The Securities and Exchange Commission published a notice about a proposed rule change for the Cboe BYX Exchange. The change involves allowing the Exchange's Match Trade Prevention (MTP) functionality to be used when entering Periodic Auction Orders. This aims to help users manage their orders and prevent undesirable trades, like wash sales, without interfering with ongoing auctions. Although MTP for Periodic Auctions would have some operational differences, it is meant as an optional risk tool and doesn't affect existing auction processes.
Simple Explanation
Imagine a game where you can stop your toys from bumping into each other if you don’t want them to. The SEC is looking at a rule that helps people trading on an exchange stop certain trades they don’t want, like when someone accidentally trades with themselves, while not messing up the auction that's going on.