2 Comments
 

Most exchanges have systems to prevent matching or crossed markets. 

If there is a market where a commodity is $101 bid and $100 offer, that's a crossed market. This basically means that the market is not functioning as it should. It's more of a sign of market inefficiency than anything else. 

I am not aware of this happening on major exchanges, maybe happens in smaller or non-NMS, or otc exchanges.I suppose this could also happen in a circumstance where the exchange is preventing a self-match.

 

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