Old Business

Any transactions in the market that are closing or adjusting positions that were already entered in a previous session.  This is in contrast to “new business” which is the term for trades by market participants who are entering a new position in a security for the first time.  It is a general rule that the market transacts old business before it transacts new businessA term we use for trades by market participants who are entering a new position in a security for the first time.  This is in contrast to old business which is the term for trades that are closing or adjusting positions that were already entered in a previous session.  The market generally transacts old business before new business.  .  We see this most clearly on large gaps in the futures market.  When those gaps fill, that is old business being transacted as the overnight traders are taking profits on positions that they already entered prior to the RTHRegular Trading Hours. In the /ES this means the price action from 9:30am EST to 4:15pm EST only. session starting.