Backing Away
The act of a market maker failing to honor a posted bid or ask even though the price and quantity are valid. Investopedia Says:
The NASD does not condone the act of backing away from transactions and will take disciplinary action if certain regulations are broken. For example, if a market maker backs away from transactions near the end of a trading day, he or she is violating NASD regulations. Related Terms:
Ask
Bid
Market Maker
Market Maker Spread
NASD
Nasdaq
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