Call vs continous market

Simple thing that slipped my mind and no matter how hard I try I cant locate it in the books. Whats the difference between call and continous market

call markets are all bids and asks are taken in and then one price is used to clear all markets. continous is trading can take place any time during market hours Call market - A market in which trading in individual securities occurs at specific times as opposed to continuously. In a call market all orders to buy and sell a particular security are assembled at one time in order to determine a price at which most of the orders can be executed. The participants then move on to a different security. Call markets are frequently used in situations in which there are few securities and participants. Continuous market - A market with sufficient activity that a normal-sized trade can be made at any time without affecting the current market price. In other words - the market is unaffected by individual transactions

can someone clarify: NYSE is a call (specialist takes orders) and continuous market (since trading occurs from 9:30 to 4PM)? NASDAQ is a call market (market makers) and also a continuous OTC market because of the ECN’s?

i believe both NYSE and nasdaq are continous.

i just remember that the Aussie stock exchange is continuous… trades can be done anytime the market is open… i would’ve thought NYSE and NASDAQ are both continuous? trading is done continuously when the market is open…

also the Barcelona stock exchange is cont.

Im confused here, does continous market means that we can only trade when the market is OPEN, or we can trade at other times too i.e overnight

schweser states p.124 call: - the stock is traded at specific times - all trades, bids and asks are declared and then 1 negotiated price is set that clears the market for the stock. - this method is used in smaller markets and to set the opening price of major markets continous - trade can occur anytime the market is open - price is set by either the auction process or dealer bid-ask quotes.

i think the main thing to remember is which countries are call markets. From my understanding, most developed countries (or maybe i should say countries with developed financial markets) have continuous markets (because of higher liquidity). ie austria and norway are call markets.

I think it has to do with the MOO and MOC… makes sense now.

what is MOO and MOC?

the continuous market can be closed but the price wouldn’t be changed while you trade. There are volatility auctions taking place for 5 min where the dynamic price is set.

MOO = Market on open order MOC = Market on close order (affects imbalances). e.g. the specialist on the NYSE floor is gathering orders BEFORE the market opens. If there are a lot of buy orders - you will have gap up openings. edit. look at a 1-min chart of any particular stock at the opening and the close. you see huge volume spikes = indication that the market has been cleared.

there is a mistake in the schweser practice exam book. Not sure about Norway but Vienna Stock Exchange is a continuous market

redrum, which question are you talking about… can you post that?

sorry really don’t remember which exam it was - however they were asking which are continuous markets and which are call. Answers (according to Schweser) were 1) Australia and New Zeland continuous 2) Austria and Norway call. According to my knowledge the Austrian Stock Exchange is a continous market (it only has pre-opening and pre-closing auctioins)

US markets are continuous the majority of the time. In times of heavy demand or supply before the open, the NYSE becomes a call market (at the specialists discretion) and all orders are cleared at 1 price before continuous trading can continue.