how the orders executes in NSE server? limit first ,or market first? i mean wats the priority
Market orders are the ones that moves the market. Limit orders are just placed in queue for getting executed when market orders come. so it is always the market orders that are executed.
Limit orders can become market orders if it crosses into other side of the queue, for example if buy limit order has value greater than or equal to highest sell limit order or sell limit order has value less than or equal to lowest buy order.
Priority:
Market order.
and then Limit (if price happens to reach there).
Market FIRST, then LIMIT
All orders in NSE server executes based on price-time priority regardless of what type of order it is.
Market order never stay in server since they are executed immediately based on available best price limit orders in queue. (Market Order is similar to a dynamic limit order which could adjust and match its price with available limit order in queue)
When no market order is left, limit orders get executed if a matching other limit order is found (BUY price should match SELL price and vice versa). If not matched, market will stay at Last Traded Price, unless someone changes their Limit order value to find a match or until some new market orders come in.
When match is found and if so many people have matched the same Limit Price, then whoever has placed order earlier (based on the timestamp of their order) will get priority.
Priority1: Price
Priority2: Timestamp of order
If you modify your order your original timestamp gets revised.
4 Likes