We have changed our privacy policy. In addition, we use cookies on our website for various purposes. By continuing on our website, you consent to our use of cookies. You can learn about our practices by reading our privacy policy.


Blackboard Trading

  

Categories: Trading, Tech, Education

The OG way of trading stocks.

Before automated quote boards started dominating the stock exchange scene in 1969 (the same year the U.S. went to the moon, so...the technology was there), we had “blackboard trading.” Traders would hand-write bids and offers on big blackboards, waiting for a matching price to execute the trade.

Remember, the world wide web, aka the internet, wasn’t even invented until 1990, about 30 years later. We had to start somewhere.

Related or Semi-related Video

Finance: What is Trading Volume?29 Views

00:00

finance a la shmoop what is training volume training volume with a lot of

00:09

volume and this is trading with okay yeah yeah you get the idea [Man shouting into megaphone]

00:16

volume here is not about number 11 on the dial but rather about the number of [Person turning up volume dial]

00:21

shares trading back and forth on a given day week hour a month and generally

00:26

speaking higher levels of volume are a relatively bullish sign for the market [Water pouring]

00:32

on all else being equal that is optimistic investors are putting money

00:36

into the system buying up stocks and contributing liquidity like they are [Investor money transfer to stock market]

00:41

seeking risk they're hopeful they're optimistic lots of volume high liquidity

00:46

low volume low liquidity and high is good

00:51

Inessa not just a california proposition 64 thing high volumes are attractive to [People protesting for cannabis]

00:56

large institutional professional traders and investors because there remains the

01:02

perception that if they want to sell a given position well then with high

01:06

volumes they can get out quickly so they feel less hesitation about getting in

01:10

quickly okay good just checking [Man shouting into megaphone]

Up Next

Finance: What are the NASDAQ and NYSE?
74 Views

What are NASDAQ and the NYSE? NYSE stands for New York Stock Exchange, and NASDAQ is more or less a component of this. The stock exchange is where...

Finance: What is Electronic Communication Network (ECN)?
12 Views

What is Electronic Communication Network (ECN)? In order to facilitate the exponential increase of trading volume in the markets, any financial ins...

Finance: What is After Hours Trading?
1 Views

What is After Hours Trading/Extended Trading? After hours trading describes any trades made after the market closes or before the market opens. Bec...

Finance: What is program trading?
14 Views

What is program trading? Program trading refers to the use of computer algorithms to place and execute large volume, multiple buy and sell orders o...

Find other enlightening terms in Shmoop Finance Genius Bar(f)