Hidden Stock Orders Get a Boring Rule Tweak from Cboe Exchange
Published Date: 4/17/2026
Notice
Summary
Cboe BYX Exchange is updating its rules to clearly explain how non-displayed orders work—these are orders that don’t show up on the public trading screen. This change affects traders using BYX and helps everyone understand how these hidden orders behave. The new rules took effect right away on April 8, 2026, with no extra costs involved.
Analyzed Economic Effects
3 provisions identified: 3 benefits, 0 costs, 0 mixed.
Priority and locked-book handling clarified
The Exchange clarified situations for locked or crossed markets: (1) an inbound Non-Displayed Order that would lock may be posted at the locking price or cancel depending on user instructions and price-slide settings; (2) an incoming Non-Displayed order may execute with a resting Non-Displayed order at the locking price ahead of another resting non-displayed order if the earlier resting order could not execute due to user instructions (e.g., Post Only); and (3) Rule 11.13 was revised so a Resting Order will not be executed at the Locking Price when there is a displayed order at that price and instead will execute a half minimum price variation away as described in the rule text. These clarifications are effective upon filing on April 8, 2026.
Rules clarify non-displayed order behavior
The BYX Exchange added rule text that explains in detail how Non-Displayed Orders are posted, ranked, and executed on the BYX Book. The amendments align BYX rules with its affiliate EDGX and took effect upon filing on April 8, 2026; the Exchange states there are no new fees or functional changes.
How Non-Displayed Orders execute and post
BYX rules now state that a Non-Displayed Order will execute against previously posted BYX Book orders priced equal to or better than the Non-Displayed Order up to the full size of those orders, unless that would trade through a Protected Quotation. Any portion that cannot execute this way will post to the BYX Book unless the order is Immediate-or-Cancel (IOC) or routed when so designated.
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Department and Agencies
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Previous: 2026-07488 — Self-Regulatory Organizations; Cboe EDGA Exchange, Inc.; Notice of Filing and Immediate Effectiveness of a Proposed Rule Change To Amend Rule 11.6(e)(2) and Rule 11.10(a)(4)(C)-(D) To Describe the Behavior of Orders Containing a Non-Displayed Instruction
Cboe EDGA Exchange just updated its rules to clearly explain how orders with a 'Non-Displayed' instruction behave on their platform. This change affects traders using hidden orders and kicks in immediately, helping everyone understand how these special orders work without changing any fees. It’s a smooth move to keep trading fair and transparent!
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