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+23% now
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When are price monitoring extensions triggered?
Price monitoring extensions are triggered to prevent the current indicative uncrossing price closing a certain percentage above or below the last automatically executed trade.
The percentage varies from stock to stock and it is set in reference to a stock’s Millenium Exchange sector. This can be viewed on the London Stock Exchange’s Trading Services.
Why do price monitoring extensions occur?
Price monitoring extensions occur to reduce volatility in the market. They occur at the end of an auction’s call period.
When a price monitoring extension is issued this is to alert the market that there is an indicative uncrossing price (sometimes known as auction price) far away from the last electronically traded execution price.
The goal of the price monitoring extension is to attract more market participants to get involved in the auction. This narrows the gap between the indicative uncrossing price to the current market price (assuming more market participants get involved).
What happens during a price monitoring extension?
When a price monitoring extension is activated then an RNS will be published through the Regulatory News Service in order to alert the market that there is an indicative uncrossing price above or below the specific threshold for that security.
The call period of the auction will also continue for five minutes. This is to allow existing and new market participants in the auction the opportunity to place orders in the auction call period.
Once this extra five minutes has passed then the auction will then attempt to uncross which takes place at a random point within 30 seconds after the call period finishes.
If the extra five minutes still doesn’t result in a price that can uncross then a second price monitoring extension will be issued to the market.
The call period will again be extended by another five minutes. Regardless of whether the indicative uncrossing price is above or below the pre-determined threshold the auction will take into account all existing orders and then match these in an uncrossing.
Why have a price monitoring extension?
Price monitoring extensions are designed to reduce volatility in the market and aid effective price discovery.
The price monitoring extension signals to the market that there is a discrepancy between the indicative uncrossing trade and the current price.
Hope that helps.
Looks like the tide might be turning in terms of better energy coverage and Crypto’s impact
https://apple.news/A1M0xgRLHQDiN-Q0BNKMuVQ
There is a way you can view your increase on HL via the app, in your account screen swipe the respective share to the left ( in this case ARB) and select Details. You then swipe/toggle across the top and the last info will show the daily increase.