Traders Audio Pit Terminology www.tradersaudio.com
Ask General Floor Term
One "asks" a price when he offers a contract for sale. Indicates a willingness to sell a futures contract at a given price.
At S&P 500 Term
Same as offer: e.g. 10 at 20 indicates that someone wants to sell 10 for 20 S&Ps.
Back Months General Floor Term
The months being traded for futures or options-on-futures that are furthest from expiration.
Barney S&P 500 Term
Smith Barney.
Bear General Floor Term
One who believes prices will move lower.
Best
Highest Bid or lowest offer at that given time.
Bid General Floor Term
The price that the market participants are willing to pay. The current price you would get if you sold at market. This also means someone wants to buy contracts.
Bid S&P 500 Term
The price a buyer is willing to pay, E.g. 20 bid on a hundred: they want to pay 20.
Bull General Floor Term
One who expects prices to rise.
Car
Carried from long ago, from grains at the CBOT, in which a "Car" was a contract that represented one railroad cargo car -- and still does. We say it instead of a "Contract", as slang, since its one syllable, and as the professionals know, is the preferred terminology on the trading floor. To recap: "XYC Co sells 100 Cars not held" means they just sold 100 Contracts with broker discretion to execute the order at the market.
Chi or Chi Corp
Large institution who trade big size in the S&Ps
Closing Range (or Range) General Floor Term
The high and low prices, or bids and offers, recorded during the period designated as the official close. (see Settlement Price)
Contract General Floor Term
Unit of trading for a financial or commodity future. Also, actual bilateral agreement between the parties (buyer and seller) of a futures or options-on-futures transaction as defined by an exchange. The terms of this type of contract include price, month...
Even S&P 500 Term
Price is at an even dollar level: 975.00 or 1,332.00, for example. E.g. 989.00 a.k.a. "the buck".
For S&P 500 Term
Same as bid, E.g. 20 for 20: they want to pay 20 for 20 S&P's.
Goldman
Goldman Sachs. Large institution who trade big size in the S&Ps
Half
Price is at the half-dollar level: 975.50 or 1332.50, for example.
Handle General Floor Term
In the S&P 500, a handle is one dollar unit or 100 points. For example, if the market is trading at 988.00 (or "8 even") if the market moves up to the next handle the S&P's would be trading at 989.00 (or "89 even"). With the markets moving so quickly it is important to listen for the "handle" if not in front of a quote screen.
Hit S&P 500 Term
To sell, E.g. Solly sells to the buyer.
Lift S&P 500 Term
Buy on an uptick so that the offer is now higher than it was before.
Light
Same as "Small"
Local Only or Local Market S&P 500 Term
There are no brokers working any paper. Locals are on both sides of the market.
Locals S&P 500 Term
Traders trading for their own accounts: similar to market makers (Nasdaq) or Specialists (NYSE/AMEX).
Morgan S&P 500 Term
Morgan Stanley.
Offer General Floor Term
Also called "ask." Indicates a willingness to sell a futures contract at a given price. The price they want to sell, E.g. 100 offered at 20: they want to sell 20's. (see Ask) The current price you would pay if you bought at the market.
Offered
This means offered for sale. 100 Offered at 50 means 100 contracts offered for sale at, say 1445.50. If you hear a big offer, this means wants to sell a big number of contracts above the market.
Solly S&P 500 Term
Solomon Brothers. Generally smart money, they used to be the best.
Spread, The S&P 500 Term
The following contract month minus the front month, E.g. march-dec.
Take S&P 500 Term
Buy, E.g. Locals buy the hundred at 60.
Thin S&P 500 Term
No action, no one really trading or showing any bids or offers. Very little paper.
Webber S&P 500 Term
Paine Webber. They do a lot of asset allocation business: S&P's; Bonds.
Witter S&P 500 Term
Dean Witter.
Working S&P 500 Term
The Broker is trying to execute an order.
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