Stop trading occurs when the next price is outside which range?

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Multiple Choice

Stop trading occurs when the next price is outside which range?

Explanation:
Trading stops are triggered by movements that go beyond a defined corridor around the current price. This corridor, the Stop Trading Range, is set by the exchange to shield the market from abrupt or abnormal moves. If the next price would lie outside that range, trading is halted to allow orderly price discovery to resume. The other ranges—daily volatility range, price movement range, and bid-ask spread range—serve different purposes and are not the halting mechanism.

Trading stops are triggered by movements that go beyond a defined corridor around the current price. This corridor, the Stop Trading Range, is set by the exchange to shield the market from abrupt or abnormal moves. If the next price would lie outside that range, trading is halted to allow orderly price discovery to resume. The other ranges—daily volatility range, price movement range, and bid-ask spread range—serve different purposes and are not the halting mechanism.

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