Search results

Not to deny that the OP made a mistake that an experienced person would avoid, but why is the OP's mistake greater than that of the person who willingly sold at $.20? Yet the OP bears 100% of the loss, and then some. The OP's experience highlights a critical problem with the existing bust...

No.

I think I know perfectly well what the OP was discussing, but I have no idea what you're trying to convey with your seemingly irrelevant medical malpractice example. Do you know what a trade bust is or how they work? You might consider googling this. Formally, they're often described as...

I think my math is correct; apparently, I didn't explain in enough depth what's going on :D You, as a regular client, can't place an order at 4.0001 (unless, possibly, you're an institution with dark pool access), but your brokerage can cross one at that price if you're their client placing a...

Reread the original post, TraderZones -- I don't think you understood it. These situations are, in fact, incredibly dangerous. Imagine you buy 1m shares by adding liquidity at 4c, exit at $20, then have the 4c buy busted when the stock has hit $40. OOPS...what was originally a $40k...

Not only that, but the broker can trade with the customer themselves; so if one customer puts in an order to sell at $4, then they can fill it at $4.0001 (I am not kidding), then if/when a second customer wants to buy at 4.01, they can fill it at 4.0099, for a profit of .0098. Obviously, this...

This is a pretty complex situation. There are many exchanges/ECN's/dark pools out there, most of which operate on price/time priority (you can google this for yourself if you want to know what that means). But each exchange/pool has its own queue. It's further complicated by the fact that...

I don't think brokers (especially ones with strong reputations and management like IBKR) would do this with internalized orders as it would be frontrunning. But that's just my opinion as I've never worked for a brokerage myself :D

billyjoerob, Don't worry about the personally insulting (and, I'd say, often ignorant) posts above. Here is an excerpt from an IB page that might help answer your question. http://www.interactivebrokers.com/download/4Q_2009_IB_ORDER_ROUTING_REPORT.pdf Affiliate Relationships: IB's...

I agree -- I think forcing all this stuff into a central market would dramatically cut down on overly risky behavior by the banks. It would also make the pricing/trading of the instruments far more efficient. Municipal bonds, which are quite safe but also trade on closed markets where...

I think that unless you direct your order to a specific exchange, IB can route your orders (of many types, especially market orders) to their own Timber Hill unit, so it never sees an exchange. http://www.interactivebrokers.com/download/2Q_2008_IB_ORDER_ROUTING_REPORT.pdf This process is...

I think Nanex / NxCore will sell you exactly this for maybe around a few $K. Not in text format, but accessed through their API, the same one they use for their real time data service, which I think is quite good.

I don't think orders can be flashed unless an explicit order type is used -- one that only institutions typically use, according to your hallowed CNBC coverage. Whether or not some retail/individual traders are somehow using flash (now available only on EDGE) is open to question, but I'd assume...

I think that would clean up a lot of the existing problems in the banks -- as well as make the pricing itself much more efficient. In my opinion, if anything is securitized and sold to third parties, there should be a real best bid/offer on it, and brokers should route customer orders through...

When I put on currency trades, I always used CME futures, since by my understanding "retail forex" is essentially an OTC contract traded against your own broker (potential for conflict of interest, perhaps? :D), whereas futures are an open, public market on which any party can take either side...

Many firms allow for prop trading -- just look in the prop trading section of this site: http://www.elitetrader.com/vb/forumdisplay.php?s=&forumid=15 As far as these other firms are concerned that don't list commissions, this is typical. Most higher-volume firms only offer deals specific...

Genesis, Lightspeed and Lime are three that seem to cater to this type of market. Prop firms might be OK, too, for what you're asking about, if you don't mind fulfilling their requirements, which may include becoming licensed. There are a lot of other options out there when it comes to...

Another problem you may run into is that a large portion of the trading volume is unavailable to typical exchange-based trading due to practices such as internalization (where the broker trades against its own clients and doesn't allow the trades to go to the public markets), dark pools, and (to...

FIOS is excellent, in my experience -- significantly better than anything else I've used (various other DSL's, cable), especially in terms of its having hardly any downtime and very high bandwidth.

I can't see any way for someone to frontrun you on a public ECN, unless your broker is colluding and/or your trading platform is horribly buggy. As far as I can tell, Getco and similar firms really do provide a tremendous amount of liquidity, and much more efficiently and cheaply than did...