TRADING LAST Meaning and
Definition
-
Trading last refers to the practice of prioritizing the execution of an order for a particular security based on the price at which it was last traded. It is commonly used in electronic trading platforms, where multiple orders are being processed simultaneously.
In trading last, when multiple orders for the same security are received, the order with the most favorable price (typically a higher bid or a lower offer) from the last traded price is given priority in execution. This means that the order with the closest price to the last traded price takes precedence over other orders for the same security.
This trading method aims to ensure fair and efficient price discovery. By giving priority to the orders closest to the last traded price, it encourages the continuous matching of buy and sell orders, which helps determine the most accurate and up-to-date market price for the security. Trading last allows market participants to act quickly and take advantage of any opportunities arising from price fluctuations.
It is important to note that trading last may not always result in the execution of an order, particularly if the market is highly volatile or if there are significant differences between the last traded price and the prices of the received orders. In such cases, the order may be withheld or executed at a later time when more favorable conditions are met.
Common Misspellings for TRADING LAST
- rrading last
- frading last
- grading last
- yrading last
- 6rading last
- 5rading last
- teading last
- tdading last
- tfading last
- ttading last
- t5ading last
- t4ading last
- trzding last
- trsding last
- trwding last
- trqding last
- trasing last
- traxing last
- tracing last
- trafing last
Infographic
Add the infographic to your website:
