What is the Full Form of GFD in the Share Market?

The GFD full form in the share market is Good for Day Order. These types of orders enable the clients to place both the buy and sell orders, which are to be executed within the trading day. After the order is placed, it will remain open till the end of the trading day or until the order is filled. If in case the order is not executed partially or fully at the end of the trading day, then it stands cancelled. This type of trading is ideal for active traders who wish to buy or sell stocks on a specific day.

Features of a GFD order:

Day orders are generally limit orders whose duration is limited to that trading day. Traders should buy or sell securities within the duration. If the trade is not triggered, then the order goes unfulfilled and can also be canceled at the end of the trading session.

Advantages of GFD orders:

Good-for-Day Orders are of great use for traders ordering security at a specific price point. The trader need not monitor the security for the rest of the day, waiting for the right time to execute. Such trading is highly beneficial for intraday traders to monitor and trade multiple securities at a single time.