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Market-on-Close (MOC) Order

MOC

A market order that executes in the official closing auction at the day's closing price. Used to guarantee a close print; large MOC imbalances can move price into the bell.

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A market-on-close (MOC) order is a non-limit order submitted during the trading day that is held and executed in the exchange's official closing auction at the final settlement price. You are guaranteed to receive the closing print — no price guarantee.

Index funds and ETF managers use MOC orders to track their benchmarks, since index calculations use closing prices. This creates predictable end-of-day demand: on index rebalance dates or ETF creation/redemption days, large MOC imbalances can move individual stocks significantly into the close.

MOC orders must be entered before the exchange's cutoff (3:45 PM ET on NYSE for most stocks). They can be cancelled before the cutoff but not after. Imbalance data — published by exchanges in the final minutes — is closely watched by institutional traders looking to fade or lean into the closing flow.

#order-types#execution#institutional

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