> For the complete documentation index, see [llms.txt](https://polymarketguide.gitbook.io/polymarketguide/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://polymarketguide.gitbook.io/polymarketguide/trading/clarifications/effects.md). # Effects Clarifications have several effects on trading and resolution. ### Effect on Orderbook Orderbooks are cleared just before Polymarket issues a clarification. This is to prevent traders' open orders from being exposed when a clarification changes the market's underlying assumption or interpretation. Polymarket also issues this notice when pre-announcing possible clarifications. *Example*: Polymarket clears the orderbook at 2:59 p.m. ET, just before issuing a clarification at 3:00 p.m. ET. Trading resumes as normal once the clarification is posted.

### Effect on Price Action Clarifications often determine whether a market resolves immediately or remains open. This can cause the price to spike to 100¢ or drop sharply after the clarification. *Example*: In *Will Trump talk to Luiz Inácio Lula da Silva in October?*, Polymarket clarified that talks between the two before the market was created would not count toward resolution. The price fell from 93¢ to 54¢ following the clarification.

### Effect on Resolution Clarifications can directly determine how and whether a market resolves. They often confirm whether an event met the resolution criteria. *Example*: In *Will Powell say "inflation" 50+ times during September’s press conference?*, traders counted 49 mentions but disagreed about one timestamp. Polymarket clarified that Powell did say "inflation" during that moment, and the market resolved to Yes*.*

### Anticipation and Market Behavior Anticipation of a clarification can affect both market volatility and trader behavior. #### Volatility When traders expect a clarification, markets can become volatile. Because a clarification can instantly resolve a market, even small hints or pre-announcements can trigger large price swings. *Example*: In *Will Ghislaine Maxwell testify before Congress in 2025?*, the price ranged between 35¢ and 50¢ as traders anticipated a clarification.

#### Strategic Manipulation Some users may attempt to profit from this volatility. By buying shares and pushing for a clarification, they can benefit from traders' uncertainty. *Example*: A trader attempting to stir concern among others to drive down prices and buy shares at a discount.