Cross Trade Detection

Elise Fleischaker Product Features


A cross trade is the purchase and sale by a broker of the same security for two clients. Futures exchange have crossing rules that mandate a delay between the entry of the buy and the sell to ensure that the buyer and seller receive a fair price. This delay allows time for other market participants to come in and trade at potentially better prices.

The Neurensic Cross Trade Detection model identifies buys and sells placed at the same time and price for different accounts without sufficient delay between the orders.

Regulatory Links

CME Rule 533. Simultaneous Buy and Sell Orders for Different Beneficial Owners (crossing)

ICE Rule 8A.08 Crossed Trades