• The opening cross is how Nasdaq determines the opening price for individual stocks that are traded on its exchange.

  • A process is undertaken to reflect the change in sentiment (and share price) for a stock between the market close yesterday and the market open today.
  • The auction process determines the prices to open the cross, with buyers and sellers placing bids and counter-bids until the prices match, resulting in a deal.
  • The purpose of the opening of the cross is to avoid surprises and provide all investors with the same information about how much demand this or that share, right at the market opening.