The prohibited practice of offsetting buy and sell orders without recording the trade on the exchange, thus not allowing other traders to take advantage of a more favorable price.
Copyright © 2012, Campbell R. Harvey. All Rights Reserved.
A trade in which a broker offsets buy and sell orders without recording the orders on the exchange where the trade is taking place. This prevents traders from taking advantage of a better price. A crossed trade may be considered a form of price manipulation, and, as such, is prohibited.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved
The matching of a buy order with a sell order when the trade is not reported to the exchange on which it occurred. Crossed trades are prohibited.
Wall Street Words: An A to Z Guide to Investment Terms for Today's Investor by David L. Scott. Copyright © 2003 by Houghton Mifflin Company. Published by Houghton Mifflin Company. All rights reserved. All rights reserved.