I have a mean reversion limit order system that calculates 40 possible limit order signals each morning at a percentage below the opening price. For an example, I want to trade $100,000, with 10 positions at $10,000 each. For tax reasons etc, I don't want to use margin and so I can only send out 10 of the 40 limit orders each day. Most days only 1 or 2 of the limit orders will get hit. If I could use all the 40 limit orders, a lot more than just 1 or 2 orders would get hit and my system would perform a lot better. However, without using margin, Interactive Brokers will stop me from sending out more than 10 orders at $10,000 each with a $100,000 account.
One solution would be to have my 40 limit orders in an Excel spreadsheet connected to IB that monitors the prices. Excel wouldn't send out any of the 40 limit orders until the price got down close to the limit price. That way if one of the limit orders got sent out, I would still have 9 positions available. This would be a complicated and tedious program to run.
Perhaps there's a simpler way to do it with a different type of order built into IB? Is there some kind of a conditional order or something which would only send a limit order if the price got down close to my limit price? That way I wouldn't use up all of my 10 orders if I sent out limit orders at the opening. An example would be, the stock opened at $10, my limit order was set at 10% below the open at $9. If the stock price went below $9.10, my limit order would then get sent out for $9 and I'd still have 9 positions available for the other 39 calculated limit orders.
One solution would be to have my 40 limit orders in an Excel spreadsheet connected to IB that monitors the prices. Excel wouldn't send out any of the 40 limit orders until the price got down close to the limit price. That way if one of the limit orders got sent out, I would still have 9 positions available. This would be a complicated and tedious program to run.
Perhaps there's a simpler way to do it with a different type of order built into IB? Is there some kind of a conditional order or something which would only send a limit order if the price got down close to my limit price? That way I wouldn't use up all of my 10 orders if I sent out limit orders at the opening. An example would be, the stock opened at $10, my limit order was set at 10% below the open at $9. If the stock price went below $9.10, my limit order would then get sent out for $9 and I'd still have 9 positions available for the other 39 calculated limit orders.
