Free-Crowd System

DEFINITION of 'Free-Crowd System'

A system of commodity trading in which floor members can make bids and offers simultaneously for personal or customer accounts, which is common in the U.S.

BREAKING DOWN 'Free-Crowd System'

The free crowd system allows for the possibility of transactions occurring at different locations simultaneously within the trading ring.

RELATED TERMS
  1. Bidding Ring

    A group of individuals or businesses that conspire to affect ...
  2. Intermarket Trading System - ITS

    An electronic computer system that joins the trading floors of ...
  3. Uniform Simultaneous Death Act ...

    A law used to determine the inheritance when more than one death ...
  4. Cross-Currency Transaction

    A cross-currency transaction is one which involves the simultaneous ...
  5. Local

    Traders on future exchanges who may fill public orders occasionally, ...
  6. Rings

    The locations on the floors of futures and options exchanges ...
Related Articles
  1. Investing

    Inside National Payment Systems

    Investopedia explains: The global interconnection of U.S. payment systems makes commerical and financial transfers possible.
  2. Financial Advisor

    A Day In The Life Of A System Trader

    Systems traders divide their time between trading, developing, backtesting, optimizing and forward testing, to create viable and high-probability trading systems.
  3. Investing

    Trading Systems: Designing Your System - Part 2

    The preceding section on designing a trading system examines the different types of markets in which to trade, and takes a look at the two basic genres of trading systems: trend-following and ...
  4. Investing

    Basics Of The Mechanics Behind Electronic Trading

    What was once associated with shouting traders and wild hand gestures has now become more closely associated with statisticians and computer programmers.
  5. Trading

    Trading Systems Coding: Using Your System

    By Justin Kuepper Contact Justin You are now on your way to having a working, profitable trading system. All that is left to do is to apply this trading system to your actual trading. In this ...
  6. Trading

    Trading Systems Coding: Conclusion

    By Justin Kuepper Contact Justin After going through this step-by-step tutorial, you should have a fully operational and fully automatic trading system. As you continue working with your system, ...
  7. ETFs & Mutual Funds

    Trade Forex With A Directional Strategy

    Opening long or short positions to cash in on a trend is one of the simplest ways to trade forex.
  8. Trading

    The Pros And Cons Of Automated Trading Systems

    Automated trading systems minimize emotions, allow for faster order entry, lead to greater consistency and resolve pilot-error problems.
  9. Investing

    Negotiating the Bid

    A bid is an offer investors make to buy a security.
  10. Markets

    When Will it Be Safe to Buy Commodities?

    When will it be safe to buy commodities (and which ones)? A closer look at the commodities markets and how they move.
RELATED FAQS
  1. What is the difference between a capitalist system and a free market system?

    Learn about capitalist and free market systems, how these economic systems function and the main difference between capitalism ... Read Answer >>
  2. Why are traders on the floor of the exchange?

    Before the advent of electronic trading platforms, the floor of the stock exchange was the location for market transactions ... Read Answer >>
  3. How do I pick the best method for forex system trading?

    Discover how to identify the best type of forex system trading style for you based on your available time, your trading preferences ... Read Answer >>
  4. What is the difference between arbitrage and speculation?

    Arbitrage and speculation are very different strategies. Arbitrage involves the simultaneous buying and selling of an asset ... Read Answer >>
  5. Can commodities also be investments?

    Learn about the commodities trade and several different ways investors may participate. Find out about some of the advantages ... Read Answer >>
  6. A _______ is a person on the trading floor of certain exchanges who holds an inventory ...

    The correct answer is d. A good example of an exchange using the specialist system is the NYSE. Each stock listed on the ... Read Answer >>
Hot Definitions
  1. Brazil, Russia, India And China - BRIC

    An acronym for the economies of Brazil, Russia, India and China combined. It has been speculated that by 2050 these four ...
  2. Brexit

    The Brexit, an abbreviation of "British exit" that mirrors the term Grexit, refers to the possibility of Britain's withdrawal ...
  3. Underweight

    1. A situation where a portfolio does not hold a sufficient amount of a particular security when compared to the security's ...
  4. Russell 3000 Index

    A market capitalization weighted equity index maintained by the Russell Investment Group that seeks to be a benchmark of ...
  5. Enterprise Value (EV)

    A measure of a company's value, often used as an alternative to straightforward market capitalization. Enterprise value is ...
  6. Security

    A financial instrument that represents an ownership position in a publicly-traded corporation (stock), a creditor relationship ...
Trading Center