What is an ATC order? How to use ATC orders in stocks

In today's exciting stock market, in order to support investors in the trading process, the trading system has many different orders. ATC order is one of the orders in the securities trading system.

The ATC order is only valid for the last 15 minutes at the last order matching session, but it is extremely valuable. So What is ATC command?? How to use ATC order in securities? Let lamchutaichinh answer your questions right in the article below.

What is an ATC order in securities?

In the stock trading system, an ATC order, also known as At the Close, is an order to sell or buy a security at the closing price regardless of the price at that time.

That is, the ATC order allows the client to execute trades near the close of the end of the trading session. This trading session takes place within the last 15 minutes, also known as the ATC session.

During the ATC session, sell or buy orders will be gathered by the system within 15 minutes and arranged in two directions of buying and selling. When the arrangement is complete, it will match the trading volume with the largest price, then it will be fixed at the ATC price, the closing price.

In short, ATC Orders are people who place buy and sell orders at the ATC price

Salient features of the ATC . order

After understanding what the ATC instruction is, in order to understand and be able to use it fluently, we need to know the salient features of the ATC instruction as follows:

ATC orders are only valid at the ATC session, that is, the periodic schedule matching session at the last 15 minutes of the transaction.
The ATC session is held from 14h30 to 14h45.
When matching orders, ATC orders will take precedence over LO limit orders when matching orders.
ATC orders are entered into the entire trading system from 10:15 a.m. to 10:30 a.m. in the periodic order matching session to determine the final price and closing price.
In stock trading, once the ATC order has been closed, it is not allowed to change, cancel or supplement.
After the end of the closing price, the Order will be automatically canceled if it falls into the following two cases: The order is not executed or has not been fully executed.
The ATC order is not applied on UpCom, but only on HNX and HSX
The transaction price of the ATC order is directly affected and complied with by the market price, so the ATC order does not have a fixed price and will be closed in the last 15 minutes of the transaction.

Advantages and disadvantages of ATC . orders

Advantages:

ATC orders have priority to match orders first compared to limit orders at the end of the ATC session (trading session). Therefore, investors can quickly sell or buy shares, based on this, investors will take profits and cut losses quickly.
At the last trading session, investors can rely on ATC orders to compete to buy or sell to avoid missing opportunities.
If the execution of ATC orders is not completed or cannot be completed, there will be an automatic cancellation mode after the end of the closing price time.

Defect:

Once the order has been closed, the investor will not have the right to cancel the changes or additions
A notable disadvantage, when using ATC orders, investors will accept a disadvantage of buying at high prices and selling at low prices. The difference in order matching
In addition, when using ATC orders, investors need to have experience to calculate and prevent possible risks.

Principle of ATC order matching in securities

When executing any order in securities, it is necessary to follow specific rules. And ATC orders are followed by two principles of priority in price and time as follows:

Price priority principle: Investors will be given priority to execute first if in the case of a buy order at a higher price and a sell order at a lower price
Principle of time priority: The securities system will prioritize entry orders earlier if investors execute buy orders and sell orders with the same price:

At the end of the trading session, once the closing price has been determined, the trading orders will be locked and entered fixed into the system and cannot be changed. The system will notify ATC but not accurately record any data.

Instructions for using ATC orders in securities

In the stock market, ATC order is a familiar name and is used a lot, especially at the time of continuous order matching in the system.

In the last trading session of ATC, if the investor has not completed or completed the order, the ATC order will be automatically canceled after the closing price is over.

However, thanks to this very useful auto-cancellation mode, ATC orders have become an effective support tool for investors.

On the contrary, some other investors, because of this automatic cancellation, have to bear some risks such as buying orders at high prices and selling at low prices.

To minimize these situations, investors need to have a vision, learn and learn carefully before making a decision so as not to miss the opportunity to bring the highest profit.

Here, lamchutaichinh introduces you to the notes when using ATC orders in securities:

The ATC order is not applicable for continuous order matching with Upcom. At this exchange, ATC orders can simply be used.

On exchanges, the symbol of ATC order is U

Investors need to make sure that the money in the account is enough to pay for the volume of shares when matching orders before placing an ATC order. This investors need to grasp by taking the total amount in the account divided by the ceiling price of the trading session that you are having.
Investors need to be careful before closing ATC orders, because in the ATC session, when the final price is closed, it will not be possible to add, edit or change ATC orders.
During the ATC session when the last price is closed, the ATC order will be executed if you place a limit order where the ask price is less than or equal to, and the buy price is higher or equal to.
In the ATC session when the last price has been closed, the order will be executed in case the investor places an LO order (limit order) but in the case the selling price is lower than or equal to the closing price and vice versa. ATC on the price list will not determine the final matching price.
Investors can place ATC orders in the last minute to get profits, but on the other hand, investors need to have knowledge and learn about the stock market before participating in transactions to grasp Grab the opportunities you deserve.

Some terms related to ATC in securities

Above, perhaps you have somewhat understood what the ATC command is and how to use the ATC command. However, below lamchutaichinh will supplement you with some common terms, related to ATC in securities.

What is ATC in stock price list?

In the stock price list, ATC is denoted by U.

ATC price is understood as the bid or ask price in the ATC session after determining the ending price

What is ATC stock?

ATC shares are understood as stocks in the stock exchange used to buy or sell according to ATC orders.

At the last trading session, when there are 15 minutes left, when you want to buy or sell any type of stock, you can use the at the close order to enter the transaction.

What is the ATC stock price?

The price of ATC stock is the bid price or order to sell shares traded with the At the close order – an order to trade at the specified price in the last session.

What is an ATC session?

A term used when in that trading session there is an order at the close order, there is an ATC order matching price to determine the closing price is the ATC session.

Conclusion

Above, lamchutaichinh has answered your question What is ATC command? and useful information when you use ATC orders in your stock exchange. Hope this information helps you succeed!

The article was edited by: Lamchutaichinh.vn