Day-Around Order

What is ‘Day-Around Order’

An order that cancels and replaces a previously submitted day order, producing a new request with an adjusted volume or price limit. The term is primarily used by traders in the general equities market. As with a day order, the day-around will expire by the end of the business day.

Explaining ‘Day-Around Order’

A day-around order simplifies the cancellation and reorder process in trading by combining a cancel order form with a day order. For example, let’s say that an investor submits a day order to purchase stock XYZ with a limit at $50. The investor hears some detrimental news surrounding company XYZ and wants to lower the limit on the day order. Instead of submitting a cancel order form and submitting another day order, the investor can simply submit a day-around order with a new limit price.

Further Reading

  • On the volatility and comovement of US financial markets around macroeconomic news announcements – [PDF]
  • Every minute counts in financial markets – [PDF]
  • Information asymmetry around earnings announcements – [PDF]
  • How different is Japanese corporate finance? An investigation of the information content of new security issues – [PDF]
  • Sand in the wheels or spanner in the works? The Tobin tax and global finance – [PDF]
  • The long-term share price reaction to black economic empowerment announcements on the JSE – [PDF]
  • Abnormal returns to acquired firms by type of acquisition and method of payment – [PDF]
  • Limit Order, Market Order and Cancellation in Foreign Exchange Market: One Particular Day Experience – [PDF]
  • Conducting event studies on a small stock exchange – [PDF]