Extended-hours trading on ATS

Discussion in 'Order Execution' started by CoKap, Jun 7, 2019.

  1. CoKap

    CoKap

    Hi, I am a student and head of small trading group from Cyprus.

    I am interested in extended-hours trading on ATS and US stock exchanges. I was surprised when I found that Reg NMS rules are not enforced during pre- and post-market sessions. I found a large number of ATS trades during extended hours. But I have read practically all existing Form ATS and can’t find any of dark pools that allow matching orders during extended hours. Can anybody explain whence all these ATS trades come and how these transactions occurred?

    Also, I find many ISO trades during the extended-hours session. What the point of the ISO orders if Reg NMS rules are not enforced?
     
  2. qlai

    qlai

    What tells you these are ISO trades? The sales condition in time and sales should be pre/post market. Some exchanges like Nasdaq are open ore/post and most of the volume should be traded there (not dark pools).
    Can't be enforced because not all exchanges are participating.
     
  3. CoKap

    CoKap

    The sales condition in T&S is both form T and ISO. In addition to Nasdaq and other lit exchanges trades, I also see FINRA ATS prints during extended-hours sessions.
     
  4. qlai

    qlai

    Finra TRF? Internalized by brokers. If you send order to IB smart route, the order may never get to lit exchange.
    I think it's just a way to explicitly indicate that the order was not under protection.
     
  5. qlai

    qlai