Understanding Wash Trades

Traders are all subject to the same market risk. Negating your risk via wash trades places you in violation of market regulations. Initiating or participating in a wash trade, whether you did know or should have reasonably known is a violation of Rule 534 of the market regulations. Ensure that you are in compliance by knowing the market regulations regarding wash trades.

Useful links in understanding wash trades:
https://www.cmegroup.com/rulebook/files/cme-group-Rule-534.pdf