Trading rules

Trading rules: Madrid

Opening times

The Spanish market is open from 9 a.m. till 5.30 p.m..

The orders are sent to the stock exchange from 8.30 a.m. onward, but remain in "Wait" status until 9 a.m. Day orders are cancelled at 5.45 p.m. Orders placed after 5.40 p.m. are sent to the exchange on the next trading day.

Trading

Continuous trading: eight and a half hours (9 a.m. to 5:30 p.m.) for proposals and trades, 30 minutes for adjusting positions (8:30a.m. to 9a.m.) and 5 minutes for the closing auction.

Two kinds of trading are possible within principal trading:

  1. General:
    Trading from 9 a.m. to 5:30 p.m. The most liquid shares use this system.

  2. New Market:
    Trading from 9 a.m. to 5:30 p.m. This system is used by technology sector companies (product or level of productive process), with an economic cycle or potential market subject to the uncertainty of the novel.

  3. Fixing:
    Used for less liquid stocks in the Spanish Stock Market Interconnection System. All buy and sell orders are grouped together twice during the session (at 12 a.m. and 4 p.m.) so as to reduce volatility and make pricing of these stocks more efficient.

Types of orders allowed:

  1. Market order:
    A market order makes it possible to buy or sell securities immediately at the best price available on the market. It gives you no guarantee on the final price of the transaction (especially if there is high activity in the security), but on the other hand there is a greater probability that your order will be executed. If you want to place a market order, do leave the "price" field empty.

  2. Limit order:
    A limit order is more precise than a market order. It makes it possible to set a limit both when buying and selling, but of course gives no guarantee concerning the execution of the order.

    When setting the price of a limit order, it is important to respect the following principle. If the share is quoted below 50 eur, the limit must be a multiple of 0.01 eur, if the share is quoted above 50 eur the limit must be a multiple of 0.05 eur

Duration of the validity of orders

It is possible to specify how long placed orders are to remain valid. There are two possibilities:

  • Day

    Your order will be valid for that day only. If it is not executed, then it will be automatically cancelled. In case you entered a dayorder after closure of the stock exchange, your order will be valid the next trading day.

  • GTC (Good Till Cancelled)

    Your order will be valid for 90 days.The orders can be cancelled by you, the stock market or Keytrade.

    Remarks

    When a day order partially gets executed during a tradingday, the remaining part that has not been executed yet will be cancelled at the end of the day. If you want the remaining part to be traded, you will have to enter a new order for the remaining part. For this new order a transaction fee will be counted.
    When placing a GTC order the remaining part of the order will still be valid on the market until it will be executed or cancelled. In this case you only pay one transaction fee, regardless the number of partial executions.