NGX Introduces New Trading Framework for Stocks Price Movement
Kayode Tokede
Nigerian Exchange Limited (NGX) has launched a new rule intended to adjust its pricing methodology for listed stocks, to introduce a graduated, three-tier volume system for share price movements.
The move by the bourse reverts close to the 2018 market microstructure rules governing how listed stocks prices moved on the trading floor by setting minimum trading volume thresholds before prices can change.
Witt its effective date yet to be communicated, the new rule means the management of NGX has cancelled the uniform 100,000 units requirement implemented years ago, and returned to three-tier volume framework.
