Trading Flashcards
“Auction call session”
A period of time during which orders FOR INCLUSION IN AN AUCTION can be entered into and deleted from the central order book and there is no automated trading.
Define “auction matching”
The process of matching buy and sell orders ACCORDING to a MATCHING ALGORITHM at the end of an auction call session.
Define “auction price”
The price of transactions RESULTING from an UNCROSSING at the END of an AUCTION CALL session.
A transaction matched automatically in the JSE equities trading system during continuous trading.
“automated trade”
A transaction matched automatically in the JSE equities trading system resulting from an uncrossing at the end of an
auction call session.
Define “auction trade”
“central order book”
The order book of the JSE equities trading system in which automated and auction trades occur according to price
then time priority
“trade cancellation”
The cancellation of an on book or off book trade on the same business day or next business day.
“direct market access”
The process whereby an order is received electronically by a TSP from a client and then submitted electronically to the JSE equities system by MEANS OF AN ORDER ENTRY APPLICATION operated by the TSP, without the intervention of a registered securities trader.
“equity securities”
Those JSE listed securities traded on the JSE equities trading system
“foreign professional market participant”
A person who does not reside in the Republic and whose regular business is the buying and selling of securities.
The computer system or systems and associated network or networks operated or used by the JSE for the purpose of providing a market for the trading of equity securities
JSE equities trading system
The person appointed by the JSE to supervise, administer and control the daily operations of the JSE equities trading system.
“market controller”
“market order”
An order submitted to the central order book during an auction call period with no price limit, which is held on the central order book and may execute either in full or in part against eligible orders, at the price of a new order entered into the central order book or at the reference price.
market order extension session
An extension to an auction call session WHICH OCCURS when there would be UNEXECUTED MARKET ORDERS on the central order book following AUCTION MATCHING.
member trading application
Any system, software or program operated by a member which submits data to and receives data from the JSE equities trading system.
Define “Agricultural Derivatives”
those commodity securities which are derivative instruments and the financial terms of which are determined by an underlying agricultural product, which is physically settled in terms of the derivatives rules.
“order”
An instruction from a client to buy or sell equity securities or an instruction to amend or cancel a prior instruction to buy or sell equity securities
Define “order entry application”
Any system, software or program operated by a member which facilitates electronic submission of orders to a member trading application and which complies with such requirements as the JSE may from time to time prescribe in the directives.
Define “on-book trade”
Means a transaction in equity securities executed by a member on the central order book of the JSE equities trading system.
Define “pre-issued trading”
Transactions effected in pre-issued securities in accordance with the rules.
Define “pre-issued securities”
Entitlements to equity securities the listing of which on the JSE has been approved but where the listing becomes effective only after a number of conditions have been fulfilled on or before the commencement date of official trading.
“price monitoring extension session”
An extension to an auction call session which occurs when the INDICATIVE AUCTION PRICE is a SPECIFIED percentage or more away from the reference price.
Define “reference price”
The last auction or automated trade price or the previous closing price, whichever is the most recent, or in the absence of a last auction and automated trade price or a previous closing price, a price as determined by the JSE.
Define “registered securities trader”
An employee of a member, registered with the JSE and who is authorised by such member to enter and execute orders through, and report trades to, the JSE equities trading system on behalf of such member.
