Different Types of Orders in Stock Market based on time

Orders can be classified as following based on time conditions.

Immediate or Cancel (IOC): In an IOC order, as the name suggests, a counter order with the matching price should be available immediately other wise the order will be cancelled. Quantity doesn’t need to be matched i.e. partial matches are allowed but the unmatched quantity will be cancelled. For example, if an order is placed for 10000 shares and if the order is matched only for 5000, then only 5000 shares are traded and the order for the other 5000 shares will be cancelled.

Good-till-date: In good-till-date order the orders stay open till a defined date. Orders are cancelled if they are not executed by that date.

Good-till-cancelled: As the name suggests this order is valid until they are cancelled by the customers, if not executed.

It should be noted that the acceptance of different types of orders varies from exchange to exchange and may depend upon the broker.

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July 27, 2008 | Filed Under Stocks 

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