VIL verus investments limited

short sales report vil, page-89

  1. 7,746 Posts.
    As per the link i provided, a cross trade has a time priority. ie if the last traded price was 4c and the same broker has 2 clients , a seller at 4c and a buyer at 4c, then they can jump the queue and execute ahead of others in the queue at 4c.

    But it doesnt have a price priority.

    In your exmple there are buyers all the way down from 9.9c. If a seller come in with huge volume at 10c it wont get filled as no one is willing to buy that high.

    Another client could then come in with a buy at 10c and it is cross traded, but that means it was done at a price above the last price which is ligit and pushes price up not down.

    A cross trade couldnt in your example come in with a sell offer at 6c to take out all the above lines. That is because of the price priority. ie someone already in the queue willing to pay 9.9c would get priority regardless of the broker they use, there for it wouldnt be a cross trade. it would be a normal trade.
 
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