Definition of Time-In-Force

Time-in-force (TIF) refers to instructions that determine how long an order remains active in the market before it is executed or expires. These instructions allow traders to specify the duration and conditions under which their orders should be carried out.

Types of Time-In-Force Instructions

1. Immediate Or Cancel (IOC):
   An IOC order stipulates that any portion of the order that cannot be filled immediately is canceled. Traders can specify a "Minimum Amount" to ensure that at least a certain quantity is executed instantly. The remainder is voided if not fulfilled right away. This type is ideal for traders looking to execute as much of their order as possible without waiting for partial fills.
2. Fill Or Kill (FOK):
   FOK orders require the entire order to be executed immediately. Otherwise, the whole order is canceled. This ensures that traders do not receive partial fills, maintaining the desired position size. FOK is particularly useful in volatile markets where partial executions could lead to unwanted exposure or insufficient position sizes.
3. Good Till Date (GTD):
   GTD orders remain active until a specified date unless they are executed or canceled beforehand. Traders can set a date up to 95 days in the future. This provides ample time for the order to be filled under favorable market conditions. If the order is not fulfilled by the set date, it automatically expires. This helps traders manage their orders without needing constant monitoring.
4. Good Till Cancelled (GTC):
   GTC orders stay active indefinitely until the trader decides to cancel them or they are executed. On platforms like Blockchain Exchange, GTC orders remain valid for up to 95 days. After this period, they expire at midnight GMT+1. This type is suitable for traders who have a long-term strategy and prefer not to manage their orders continuously.

TIF Applications

Time In Force instructions are essential tools for active traders. They allow traders to tailor their trading strategies to specific market conditions and personal preferences. By setting appropriate TIF parameters, traders can:

• Ensure that orders are filled promptly or canceled to avoid unwanted delays.
• Decide how long an order should remain active, aligning with short-term or long-term trading strategies.
• Use specific TIF types to achieve desired execution outcomes. This includes avoiding partial fills or ensuring complete order fulfillment.

Things to Remember

• Time In Force (TIF) Control: TIF instructions allow traders to specify how long their orders remain active in the market. This provides control over order execution timing and conditions, enhancing trading flexibility.
• Types of TIF: There are four primary TIF types—Immediate Or Cancel (IOC), Fill Or Kill (FOK), Good Till Date (GTD), and Good Till Cancelled (GTC). Each type offers different execution behaviors to suit various trading strategies.