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          Term of the Day - September 15th, 2004
               http://www.investopedia.com
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Term Of The Day: Trading Curb           
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A temporary restriction on program trading in a particular 
security or market, usually to reduce dramatic price movements. 

 
Investopedia Says:
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When the NYSE institutes a program trading curb (sometimes 
called a collar), program selling can only executed on an 
up-tick. That means that the last trade was executed at a 
higher price than the trade before it. Program buying can 
only be executed on a down-tick. That means that the last 
trade was executed at a lower price than the trade before 
it. 

When the "curbs are in" at the NYSE it means that certain 
types of trading are restricted to prevent enormous 
volatility. 


Related Links:
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Article:  Circuit Breaker & Curb Info
http://invest-faq.com/articles/exch-circuit-brkr.html

Article:  Program Trading Curbs
http://www.programtrading.com/curbs.htm

Website:  The Investing Site
http://www.theinvestingsite.com/stocks/technicalanalysis.asp


Related Terms:
------------------------------------------------------------
Black Monday
http://www.investopedia.com/terms/b/blackmonday.asp

Circuit Breaker
http://www.investopedia.com/terms/c/circuitbreaker.asp

Collar
http://www.investopedia.com/terms/c/collar.asp

Program Trading
http://www.investopedia.com/terms/p/programtrading.asp

Trading Halt
http://www.investopedia.com/terms/t/tradinghalt.asp



Have a Great Day!

The Investopedia Staff
http://www.investopedia.com



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