Market On Close (MOC)
What it is:
Market on close (MOC) is a market order that is executed at the latest possible time during a trading session.
How it works/Example:
When a trader receives an MOC from a client, that trader may enter the order as late as he or she believes possible before the close of trading for that day. For example, if the market closes at 4:00 p.m. and a trader has an MOC that will take five minutes to fully execute, the trader will likely choose to execute it at 3:54 or 3:55 p.m.
Why it matters:
Investors submit MOC orders based on the belief that a security will experience a substantial increase or decline in value toward the end of trading session.