Cross

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DEFINITION of 'Cross'

When a broker receives a buy and sell order for the same stock at the same price, and subsequently makes a simultaneous trade between two separate customers.

INVESTOPEDIA EXPLAINS 'Cross'

This is legal only if the broker first offers the securities publicly at a price higher than the bid.



Also known as a cross order or crossing.

RELATED TERMS
  1. Sell

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  2. Buy

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  3. Cross Trade

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  4. Bid

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