Good Till Triggered (GTT) Order

A GTT order helps you plan a buy or sell order in advance without continuously tracking stock prices. The trigger remains active until it is triggered, cancelled, or reaches its validity period.

• GTT stands for Good Till Triggered.
• The order is activated when the stock reaches the price condition you have set.
• A GTT order can remain active for up to 1 year.
• Triggering a GTT order does not guarantee execution.
• You can view, modify, or cancel a pending GTT order.
• GTT orders reduce the need to continuously monitor stock prices.
   

A Good Till Triggered (GTT) order allows you to set a specific trigger price for buying or selling a stock. The trigger remains active until the specified condition is met, the GTT is cancelled, or its validity expires.
Once the trigger price is reached, the corresponding order is placed on the exchange. However, this does not mean that the trade will definitely be completed.
For example, suppose you want to buy a stock when its price falls to ₹900. You can create a GTT with ₹900 as the trigger price. When that price condition is met, your order is sent to the exchange.
A GTT trigger is generally valid only once. If it is triggered but the resulting order is not executed, you may need to create a fresh GTT order.
 

You can use a GTT order by choosing a stock and setting the price at which you want your buy or sell order to be activated.

The basic process is:

1. Select the stock for which you want to create a GTT.
2. Choose the GTT option.
3. Select the relevant segment, such as Delivery or Margin.
4. Enter the quantity of shares.
5. Set the trigger price.
6. Create the GTT order.
7. Check the confirmation after the GTT has been created.
8. View, modify, or cancel the pending GTT from the order section when required.

For example, if a stock is trading above the price at which you are comfortable buying it, you can set a lower trigger price. The GTT will remain pending until that price condition is met or the order expires or is cancelled.

A GTT order can be useful when you have already decided the price at which you want to buy or sell a stock but do not want to continuously monitor its market price.
For example, if you hold a stock and have a particular selling price in mind, you can set a GTT sell trigger at that level. If the price reaches your trigger, the corresponding sell order is placed on the exchange.
Similarly, you can set a buy trigger at a price at which you would be willing to purchase a stock.
Keep in mind that a GTT helps automate order placement, not guaranteed execution. Whether the resulting order is completed depends on market conditions and the details of the order.
 

GTT orders may be available with different trigger formats depending on the broker and trading platform.

1. Single trigger

A single-trigger GTT uses one predefined trigger price. When the Last Traded Price (LTP) reaches or crosses the specified trigger level, the corresponding order is activated.
You can use a single trigger when you have one specific entry or exit price in mind.
For example, if you want to buy a stock only when it reaches ₹500, you can set ₹500 as the trigger price.

2. One Cancels the Other (OCO) trigger

An OCO, or One Cancels the Other, setup uses two trigger conditions. It is commonly structured around a target price and a stop-loss price.
When one trigger condition is met, the corresponding order is activated and the other trigger is cancelled.
For example, if you hold a stock, you may set one trigger above the current price as a target and another below the current price as a stop-loss level.
The availability and exact working of OCO GTT orders can vary by broker or trading platform.
 

Here are some basic points to understand before using a GTT order:

• Validity: A GTT order can remain active for up to 365 days or 1 year, depending on the applicable platform terms.
• One-time trigger: Once a GTT has triggered, the same trigger generally cannot be used again.
• Execution is not guaranteed: Reaching the trigger price activates the corresponding order, but the resulting trade may or may not be executed.
• Funds and holdings: You need the required funds or securities when the resulting order is placed.
• Order management: Pending GTT orders can be viewed, modified, or cancelled before they are triggered.
• Broker-specific conditions: Availability, supported segments, trigger types, and other conditions may differ across brokers.
   

GTT orders can make it easier to manage planned entry and exit prices without constantly watching the market.

Some of the main benefits are:

• Time-saving: You do not have to continuously monitor the stock to check whether it has reached your chosen price.
• Predefined prices: You can decide your trigger price before the market reaches that level.
• Trade management: GTT orders can help you plan when you want an order to be placed.
• Longer validity: A GTT can remain active for up to 1 year, instead of being limited to a single trading session.
• Flexibility: Pending GTT orders can generally be modified or cancelled before they are triggered.

These features can be useful when you have already decided your preferred price levels but do not want to track the stock throughout every trading session.

GTT availability depends on the stocks, segments, and conditions supported by your broker or trading platform. Therefore, you should check whether the GTT option is available for the particular security before placing the order.
Where supported, a GTT can remain active for up to 365 days or 1 year, unless it is triggered or cancelled earlier.
 

A Good Till Triggered order allows you to set a price condition in advance for buying or selling a stock. Once the trigger condition is met, the corresponding order is sent to the exchange, reducing the need to continuously monitor prices.
However, a triggered GTT does not guarantee that the trade will be executed. The final execution depends on the order conditions and the market. Understanding these points can help you use GTT orders more effectively as part of your trading or investment process.