Time in Force

#Definition

Time in Force (TIF) is an order persistence policy: GTC = good-'til-cancel; IOC = immediate-or-cancel; FOK = fill-or-kill (if supported).

#What is Time in Force?

TIF specifies how long an order remains active:

• Duration: How long order stays in market
• Execution rules: When to cancel
• Flexibility: Control over timing
• Risk management: Prevent stale orders

#Common TIF Types

#GTC (Good 'Til Canceled)

• Duration: Until you cancel or market closes
• Use case: Patient limit orders
• Risk: Can execute much later
• Best for: Long-term positions, no urgency

Example:

You place a buy order at $0.45 when the market is at$0.50. The order sits in the book for 3 days until the price drops and your order fills.

#IOC (Immediate or Cancel)

• Duration: Execute immediately, cancel remainder
• Partial fills: Accepts what's available
• Use case: Large orders, avoid moving market
• Best for: Quick execution, don't want to wait

Example:

You want 1,000 shares. The book only has 600 available at your price. An IOC order fills the 600 shares and immediately cancels the remaining 400, ensuring you don't leave a lingering order.

#FOK (Fill or Kill)

• Duration: All or nothing, immediately
• Partial fills: Not allowed
• Use case: Must execute completely or not at all
• Best for: Precise position sizes

Example:

You need exactly 1,000 shares to hedge a position. If the book only has 999 shares, a FOK order will cancel the entire order rather than giving you a partial fill.

#DAY (Day Order)

• Duration: Until market close
• Auto-cancel: End of trading day
• Use case: Today only, no overnight risk
• Best for: Short-term opportunities

Note: Less common in prediction markets (24/7 trading)

#Comparison Table

#Developer Guide: Setting TIF

When using an API to place orders, TIF is typically a parameter in your order object.

// Example: Placing a GTC Limit Order
const order = {
  market_id: "0x123...",
  side: "BUY",
  price: 0.50,
  size: 1000,
  type: "LIMIT",
  time_in_force: "GTC" // Good 'Til Canceled
};

// Example: Placing an IOC Market Order
const urgentOrder = {
  market_id: "0x123...",
  side: "SELL",
  size: 5000,
  type: "MARKET",
  time_in_force: "IOC" // Immediate or Cancel
};

#Use Cases

#GTC Orders

Scenario 1: Value Hunting

• Market at $0.60
• You think fair value is $0.50
• Place GTC buy at $0.50
• Wait for price to come to you

Scenario 2: Profit Target

• Bought at $0.40
• Want to sell at $0.60
• Place GTC sell at $0.60
• Auto-exit when target hit

#IOC Orders

Scenario: Large Position

• Want 10,000 shares
• Don't want to chase price up
• IOC gets what's available now
• Can reassess for remainder

#FOK Orders

Scenario: Exact Size Needed

• Hedging another position
• Need exactly 5,000 shares
• FOK ensures precision
• All or nothing

#Platform Support

#Kalshi

• GTC: ✓ Supported
• IOC: ✓ Supported
• FOK: Check documentation
• DAY: Market close varies

#Polymarket

• Default: Typically GTC
• IOC: May be available
• FOK: Check platform
• 24/7: No daily close

#Other Platforms

• Varies by platform
• Check order interface
• May have different names
• Functionality similar

#Strategic Usage

#Conservative Approach

Use GTC for:

• Patient limit orders
• Accumulation over time
• No rush to execute
• Willing to wait for price

#Aggressive Approach

Use IOC/FOK for:

• Immediate execution needed
• Market orders essentially
• Don't want partial fills
• Quick in and out

#Risks and Considerations

#GTC Risks

• Forgotten orders: Execute when you forget
• Stale prices: Market moved, order still live
• Changed thesis: Your view changed but order didn't

Mitigation:

• Review open orders regularly
• Set price alerts
• Cancel when thesis changes

#IOC Risks

• Partial fills: May not get full position
• Worse than GTC: Pay ask instead of waiting
• Slippage: Large orders move price

Mitigation:

• Accept partial fills
• Use for portion of desired size
• Combine with limit price

#FOK Risks

• No fill: All-or-nothing may fail
• Missed opportunity: Partial would have been good
• Inflexible: Market may not accommodate

Mitigation:

• Use for critical sizes only
• Have backup plan if rejected
• Check liquidity first

#Combining TIF with Order Types

#Limit + GTC

• Most common: "Buy 1,000 at $0.50 GTC"
• Patient: Wait for your price
• Flexible: Cancel anytime

#Limit + IOC

• Immediate with limit: "Buy at $0.50 or better, now"
• Protects from bad fills: Won't pay $0.60
• Gets what's available: At acceptable price

#Market + IOC

• Default market order: Essentially same thing
• Execute now: At current best price
• Accept slippage: Within reason

#Best Practices

#Managing GTC Orders

1. Set alerts: Know when they execute
2. Review daily: Cancel stale orders
3. Update prices: As market changes
4. Limit quantity: Don't forget large orders

#Using IOC Effectively

1. For urgency: When timing matters
2. Large positions: Break into chunks
3. With limits: Control maximum price
4. Accept partials: Plan for incomplete

#When to Use Each

• GTC: Default for most limit orders
• IOC: Quick execution, large size
• FOK: Exact size required
• DAY: If platform offers, short-term only

#TIF Decision Tree

#Common Scenarios

#Scenario 1: Slow Accumulation

• Goal: Build 10,000 share position
• Method: GTC buy at $0.45
• Timeline: Days/weeks okay
• TIF: GTC

#Scenario 2: News Reaction

• Goal: Enter before price moves more
• Method: Market or IOC
• Timeline: Seconds
• TIF: IOC

#Scenario 3: Precise Hedge

• Goal: Offset exactly 5,000 shares
• Method: Limit order FOK
• Timeline: Now, but only if full
• TIF: FOK

#Related Terms

• Limit Order
• Market Order
• Order Book
• Liquidity