Photo: Alex Howe for Business Insider
Last week, we introduced you to different hand signals traders use in “the pit” of the Chicago Mercantile Exchange to indicate buy and sell orders.For the most part, the traditional face-to-face trading has died out largely because of electronic systems.
However, it still exists at exchanges such as the CME, CBOE, CBOT and the NYMEX, just to name a few.
The face-to-face system is called open outcry — a form of communication where traders use hand signals to exchange information.
We think it’s awesome, especially since it can get really loud in the trading pits. What’s cool is a lot of the signals are standard, while others are proprietary.
Thanks to the help of Trading Pit History, a website dedicated to preserving hand signals of open outcry trading for historical record, we were able to compile a list of the signals traders use in the New York trading pits at the NYMEX.