Volatility & Circuit Breakers

During these volatile times in the market, we want to make sure you are aware of any impacts this may have on the US exchanges.

When markets hit certain levels (both up and down), market-wide circuit breakers, may halt trading temporarily or, under extreme circumstances, close the markets prior to the normal close of the session.

All About Circuit Breakers

When is a Market Wide (all exchanges) halt triggered?

A market wide circuit breaker, which halts trading across all markets, can be triggered at three circuit breaker thresholds that measure a decrease against the prior day’s closing price of the S&P 500.

The 3 Circuit Breaker levels.

Level 1 +- 7%
Level 2 +- 13%
Level 3 +- 20%

When can a Market Wide Circuit Breaker be triggered?

A Level 1 and Level 2 breach can be triggered between 9:30 a.m. and 3:25p.m.
A Level 3 breach can be triggered at any time.

How long do the markets halt?

A Level 1 and Level 2 breach halts trading for a minimum of 15 minutes.
A Level 3 breach halts trading for the remainder of the trading day.

What does this mean for orders during a halt

During a halt, all non-executed orders will remain in a pending state until cleared, cancelled or expired.