AUD/JPY removed due to low liquidity?


#1

I noticed tonight that the AUD/JPY currency pair no longer shows in Nadex. I called their support line to see if there was a technical issue and was told that the pair was temporarily removed due to low liquidity in the underlying market. :confused:

As I’ve only been on Nadex for the past 9 months, I was wondering does this happen frequently? Is this an issue with the market makers?

Im a little bothered as I trade this pair frequently.


#2

I have only see one contract removed in the past and that is the Kospi and that is because it is nearly impossible to get a data feed for it in any of the major us platforms.

I know they do have to constantly manually settle AUD/JPY due to wide bid/ask spreads on it outside the range quoted by reuters so they have to use it and bloomberg if not enough trades are coming through on reuters. (they post this on notices everyday when it happens which is almost everyday on just AUD/JPY).

In short no this does not happen often or frequently that a pair is removed. I’m not sure if its permanent. But with volume being so low on it and bid/ask spreads so high on it at various times throughout the day the settlement becomes very counter productive for all those trading it and it may be best to put it on hold to be fair to everyone. But no in short don’t expect this to happen much at all if ever on other markets specifically liquid ones.


#3

I dug in and got the scoop. Basically reuters had an issue on AUD/JPY data. And the stuff was having to be manually pulled which is a pain in the but and takes it like an hour to settle out if done that way so traders have to wait around for settlement versus it being fast like normal and this was on EVERY single expiration. Being an exchange its not a guess they literally make sure its perfect and by the book. It is being resolved and once resolved will then be re-listed. Nadex wants to do it right or not at all so its nice they are willing to pull it versus manually do it and make everyone wait an hour or more on every expiration. they want it back up also and are working with the data feed providers (reuters/bloomberg) etc… to solve it the issue that AUD/JPY data feeds are having.

So it is not being removed it is only temporary.


#4

Yeah, that’s what I was told in the email response I received today. Im so glad. AUD/JPY is my favorite pair to trade.