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The second General Order of the Guard emphasizes the importance of vigilant observation in a military setting. It instructs the guard to observe everything that happens within their vicinity. This is crucial for maintaining security and situational awareness, as it allows the guard to detect and respond to any potential threats or unusual activities. Proper observation ensures the safety of the unit and the protection of sensitive areas and personnel.

In this context, the focus is on being alert and attentive, as a failure to observe could lead to lapses in security and jeopardize the mission and the safety of those being protected. Observing everything enables the guard to report accurately and take necessary action when required, which is fundamental to their role.

While other options relate to important responsibilities of a guard, such as quitting post only when relieved and taking charge of government property, the correct answer highlights the proactive role of observation as the foundational aspect of a guard's duties.