Good Till Cancelled (GTC)
Quick Definition
An order type that remains active until it is either executed or manually cancelled by the investor.
Key Takeaways
- GTC orders remain active across multiple trading days until filled or cancelled.
- Most brokerages cap GTC duration at 60-180 days.
- Review GTC orders periodically—market conditions change and forgotten orders can execute unexpectedly.
What Is Good Till Cancelled (GTC)?
A good-till-cancelled (GTC) order is a time-in-force instruction that keeps an order active on the exchange until it is filled or the investor cancels it. Unlike a day order (which expires at market close if unfilled), a GTC order persists across multiple trading sessions. This is useful for investors who want to buy a stock if it drops to a target price or sell if it reaches a profit target, without having to re-enter the order each day. Most brokerages impose a maximum duration on GTC orders—typically 60 to 180 days—after which the order automatically expires. GTC orders are commonly used with limit orders for passive, patient execution strategies. Investors should review GTC orders periodically, as market conditions may change, making the original price target no longer appropriate. A forgotten GTC sell order, for example, could execute at a now-undesirable price weeks later.
Good Till Cancelled (GTC) Example
- 1An investor places a GTC limit order to buy Microsoft at $350. The order stays active for 90 days until the stock dips to that level.
- 2A forgotten GTC sell order at $25 executes three weeks later when the stock briefly touches that price during a volatile session.
Related Terms
Limit Order
An order to buy or sell a security at a specific price or better, giving you price control but no execution guarantee.
Fill or Kill (FOK)
An order type that must be executed immediately and completely or cancelled entirely—no partial fills allowed.
Stock
A security representing ownership in a corporation, entitling the holder to a share of profits and voting rights.
Initial Public Offering (IPO)
The first sale of a company's stock to the public, transitioning it from private to publicly traded.
NASDAQ
The National Association of Securities Dealers Automated Quotations — the second-largest stock exchange globally, known for its concentration of technology and growth companies.
S&P 500
A market-capitalization-weighted index tracking 500 of the largest U.S. publicly traded companies, widely considered the best single gauge of the American stock market.
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