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Kim,
I am a local (floor trader) at Simex.
In Simex at least, the volume reported real-time in open outcry is a rough guess only. Most commonly, a round number of 5 lots is used. Sometimes it is higher, sometimes lower - usually dependant on the speed of the market. In a busy market it is highly impractical for the REAL volume to be collected from the pit by human beings, and more collectors wont help.
A trader has a responsibility to report traded PRICES immediately, and to make sure the traded price appears on the board. A trader must also confirm the trade with the opposite trader (using hand signals). There is no responsibility to report volume to the exchange at the time of the trade. The only person interested in the volume is the one on the other side of the trade - you both want to be sure of the quantity traded (price you can argue about later because any disagreement will only be a few ticks apart, but differing quantities can kill you). In fact if you watch the pits carefully traders tend to confirm the volume only with each other most of the time.
Trading cards have to be collected and matched within a 15 minute time bracket, but the reality is that the period is often longer. It is only when matching is completed that the true volume is known. The total volume for the day is not known until after the trading closes.
On the fly corrections are only done to prices - not volume.
It is not uncommon for big locals to 'buy them all' - meaning he will take all prevailing offers. It boggles the mind to think of someone outside the pit trying to get a handle on the size of trades like that.
It is not uncommon for a house trader to be taken before he even gets the price and quantity out of his mouth (a local may have seen the order coming from the phones). Again, not practical for observers to try to record the volume.
Bottom line is that the real time volume in not reliable, and I would think all open outcry pits are the same.
I would be interested to know if other pits are different.
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