Price limits

Xetra® trading platform supports volatility interruption as one of the protection mechanisms preventing abrupt price changes and protection against misplacement of orders.

The volatility interruption safety mechanism is used in continuous trading and auction trade procedure.

Volatility interruption can be triggered in two ways:

  1. if an order entry would be executed with one or more transactions that exceed the predetermined dynamic price limit. The reference price for the dynamic price limit is the price of the last trade.
  2. if an order entry would be executed with one or more transactions that exceed the predetermined static price limit. The reference price for the static price limit is the last price determined in an auction (auction trade session, opening auction, closing auction or volatility interruption). If during a trading day there were no transactions executed during an auction, the reference price is the closing price of the last trading day.

 
Determination criteria of static and dynamic limits, limit amount and duration of volatility interruption for each type of financial instrument are listed in the Trading Manual.