Tuesday, June 01, 2010

UTP Vendor Alert #2010 - 6
Testing Opportunities for New Single Stock Trading Pause Reason Codes

Markets Impacted:

  • UTP/SIP

Products Impacted:

  • UTP Quotation Data Feed (UQDF)
  • UTP Trade Data Feed (UTDF)
  • OTC Montage Data Feed (OMDF)

Contact Information:

What you need to know:

  • In preparation for the Single Stock Trading Pause functionality release on Monday, June 14, 2010, The NASDAQ Stock Market® (NASDAQ®) has requested that the UTP Security Information Processor (UTP SIP) begin to support evening test data with the new trading pause reason codes.
  • As outlined in Data Technical News #2010-18, NASDAQ and NASDAQ OMX BXSM (BXSM) have filed with the Securities and Exchange Commission (SEC) to establish a market-wide single stock trading pause for securities in the S&P 500 Index that experience a price change of 10% or more during a rolling five-minute period.

Will there be testing opportunities for the new trading pause reason codes?

Yes, in preparation for the Single Stock Trading Pause functionality release on Monday, June 14, 2010, NASDAQ has requested that the UTP Security Information Processor (UTP SIP) begin to support evening test data with the new trading pause reason codes.

Please note: For its evening testing opportunities, the UTP SIP will create sample messages to provide the data community an opportunity to test the new reason code values and internal processing of these codes. This test data is not intended to mimic actual market conditions under which the new trading pause functionality would be invoked; data recipients should use the Saturday weekend User Acceptance Tests (UATs) for that testing.

The following testing opportunities will be available:

Type of Testing Scheduled Dates Description
Evening Test Transmissions Wednesday, June 2 through Friday, June 11, 2010 A test file will be recorded to be replayed in the evenings from 9:00 p.m. to 10:30 p.m., ET, to all data feed subscribers. No registration is required to participate in evening testing. During this time, the UTP SIP will broadcast on the production IP multicast groups.
Saturday User Acceptance Test (UAT) Saturday, June12, 2010 UTP participants will be invited to enter data to test the new functionality. As it is generated, the UTP SIP will disseminate the test data via the UTP data feeds. During this time the UTP SIP will be broadcasting on the production IP multicast groups. Advance registration is requested for the UATs.*

To register for the June 12th test, direct data feed subscribers should email their testing contact information to NASDAQ OMX Global Data Products.

What are the new reason codes for the single stock trading pause initiative?

To minimize the impact on the trading and market data community, NASDAQ OMX® is using existing Trading Action messages to communicate the single stock trading pause status. To delineate the trading pause from trading halts, NASDAQ OMX will add two new reason code values to its data feed specification.

Reason Code, part of the Trading Action message format, this alphanumeric field indicates the reason for the current trading action status. On June 14th, the following new codes will be added to the list of allowable values:

Code Value
T5 Single Stock Trading Pause In Effect - Trading has been suspended by NASDAQ due to a violation of the single stock trading pause threshold.
T7 Single Stock Trading Pause/Quotation-Only Period – Quotations have resumed for affected security, but trading remains paused.

Where can I find additional information?