If the bid and ask prices cross each other, who will get the better trade? Buyer or the Seller?

General
1

Central Limit Order Book

Bid Quantity

Price

Ask Quantity
 

292.00

125
 

290.50

1040
 

290.25

98
 

290.20

325
 

290.05

150

200

289.95

  

390

289.80

  

1200

289.50

  

84

289.00

  

546

286.00

  

a) What happens if I place a BUY limit order for 100 shares @ 290.10?

Will I get the trade executed at 290.1 or 290.05 which is the best available market sell?

If I get the best price of 290.05, the same could be true with the seller who placed a SELL order at 290.05 and his order is already in the CLOB and for him the best available BUY price would be my price of 290.10.

Who will get the better trade, I or the seller who placed his order at 290.05?

For me, 290.05 is better trade

For him, 290.10 is better trade. Which one will actually execute and on what basis?

b) What happens if I accidentally place the BUY limit order at 299? What value I will get as trade?

c) What happens if I accidentally place a SELL limit order at 280? What value I will get as trade?

Edit:

I have traken this info from NSE website. The interpretation is complex. But I think I am catching it correct.

Order Matching Rules

The best buy order will match with the best sell order. An order may match partially with another order resulting in multiple trades. For order matching, the best buy order is the one with highest price and the best sell order is the one with lowest price. This is because the computer views all buy orders available from the point of view of a seller and all sell orders from the point of view of the buyers in the market. So, of all buy orders available in the market at any point of time, a seller would obviously like to sell at the highest possible buy price that is offered. Hence, the best buy order is the order with highest price and vice-versa.

Members can pro actively enter orders in the system which will be displayed in the system till the full quantity is matched by one or more of counter-orders and result into trade(s). Alternatively members may be reactive and put in orders that match with existing orders in the system. Orders lying unmatched in the system are 'passive' orders and orders that come in to match the existing orders are called 'active' orders. Orders are always matched at the passive order price. This ensures that the earlier orders get priority over the orders that come in later.

From this what I infer:

a) 290.05

b) 290.05

c) 289.95

2

1)If you place a Buy lmt order @ 290.10 The order gets executed @ 290.05 because that’s the best ask price. Remember the bids are always lower than the cmp and asks are always higher than the cmp. By the way the bids and the asks will never cross because theres something called as a minimum tick size that prevents that from happening. 2) The order gets automatically filled in @ 290.05 as that’s the best ask price. 3) The order gets automatically filled in @ 289.95 as that’s the best bid price.

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3

Once my order is placed, isn’t my order price 290.1 becomes the best available Bid price for the seller who is asking at 290.05, Why not the system favor him?
Edit:
By the way the bids and the asks will never cross because theres something called as a minimum tick size that prevents that from happening.
I dont understand this part VR46.