On some mainly: US financial and commodity exchanges established brake. For example, if Sorgho futures had a closing price of 5.50 USD the previous day, and if the price limit is 0.30 USD, the maximum price that can be reached during the next trading session is 5.80 USD up or 5.20 USD down – However, most exchanges reserve the right to extend these limits if the price limit has been reached in one direction on one, two or three consecutive days. – If the limits were changed automatically after repeated limit movements, then they are called variable limits. – See algorithm trading, gap, price change limit, price limit order, tally note.
Attention: The financial encyclopedia is protected by copyright and may only be used for private purposes without express consent!
University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/