I have found a few articles but they are very limited (e.g. Investopedia, and the CME's own web site).
Can you recommend a good source for reading about how the CME Globex works?
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When you say "how it works" what do you mean exactly? Be more specific.
I know nothing about the operation of the CME Globex. I only know how to use it on the user-end. I trade future indexes. So I don't have anything more specific.
I'll give you a few different answers then.
Well, my opinion is going to be simple then. Globex is a bridge between the cash treasury market, and stocks both in dark pools and on listed exchanges. It's also an exchange for commodities, but I don't really mess with that.
It is connected to the NYSE and NASDAQ data centers with an ultra low latency connection (much faster than fiber optic). It is an arena both in terms of technology and intellectual property/trade secrets. You trade against the best traders on earth.
Well, my opinion is going to be simple then. Globex is a bridge between the cash treasury market, and stocks both in dark pools and on listed exchanges. It's also an exchange for commodities, but I don't really mess with that.
It is connected to the NYSE and NASDAQ data centers with an ultra low latency connection (much faster than fiber optic). It is an arena both in terms of technology and intellectual property/trade secrets. You trade against the best traders on earth.
I totally understand it now, thanks!
It will help you if you can understand how electronic exchanges like Globex internally matches orders. Fortunes have been made with a very deep understanding about exactly how the Globex algorithm works...
https://www.cmegroup.com/confluence/display/EPICSANDBOX/CME+Globex+Matching+Algorithm+Steps
google: globex-product-reference-sheet.xls
https://www.cmegroup.com/confluence/display/EPICSANDBOX/CME+Globex+Matching+Algorithm+Steps
google: globex-product-reference-sheet.xls