Continuous Trading

Filed Under »
Dictionary Says

Definition of 'Continuous Trading'

A method of transacting different securities orders. Continuous trading involves the immediate execution of orders upon their reception by market makers and specialists.
Investopedia Says

Investopedia explains 'Continuous Trading'

Unlike batch trading, which collects similar orders and executes them all at once, continuous trading entails the immediate placement of orders to market. In the U.S., all trades occur on a continuous basis except at opening.

For example, a limit order to sell a security is immediately sent to market and remains there until either the order expires or a buy order with a higher or equal buying price is sent to market.

Sign Up For Term of the Day!

Try Our Stock Simulator!

Test your trading skills!

Related Definitions

  1. Batch Trading

    An accumulation ...
  2. Execution

    The completion ...
  3. Limit Order

    An order placed ...
  4. Market Maker

    A broker-dealer ...
  5. Open

    1. An unexecuted ...
  6. Order

    An investor's ...
  7. Specialist

    A member of an ...
  8. Iceberg Order

    A large single ...
  9. Non-Directed Order

    A directive by a ...
  10. Good Through

    An order to buy ...

Articles Of Interest

  1. Forget The Stop, You've Got Options

    Using options instead of stop-loss orders adds finesse and control in limiting losses.
  2. Understanding Order Execution

    Find out the various ways in which a broker can fill an order, which can affect costs.
  3. A Look At Exit Strategies

    Setting appropriate exit points should help you avoid taking premature profits or running losses.
  4. Tips For Investors In Volatile Markets

    Find out what to look out for when trading during market instability.
  5. FX Exit Strategies: Keeping Your Profits

    There are several useful methods for exiting a position, all which are easy to execute and can be implemented into a trading plan.
  6. The 6 Most Common Portfolio Protection Strategies

    It's impossible to avoid all risk, but these strategies can help protect you against the worst of it.
  7. Trailing-Stop Techniques

    The important decision to exit a position must be based on more than emotion if you want to be a disciplined trader.
  8. How To Place Orders With A Forex Broker

    Learn how to set each type of stop and limit when trading currencies.
  9. Manage Risk With Trailing Stops And Protective Put Options

    Using the right strategy can lower the risk of failure and protect your profits.
  10. Pinpoint Winning Trade Entries With Filters And Triggers

    These tools will help you enter at high-probability points and ensure you trade within your set strategy.

comments powered by Disqus
Recommended
Loading, please wait...
Trading Center