Time orders are those orders which are good for a specific period of time only and they get canceled or expire after a particular period of time. There are various types of time orders; let’s look some of them –
1. Day orders – These type of order is open for execution from the time the order is placed till the end of the day’s trading session. Therefore at the end of trading day it will be canceled automatically and it will not be applicable for next trading day.
2. Good till canceled order (GTC) – These types of orders remain open for many days until they are executed or they are canceled by the person who has put that order.
3. Immediate or cancel order (IOC) – This type of order is immediately canceled if it is not executed. It gives instant result either the order is executed or it get canceled.
Apart from above orders there can be other orders like good this week which remains open till the last day of a trading week, or good this month which remain open until the last trading day of the month.