Time In Force
The instruction that says how long an order stays active before it expires.
Also called: tif · day order · gtc · good til canceled · ioc · fok
In plain language
Day orders expire at the close of the session. Good-Til-Canceled orders persist across days until filled or pulled — often with a broker-imposed maximum.
Immediate-Or-Cancel fills whatever it can right now and cancels the rest. Fill-Or-Kill demands the entire quantity instantly or nothing at all.
Some brokers also offer at-the-open and at-the-close instructions that participate only in the auction at either end of the session.
Why it matters
Time in force decides whether a forgotten order quietly disappears or fires days later into a market that has completely changed.
Common mistakes
- Leaving GTC orders live after the setup that justified them has expired.
- Using day orders for a swing-trade stop, leaving the position unprotected overnight.
Keep exploring
These concepts are connected. Understanding one usually makes the next one easier.
An order to buy or sell at a specified price or better — it may not fill at all.
A pair of orders where filling one automatically cancels the other.
The actual execution of an order, at the price and quantity you really received.
The firm that routes your orders to the market and holds your account.
Trading sessions before the open and after the close, with far less liquidity.