What is a Good This Week?
Good this week is a type of trade order that is automatically canceled if it is not filled by the end of the week in which the client makes the order.
How Does a Good This Week Work?
For example, let's assume an investor wants to sell 100 shares of Company XYZ at $25 per share or better. She places a 'good this week' order with her broker on Wednesday. The broker has the rest of the week to sell the shares at $25 per share or higher. If he cannot do so, the order expires at the end of the day on Friday.
Why Does a Good This Week Matter?
A good this week order is a type of limit order. Limit orders in general can limit losses and lock in profits by giving investors some sort of a specified purchase or sale price. This makes them very useful in low volume or high volatility markets.
It is important to note that a limit order will not be executed if the market price does not meet the order requirements. This can be troubling for investors who need immediate liquidity.
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