Electronic Communication Network - ECN

Filed Under » , ,
Dictionary Says

Definition of 'Electronic Communication Network - ECN'

An electronic system that attempts to eliminate the role of a third party in the execution of orders entered by an exchange market maker or an over-the-counter market maker, and permits such orders to be entirely or partly executed.
Investopedia Says

Investopedia explains 'Electronic Communication Network - ECN'

An ECN connects major brokerages and individual traders so that they can trade directly between themselves without having to go through a middleman.

Articles Of Interest

  1.

    Understanding Order Execution

    Find out the various ways in which a broker can fill an order, which can affect costs.

  2. Market Makers Vs. Electronic Communications Networks

    Learn the pros and cons of trading forex through these two types of brokers.

  3. Day Trading Strategies For Beginners

    From picking the right type of stock to setting stop-losses, learn how to trade wisely.

  4. The Nitty-Gritty Of Executing A Trade

    Ever wonder what happens behind the scenes when you buy or sell a stock? Read on and find out!

  5. ECN Credits: Let Your Broker Pay Your Trading Fees

    Altering your entry and exit strategy could save you a lot of money in fees. Find out how to pad your bottom line.

  6. Should You Be Afraid Of Dark Pool Liquidity?

    Don't fear the deep end. Dark pool liquidity can help drive down stock cost for everyday investors.

  7. Why are the bid and ask quotes usually so far away from each other in after-hours trading?

    After-hours trading is defined as the exchange of securities outside of an exchange's specified regular trading hours (usually 9:30am to 4pm EST). After-hours trading occurs through an electronic ...

  8. Getting To Know The Stock Exchanges

    Here are the answers to all the questions you have about stock exchanges but are too afraid to ask!

  9. The Global Electronic Stock Market

    The way trading is conducted is changing rapidly as exchanges turn toward automation.

  10. Introduction To Level II Quotes

    Find out what's happening in a given stock with this service showing Nasdaq market makers' best bid and ask prices.
comments powered by Disqus
Marketplace
Hot Definitions

  1. Racketeering

    Racketeering refers to criminal activity that is performed to benefit an organization such as a crime syndicate. Examples of racketeering activity include...

  2. Lawful Money

    Any form of currency issued by the United States Treasury and not the Federal Reserve System, including gold and silver coins, Treasury notes, and Treasury bonds. Lawful money stands in contrast to fiat money, to which the government assigns value although it has no intrinsic value of its own and is not backed by reserves.

  3. Fast Market Rule

    A rule in the United Kingdom that permits market makers to trade outside quoted ranges, when an exchange determines that market movements are so sharp that quotes cannot be kept current.

  4. Absorption Rate

    The rate at which available homes are sold in a specific real estate market during a given time period.

  5. Yellow Sheets

    A United States bulletin that provides updated bid and ask prices as well as other information on over-the-counter (OTC) corporate bonds...

  6. Bailment

    The contractual transfer of possession of assets or property for a specific objective.
Trading Center