The term Not-Held refers to broker instructions that permit discretion in order to obtain the best possible price on a security. Not-Held orders are typically associated with market or limit orders.
If a trader has sufficient trust in their broker's judgement, they may decide to place a Not-Held (NH) order. This instruction allows the broker to use their discretion both with respect to the timing of a trade as well as the price paid or received on the security. This type of order is more common when trading international stocks.
Since the order is stating the trader has more faith in the ability of the broker to obtain the best possible price than their own; this order holds the broker harmless in the event the trader suffers a monetary loss. Generally, there are two types of NH orders:
market peg orders, National Best Offer, National Best Bid, market order, limit order, day order, primary peg orders, long position, alligator spread, dark pools, discretionary orders, Do Not Reduce orders, midpoint peg orders, order book