Definition
After-Market Order (AMO)
An after-market order is an order placed outside regular trading hours that is queued by the broker and submitted to the exchange when the market next opens.
Indian brokers let investors place AMOs in the evening or early morning so they don't have to be online at the open. The order is held on the broker's system and released into the pre-open or regular session, letting working investors act on overnight news at their convenience.
AMOs are not live in the market until the session begins, so their execution depends on the opening price and queue position. Brokers may restrict order types and apply their own price-band checks on AMOs to protect investors from placing wildly off-market prices overnight.
Related terms
- Pre-Open SessionThe pre-open session is a short window before regular trading begins, during which orders are collected and a single opening price is established through a call auction to absorb overnight information.
- Day OrderA day order is valid only for the trading session in which it is placed; if it is not executed by the close, it is automatically cancelled and does not carry over to the next day.
- Good Till Triggered (GTT) OrderA Good Till Triggered order is a broker-side instruction that holds a trade until a specified trigger price is reached, at which point an actual exchange order is placed, valid for an extended period such as a year.
- Basket OrderA basket order lets a trader group multiple securities with defined quantities and order types into a single saved set that can be reviewed and fired together in one action.
Plain-English explainer from The Dispatch Investors Encyclopedia. General information, not financial advice.