← Glossary

Volatility halt

A volatility halt pauses trading in an instrument for a short window so an order book can rebuild after a sudden move, separate from — and in addition to — any daily price limit the exchange enforces. Either mechanism means a stop or target can go unfilled for the rest of a session even though the market technically stayed open; this product surfaces that risk rather than modelling it, since simulating exactly when a halt would trigger isn't something a backtest can do reliably.

See also

This explains what volatility halt measures. It isn't investment advice — see the disclaimer.