Trade Reporting Frequently Asked Questions

A "Stop Stock" transaction is defined under the trade reporting rules as any transaction that meets both of the following conditions: These developments heralded the appearance of " market makers ": Please help improve it or discuss these issues on the talk page.

Members are reminded that these trades are subject to the Regulation NMS Order Protection Rule, unless a specific exception or exemption applies. If the original trade report was marked "for publication" or "media" and thus was disseminated, the reversal must also be marked "for publication" or "media.

If the price of the stock is above the exercise price of the warrant, the warrant must have what is known as a minimum value. If the parties agree to shift the trade reporting obligation to BD1, is BD2 responsible for timely reporting of the trade? Should BD1 use the short sale or the short sale exempt indicator on the tape report?

For purposes of the trade reporting rules, a "trade" or "transaction" entails a change of beneficial ownership of securities between parties e. When reporting trades based on a prior reference price, firms should use the. T modifier.

It is possible that the other two tape-reported trades in this example also occurred on the NYSE. The ability for individuals to day trade coincided with the extreme bull market in technological issues from to early , known as the Dot-com bubble. Range trading, or range-bound trading, is a trading style in which stocks are watched that have either been rising off a support price or falling off a resistance price.

Where a tape only report is being submitted to a FINRA Facility, a give-up agreement is not required for the member with the reporting obligation to identify the contra party to the trade on the trade report. Notwithstanding that there is no order underlying the sale, the firm should trade report in a manner consistent with the guidance set forth for order marking in SEC Division of Market Regulation: In the past, when both the.

The reporting firm must include in the transaction report all of the information that is pertinent to a particular transaction. A persistent trend in one direction will result in a loss for the market maker, but the strategy is overall positive otherwise they would exit the business. For example, Party 1 wants to give Party 2 50 shares of ABCD security, but to have the shares transferred correctly, Party 2 must "buy" them for a nominal value that is unrelated to the share price.

Plan-Issued Securities legal definition of Plan-Issued Securities by

Would the sale of a block of stock at a discount reflecting the risk in purchasing such a large block constitute an "away from the market sale" under the trade reporting rules, such that it would not be reportable to the tape? If a trade is executed at quoted prices, closing the trade immediately without queuing would always cause a loss because the bid price is always less than the ask price at any point in time.

BD2 should report the trade showing BD1 and BD2 as the parties to the trade on the tape report, and BD1 is subject to all applicable trade reporting rules e. W modifier not the prior reference price PRP modifier and an execution time of 9: The two members negotiate the terms and ultimately agree to trade at a price different than BD1's quoted price. By using this indicator, the reporting firm is confirming that the price it originally entered is correct, even though it is away from the current market.

W modifier should not be used. What time should be entered in the execution time field on non-tape reports of "bulk" step-outs?