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Trading-Glossar

Circuit Breaker

Market Structure

Was es bedeutet

A market-wide rule that pauses all trading if a major index falls a set amount in a day, to let traders calm down. Different levels trigger longer pauses.

Beispiel

In the US, if the S&P 500 drops 7% before 3:25 p.m., trading halts for 15 minutes (Level 1). A 13% drop triggers another 15-minute halt; a 20% drop ends trading for the day.

Der häufigste Anfängerfehler

Beginners expect their stop-loss to protect them during a circuit-breaker halt. It cannot -- once trading resumes, price may gap straight through your stop to a much worse fill.

Verwandte Begriffe

  • Trading Halt — A pause in trading on a specific stock, usually triggered by pending news or a sudden larg…
  • Volatility — How much and how fast an asset price swings. High volatility means large price moves in sh…

← Trading-Begriffe, einfach erklärt