MOC
Market On Close Order

MOC Order or Market On Close Order allows the trader to buy or sell in the post market auction at the market's closing price.

After you create your 'Trading Action Plan', based on your own technical or fundamental research, next step you are going to take is, placing your order with your broker. Before you can start buying and selling stocks, you must know the different types of orders. You must be aware as to which order is appropriate and its implications.

What is a MOC Order or Market On Close Order?

This is a conditional request made to the broker (or the system) to buy or sell a stock at the market closing price.

Most markets have single-price auctions at the beginning and the end of regular trading. This order allows the trader to buy or sell in the post market auction at what ever the market close price. Market closing price may be the last traded price for the day. But many stock exchanges will have weighted average price of the last half an hour as the closing price.

So when ever we place Market On Close Order both selling and buying orders are matched for the single market closing price.

When to use a MOC Order or Market On Close Order?

This order is placed to ride the trend till the last moment of the trading. When you are in a highly trending market you may not want to miss the last few minutes of price action.

It is also true that in such a trending market, many times the last few minutes gives a more pronounced price movement. In such an event market on close order will keep us in the market till the end.

These is a saying that, amateurs open the market and professionals close the market.

In Technical Analysis of stock market, by watching present bar or the candlestick the movement of the price in the next time period is speculated.

That is every 5 minute candle gives us the hint for the next 5 minute price movement and every 30 minute candle will give us the hint for the next 30 minute price movement, and so on.

Similarly based on today's price action next day's trend is analyzed. Accordingly a stock is bought or sold in the last 5 to 10 minutes of trading. Alternatively a Market On Close order is placed to buy or sell a stock at the market closing price.

When not to use a MOC Order or Market On Close Order?

Market On Close Order will not assure you the trade. If there are not enough buyers you will not be able to sell a stock and vice versa. When you are short and could not close the trade by buying you will be penalized by buying the your stock in auction, where you may incur a huge loss.

So do not use MOC Order to cover your short position. Instead close your trade during the trading hours.

Compare MOC Order or Market On Close Order with other type of orders:

  • All or None Order
  • It is a conditional request made to the broker (or the system) to buy or sell a required number of shares at particular price, only if full quantity of shares are available.
  • GTC Order
  • It is a conditional request made to the broker (or the system) to keep the order in system until it gets executed or canceled.
  • GTD Order
  • It is a conditional request made to the broker (or the system) to keep the order in system until it gets executed or till a predetermined date.
  • IOC Order
  • Immediate or Cancel is a conditional request made to the broker (or the system) to execute the transactions immediately or to cancel it.
  • Limit Order
  • Limit Trading Order is a conditional request made to the broker (or the system) to buy or sell a stock at a particular price or at a better price.
  • Market Order
  • Order to buy or sell at market is a conditional request made to the broker (or the system) to execute the transactions with the immediate best available price.
  • Stop Loss Order
  • Order at stop is a conditional request made to the broker (or the system) to execute the transactions with the immediate best available price, once the price crosses a predetermined trigger price.
  • Stop Limit Order
  • Order at stop limit is a conditional request made to the broker (or the system) to execute the transactions with the immediate best available price, once the price crosses a predetermined trigger price but with in a predetermined limit price.
  • Minimum Fill Order
  • This is a conditional request made to the broker (or the system) to execute the transactions only when a minimum number of shares are available.
  • One Cancels Other Order
  • This is a conditional request made to the broker (or the system) to execute one of the two orders, which ever meets the required parameter first, and cancel the other.
  • Limit on Close Order
  • This is a conditional request made to the broker (or the system) to buy or sell a stock at the closing price but with in a limit price.
  • Market on Open Order
  • This is a conditional request made to the broker (or the system) to buy or sell a stock at what ever the market opening price.
  • Limit on Open Order
  • This is a conditional request made to the broker (or the system) to buy or sell a stock at what ever the market opening price but with in a predetermined limit price.
  • Market If Touched Order
  • This is a conditional request made to the broker (or the system) to buy or sell a stock at what ever the market price only after the stock trades at particular predetermined price.
  • Iceberg Order
  • This is a conditional request made to the broker (or the system) to buy or sell a large required quantity of stock, but in smaller predetermined quantity.
  • Fill or Kill Order
  • This is a conditional request made to the broker (or the system) to execute the transactions only if the full quantity of shares are available, or else to cancel the order.





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