The Indonesia Stock Exchange implemented a Non-Cancellation Period to enhance market integrity and investor confidence during critical trading sessions, minimizing manipulation and promoting transparent price formation.
To strengthen market integrity and enhance investor confidence, Indonesia Stock Exchange (IDX) has been implementing the Non-Cancellation Period, effectively on Monday (15/12). This policy is applied during the Pre-Opening and the Pre-Closing Session, as part of efforts to reinforce a fairer and more transparent stock price discovery process. This practice is common best practices adopted by other exchanges in the regional area.
The Non-Cancellation Period refers to a specific period during the Pre-Opening and the Pre-Closing Session where submitted orders cannot be amended and/or cancelled, however, the entry of new order buy or sell orders remains possible. The Non-Cancellation Period policy is implemented based on Rule Number II-A concerning Equity Securities Trading, which has been in effect since 8 April 2025.
IDX Director of Business Development, Jeffrey Hendrik explained that the implementation of the Non-Cancellation Period is part of IDX’s efforts to maintain transaction quality in the capital market. “The implementation of the Non-Cancellation Period aims to minimize the potential for spoofing practices or order manipulation during critical periods, particularly ahead of the market opening and closing,” Jeffrey stated. He added that the implementation of the Non-Cancellation Period provides greater protection for investors, thereby enabling the price formation to be more credible, fair, and transparent.
IDX has also conducted a series of tests and technical preparations together with Exchange Members as well as local and foreign Exchange License Recipients prior to the implementation of the policy. In addition, IDX has simultaneously carried out outreach activities to increase awareness and collaborated with Exchange Members to convey information regarding the implementation of the Non-Cancellation Period to their respective clients. These steps were undertaken to ensure that the implementation can be proceed optimally and that trading operations at each Exchange Member can run smoothly.
The Non-Cancellation Period is one of IDX’s strategic programs in 2025 aimed to provide greater protection for investors. Through this implementation, IDX hopes to enhance the quality, transparency, and integrity of the price formation process. IDX also hopes that the Non-Cancellation Period will strengthen comfort and increase investor confidence in executing transactions in the Indonesian capital market.
Further information regarding the Non-Cancellation Period can be found at www.idx.co.id > Products & Services > Trading Hours and Mechanisms or via the link https://www.idx.co.id/en/products-services/trading-hours-and-mechanism/.
Source : IDX Implements Non-Cancellation Period to Enhance Investor Confidence
