What is a block trade and what does a block trade mean

Hello, block trading, also known as block trading, refers to a single transaction declaration that reaches the specified minimum limit, and the buyer and seller reach an agreement and the transaction is confirmed by the exchange.

Regulations] For block trades, each exchange has a clear definition of block trading in its trading system or in its block trading system, and it is different.

On October 18, 2013, the Shanghai ** Stock Exchange revised the rules for block trading when revising the Trading Rules of the Shanghai ** Exchange, and the Shenzhen ** Exchange revised the relevant provisions on block trading in the Trading Rules of the Shenzhen ** Exchange revised in 2013.

Rules] 1. Rules of the Shanghai Stock Exchange.

1. The declared number of A shares in a single transaction is more than 300,000 shares (inclusive), or the transaction amount is more than RMB 2 million (inclusive); The number of B shares (Shanghai) declared in a single transaction is more than 300,000 shares (inclusive), or the transaction amount is more than US$200,000 (inclusive);

2. **The number of single transaction declarations for large transactions is more than 2 million (inclusive), or the transaction amount is more than 2 million yuan (inclusive);

3. The declared quantity of a single transaction of treasury bonds and bond repurchase block transactions is more than 10,000 lots (inclusive), or the transaction amount is more than 10 million yuan (inclusive).

4. The declared quantity of a single transaction of other bonds is more than 1,000 lots (inclusive), or the transaction amount is more than 1 million yuan (inclusive). (The minimum amount of cash bonds and repurchase block transactions of corporate bonds and corporate bonds will be reduced to more than 1,000 lots (inclusive) or more than 1 million yuan (inclusive) in transaction amount.)

5. The declared quantity of a single transaction of other bonds shall not be less than 1,000 lots, or the transaction amount shall not be less than RMB 1 million.

2.Rules of the Shenzhen Stock Exchange.

1. The number of A shares traded in a single transaction shall not be less than 300,000 shares, or the transaction amount shall not be less than RMB 2 million;

2. The number of B shares in a single transaction shall not be less than 30,000 shares, or the transaction amount shall not be less than 200,000 Hong Kong dollars;

3. The number of single transactions shall not be less than 2 million, or the transaction amount shall not be less than 2 million yuan;

4. The number of bonds in a single transaction shall not be less than 5,000, or the transaction amount shall not be less than RMB 500,000;

Impact] The appearance of a large transaction means the appearance of a large transaction on the list, and most of the trends in the following days are upward, and many of them are ferociously**. It can be understood that most of the buyers of large transactions are speculators, that is, what is often referred to as market makers. It is sometimes difficult for them to absorb chips in the normal secondary market, and usually the cost of collecting chips is very high, so it is relatively simple to collect chips in the block trading market, and there can also be discounts.

Of course, it is not bought to lose money, so there is often a strong upward movement in the trend.

Block trading, also known as block trading, refers to a single transaction that reaches the specified minimum limit, and the buyer and seller reach an agreement and the transaction is confirmed by the exchange. Specifically, each exchange has a clear definition of block trading in its trading regime or in its block trading system, and it varies.

Securities transaction refers to the act of transferring the holder to other investors in accordance with the trading rules.

Block transaction refers to a single transaction that reaches the specified minimum limit, which is a transaction that is agreed upon by the buyer and seller and confirmed by the exchange, and the Shanghai Stock Exchange and the Shenzhen Stock Exchange have clear provisions on the minimum limit of block trading.

Block transactions are carried out within the limited time of the normal trading days of the exchange, and the block transactions with price limits** must be within the limit of the day's rise and fall**, and the block transactions without price limits must be between 30% of the previous **price or the highest and lowest transactions during the auction time of the day**, and the buyer and seller shall determine the transaction price by means of price negotiation, and the transaction shall be confirmed by the **exchange.

The transaction price of a block trade is not used as the **price of the day**. The volume of a block trade is included in the total volume of the transaction after **. In addition, the volume, transaction price and buyers and sellers of each block trade will be announced separately after **, and it is important to understand that block transactions are not included in the index calculation, so there is no impact on the index of the day.

Transaction process:

1) The two parties to the transaction reach a preliminary intention off-site (the transaction information can also be released in the system), and record the name, transaction, transaction quantity, other party seat number, agreement number (6 digits) and other information.

2) The two parties to the transaction go to their respective business departments during the trading hours to fill in the block transaction order, and the block transaction handling personnel of the business department enter the block transaction system and operate in accordance with the content of the order.

The above content reference: Encyclopedia - Block Trading.

The quantity is large, the amount is large, and the volume is large.

The continuous block trade means that in the financing stage of the market maker, if there is a continuous block trade, it means that the main capital is being financed through the block market, and then the main capital buyer is attracted through the discount sale, but it does not mean that the lowest point has appeared. The more ** the number of major shareholders trade, the obvious ** signs will make ****. The high probability of continuous block trades will affect the change of stock price in a short period of time, but it will have little impact on the trend change of stock price.

Extended Materials. Block trading, also known as block trading, refers to the transaction in which the buyer and the seller agree to declare a single transaction that reaches the specified minimum amount and is confirmed by the exchange. Specifically, each exchange has a clear definition of its own trading system or block trading system, and it is different.

The change in the stock price is the result of the change in the trend of the whole ** or market traders, which is basically caused by the following situations: mainly or the reduction of positions;

Opposite, that is, the main force buys and sells itself to attract the attention of the best;

The main force can't wait to rise.

A block trade, also known as a block trade, refers to a single transaction that is declared at a specified minimum amount. The buyer and seller reach an agreement through an agreement, and the ** transaction to be completed is determined by the exchange.

Specifically, each exchange has a clear definition of block trade in its trading system or in its block trading system, and these definitions vary. The more major shareholders trade, the more obvious signs will make ****. **Is the future trend good or bad:

It stands to reason that it should be a bad thing, because large transactions are basically thrown by major shareholders. But sometimes it's not that simple.

There is ** on the list of large trades, most of the trend is ** in the next few days, and many of them are rising sharply. Understandably, buyers of block trades are mostly speculators, i.e. market makers, who sometimes struggle to raise funds in the normal secondary market, and the cost of raising capital is usually high, so raising capital in the block market is relatively simple and there are still discounts. Of course, it's not about losing money, so there is often a strong trend in the trend.

If the main fund is in urgent need of cash, it will also sell in the secondary market for block trading. Because it can be achieved quickly with large transactions and is very fast and efficient, this is usually done at a discounted or market price**. Investors can also expand the rules of block trading.