Automated trading options with IB or other firms - Any advice or comments?

[alanm]

Quote from OddTrader:

Do you think the following offer from MB is useful?

Q
http://www.mbtrading.com/faqs.asp

Am I charged a new commission every time I cancel an order?

No. Even if an order is partially filled, you can use our "cancel/replace" feature to modify the order's price and/or size, without incurring an additional commission.
UQ

That addresses partial fills vs. ticket charges. I don't know if MBT charges for cancels/modifys, which is a different issue.

Also, it does not address the pacing/MM restrictions, which are exchange rules.

My point is that a strategy like trying to sit on the bid and offer, making markets along with the MMs, is not only unlawful, but would cost a fortune in cancel/modify fees unless you get a ton of action. AFAIK.

 

[OddTrader]

Quote from momoneythansens:

Well their commissions seem to have come down but they still don't allow naked PUTs/CALLs etc. I'm not even sure they allow verticals or other multi-legged strategies.

IIRC, their API is COM only. May or may not be an issue for you.

Do you have a proven strategy in mind for automation?

MoMoney.

Thanks for the good points. I'm trying simply to translate my existing strategy into using options with automation.

 

[OddTrader]

Quote from alanm:

That addresses partial fills vs. ticket charges. I don't know if MBT charges for cancels/modifys, which is a different issue.

Also, it does not address the pacing/MM restrictions, which are exchange rules.

My point is that a strategy like trying to sit on the bid and offer, making markets along with the MMs, is not only unlawful, but would cost a fortune in cancel/modify fees unless you get a ton of action. AFAIK.

My straegy should be comparatively very simple and basic. Also I don't expect MBT would be the only broker for automated trading options. At least a start.