London Stock Exchange Trading Floor

Open outcry is a method of communication between professionals on a stock exchange or futures exchange typically on a trading floor.

London stock exchange trading floor. The future of the floordespite the potential advantages that human floor trading can offer to some clients the march. Following deregulation in 1986 known as the big bang the traditional system of open outcry on the stock exchange trading floor was replaced by electronic trading. It involves shouting and the use of hand signals to transfer information primarily about buy and sell orders. London stock exchange is one of the world s oldest stock exchanges and can trace its history back to the coffee houses of 17th century london.

The london stock exchange was among the first major exchanges to switch. London stock exchange which has roots going back three centuries hasn t had a trading floor since 1986. Historically a bell marked the beginning of the trading day on london stock exchange s trading floor. For many decades london stock exchange provided a trading floor where members could buy and sell shares.

The part of the trading floor where this takes place is called a pit. As such london stock exchange no longer has a trading floor. With a single connection to london stock exchange investors. In an open outcry auction bids and offers must be made out in the open market.

London stock exchange trading services are designed to maximise liquidity for all participants and include fully electronic order driven services for liquid uk securities and international global depositary receipts and quote driven market maker services for less liquid securities. London stock exchange is not open to the public. The vast majority of equity trading has been fully electronic for years. 1950s historical picture showing activity on the trading floor of the london stock exchange city of london england uk with traders working in the great hall.

Learn how trading on the floor of the stock exchange has evolved over time with computers now managing the majority of the buying selling and negotiating.