intermarket trading

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Intermarket Trading

Trading a single security on two different exchanges. For example, one may buy a stock on the American Stock Exchange and sell it on the NYSE. Intermarket trading is a fairly common arbitrage strategy, whereby one takes advantage of the difference in price on the same security on two different exchanges in order to make a profit.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

intermarket trading

Trading that occurs between two or more markets. For example, an individual might engage in arbitrage by purchasing stock index futures on one exchange and then selling options on the same futures on another exchange.
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.
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