Corresponding to this is the auction trading system in the A-share market. Investors transmit buying and selling orders to the exchange through the network, and the computer host of the exchange matches the buying and selling orders according to the principle of time priority and price priority to form a continuous transaction price.
The market maker system is that market makers provide investors with bilateral quotations for buying and selling, and guide the transaction price to change through the update of quotations, thus providing immediacy and liquidity for the market. Simply put: quote the price and buy or sell at this price.
Characteristics of market maker system:
Improve liquidity and enhance market attractiveness
Effectively stabilize the market and promote its balanced operation.
With price discovery function.
Correct the imbalance of buying and selling orders
Restrain price manipulation