TSX:LSG.DB - Post by User
Comment by
davgroon Dec 05, 2014 5:11pm
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Post# 23201369
RE:At the bell
RE:At the bellThe reason it closed at 85 cents is that there was a Sell imbalance of 28K shares of LSG on the Market on Close (MOC) orders on the TSX. This means that on market close the majority of orders placed were sell orders at the highest bid price of 85 cents at the time. Thus the closing price.
https://www.tmx.com/en/moc/Moc.html
A MOC order is an order entered sometime during the day that grants discretionary power to the trader, so that, as near as possible to the end of the trading day, a market order will be executed.
Market on Close (MOC) orders serve a purpose especially if you need to exit a position before the end of the day, but aren't going to be around when the market actually closes.
The TSX MOC imbalances are posted daily at 3:40 pm and provide full transparency to all traders.