Trading day structure and phases

Trading day structure and phases for equities market

Trading day structure

 * Randomly picked by the system between 15:59:30 and 16:00:00.

 1. Pre-Open
(from 9:00 to 10:00) is a time period when orders are placed, modified and cancelled. Also manual trades can be reported. During this trading phase there is Market by Order dissemination of the order book. The Market by Order shows displayed volume and limit price and does not include On-open, On-close, Non-displayed, Market and Hidden iceberg volumes.

From 09:45 to 10:00 equilibrium data including equilibrium price if established is disseminated for all issues, and is updated once a second if information is changed

2.Opening call (Uncross)

Uncross starts at 10:00 and order books are transferred to the continuous trading. The uncross lasts a short time, usually a fraction of a second. A random uncross sequence for the Order Books is applied.

In the course of the opening call, order books are transferred to continuous trading. As a result orders are matched in the order book according to the equilibrium price. The equilibrium price is established when in a particular order book’s buy and sell order prices overlap e.g. the buy price is higher than or equal to the sell price.

3. Continuous trading  (from 10:00 to 15:55) is the period for entering transaction orders in the trading system and negotiating trades.
Transactions can be negotiated in two ways:

Automatic matching – buy and sell orders are matched by the trading system automatically according to price, displayed volume and time priorities. 

Manual trades  – Manual trades are negotiated between stock exchange members outside of the trading system and then brokers enter the deal in the trading system within three minutes after its conclusion. During the trading hours standard manual trades in compliance to standard requirements with regard to price, time and settlement can be reported. Standard manual trades below the Block transcation limits have to be made within the volume weighted average spread. Where it is impossible to establish volume weighted average spread, the Manual trade shall be executed at a price that reflects the current market value.  

4. Period before closing call (from 15:55 to ~16:00) is a time before the close call when transaction orders are placed, modified and cancelled. During this period there is no auto matching of orders. During this trading phase there is Market by Order dissemination of the order book. From 15:55 equilibrium data including equilibrium price if established is disseminated for all issues, and is updated once a second if information is changed

5. In the course of the closing call auction (uncross), transaction orders are matched in the order book according to the equilibrium price. The equilibrium price is calculated by the same principles as in opening call.

Closing call auction takes place from 15:59:30 till 16:00:00. A random uncross sequence for the Order Books is applied. The exact point in time when the uncross takes place in the Closing call is randomized within the last 30 seconds.

6. Post-trading session (from ~16:00 to 16:30): only manual trades can be reported and submitted orders can be cancelled during the after-market trading period. 

Electornic trading system INET Nordic is used for trading in equities market.

Trading day structure and phases for fixed-income submarket

During the trading hours  (10:00 – 16:00) members may place, change, suspend, resume or cancel orders. Sell and buy orders that correspond in yield, volume and other conditions are matched into trades via automatic order matching. Manual trades may be reported during this trading phase.

Members may not place or change orders and report manual trades during the pre-trading session or post trading session.

In all Baltic exchanges trades in bonds market may be automatically matched or executed as manual trade.

Electronic trading system Genium INET is used for trading in fixed-income market and for execution of the Special procedures.