What is At-Auction Order

At auction order is the market order without indicating any specific price for the pre-opening session. The order will be matched according to Indicative Equilibrium Price (IEP) after inputting it in AMS/3 System. Auction order enjoys the priority that the orders can be matched before auction limit order and those orders will be matched according to IEP and the time of inputting order. All the incomplete orders placed during the pre-opening or closing auction sessions will be cancelled automatically before the continuous trading session. Please note that the executed price is not known at the time of order input and may not fall within or largely deviate from your expected price range. Zundiao Securities reserves the right to sell the related securities to set off the cash shortfall.

What is At-Auction-Limit Order

At auction limit order is a limit order valid for the pre-opening session, If the at-auction limit orders with order price lower than HKD0.01 or deviates 9 times or more from the previous closing price, and accordingly, such orders will not be executed.

For the pre-opening session, any unfilled at-auction limit orders at HKEX will be converted to limit orders and carried forward to the next trading session.

What are Reference Price Fixing Period, Order Input Period, No-Cancellation Period, Random Closing Period?

During the Reference Price Fixing Period, a Reference Price, which sets the allowable upper and lower price limits of the closing auction session (±5 per cent from the Reference Price), is calculated for each security that will have a Closing Auction Session.

During the Order Input Period, at-auction orders and at-auction limit orders within the ±5 per cent price limit can be entered, amended or cancelled.

During the No-Cancellation Period, prices of new at-auction limit orders must be between the lowest ask and highest bid of the order book, and no orders can be amended or cancelled.

During the Random Closing Period, the order rules from the no-cancellation period apply and the market closes randomly within two minutes.  After the random closing period, orders for all CAS securities are matched at the final IEP.  In cases where final IEP cannot be established during the CAS, the Reference Price will be treated as the final IEP for order matching and will become the closing price of the CAS security.  Order matching is based on order type, price and then time priority (at-auction orders carry a higher matching priority).

What is Enhanced Limited Order

Enhanced limit order allows matching of up to ten price queues at a time. Enhanced Limit Order is applicable in continuous trading session. An ELO order will be monitored by the Zundiao Securities’ order management system and passed to the HKEX for processing once it falls within 20 spread range of the current market bid/offer prices. ELO placed after 9:15 a.m. will be in WNEW status and triggered to market for queuing after 9:30 a.m. Any unfilled Enhanced Limit Order will be put in queue as Limit Order at the same price.

What is Special Limit Order

Special limit order allows matching of up to ten price queues at a time. Any unfilled quantity after matching will be cancelled. SLO is only available in the Continuous Trading Session (from 9:30 a.m. to 4:00 p.m.).

What is Market Order

Market order is an order to buy/sell securities at the prevailing bid/ask price of the securities. The final execution price may differ from the nominal price at the time of order placement, especially for illiquid stocks and/or at the beginning of a morning and afternoon trading session due to orders accumulated during pre-market opening that need to be handled. To help clients better manage risk, the Bank will submit client’s market order to the market with one try only by matching it up to 10 best price queues at Hong Kong Exchanges and Clearing Limited (i.e. the prevailing best queue and up to the 10th queue at 9 spreads away at the time when the market order is processed) and up to a maximum of 20 spreads from the prevailing nominal price at the time your order is processed. Any unfilled quantity of clients’ market order as a result of the above mechanism will automatically be cancelled right away. Clients are advised to check the order status to see if the market order has been fully executed or cancelled. If clients’ order is not fully executed, clients may wish to place another order.

What is Trigger Order

Trigger order is a conditional instruction, including a trigger price and an order price. The trigger condition client can choose includes up or down trigger: only when the nominal price from below the trigger price rises to or above the trigger price in case of up trigger, or falls from above the trigger price to or below the trigger price in case of down trigger, a limit order is sent to the market. Otherwise, the trigger order is only in a standby status. Trigger order can be used for stop loss, stop gain or price chasing.

What is OCO Order

OCO order is another conditional instruction, including a first order price, trigger price and a second order price. OCO order is a combination of a limit order and a trigger order. After placing, the limit order with the first order price will be sent to the market. When the trigger order is triggered, the first limit order will be cancelled, and then the second limit order will be sent to the market. If the first limit order is fully matched, the trigger order will be automatically cancelled. OCO order can be used for stop gain and stop loss or price changing.

What is OTO Order

If-then order is a combination order with one buy order and one sell order. The instruction includes a buy limit price and a sell limit price. The buy order will be executed first, and the sell order on the bought quantity will be sent to the market automatically once the buy order is fully matched. If-then order can be used for short-term trading, spread trading, and stop gain.