over if additional items are traded. For example, if you were to buy some nature runes at 2 p.m., you may be able to buy more at 5 p.m. but still be able to sell all of them at 6 p.m. when the original timer expires.
There is no limit to the amount of items a player may sell in any given time period. However, all items have limits on the number that can be bought in a given time period. This also uses the 4 hour timer.
Not all items have the same buy limit. The following are buy limits for a selection of items:
- Runes, essence, flax, logs, ores: 25,000
- Bars, bolts, arrows, feathers, ashes, herblore seconds, dragon leathers, planks, food: 10,000
- 4-dose potions and summoning pouches: 5,000
- Most cheap armour and weapons (up to rune): 100
- Battlestaves: 100
- Most amulets and rings: 100
- Most expensive armour and weapons (barrows, 3rd age, godwars, pvp): 10
- Rares and spirit shields: 2
If an offer is placed in the Grand Exchange, and it is a valid offer (not still on the timer), the game will search for all offers meeting your price or better, and instantly complete those trades, getting the prices of the already existing offers (not some sort of compromise price). If the offer is then not fully completed, it will wait until it is found by people placing in offers. Thus, all trades occurring in the Grand Exchange occur instantly for one person and not instantly for the other.
Basically, if you are trying to merchant, you do not want your half of the deal to be the instant half because you could have gotten a better price by waiting.
It also is important not to panic while trying to buy or sell items when you still may be on the timer, because your trade will not be completed no matter how good your offer is. Many people appear to not understand this, and put in buy offers for maximum or sell offers for minimum when they are locked out. Then, when their timer expires, the offer becomes valid and is snapped up by a lucky person.
A common misconception about the Grand Exchange is attaching special meaning to the median price. In reality, the median price is the average price of yesterday’s trades and may no longer be relevant.
In general, items are always rising in price or falling in price. If an item is rising in price, an attempt to sell it for median price will be instantly completed, and an attempt to buy for median price will not be instantly completed. The opposite is true for items falling in price.
Imagine that you could buy an item instantly, then sell it instantly. As an example, let’s say that whips are 1,800k median price, and you instantly buy for 1,850k, and instantly sell for 1,801k. This means that at the current time it is possible to buy or sell whips for any price between those two, but not outside this range. Of course, if you were buying, you would want to buy for maybe 1,802k, and if you were selling, you’d want to sell for maybe 1,849k. You want to be the person who gets a good deal by getting people’s instantly completed offers. You want to pay as little as possible, or sell for as much as possible, so that you beat out the next person in line for those instantly completed offers.
Notice the characteristics of this example: the item is rising in price, so the best buy offer is just above median price, but the best sell offer is much more above median price. If the item is falling in price, the best sell offer is just below median price, but the best buy offer is much more below median price. This model is not true if the rate of price change is too high; in some cases, an item may be completely bought out at the maximum price, or completely dumped at the minimum price.
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