Backing Away/Options Quotes

ajacobson said:
File with the listing exchange - Finra will just send it to the listing exchange and then check their progress at the audit. Generally every time I hear a story like this there is commonly a massive material omission.
OTM cash-settled from the OP then it's an equity? How about a clear statement of facts - is this option after some corporate action?
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https://www.tastytrade.com/tt/learn/cash-settled

You sell a put, but it isn't naked. Cash secures settlement.
 
Cash secured or cash settlement. Cash settlement is dominated by index options - SPX, NDX, or RUT. There are a few more cash-settled products in the equity space.
Your tale says you entered an order to buy a put to close. If it was anything other than at the ask there is no assurance of a fill. If you were midpoint or better still no fill is required. If you put was cash-secured it still has nothing to do with a fill. SPX trades one exchange and trades both pit and electronic. It makes little or no difference if stuff traded all around you. Your owed a fill buying at the offer or selling at the bid. If it was on the pit side your broker should have the ability to work the order unless it was small and they just didn't want to bother. The market was up big out of the box today. Up tomorrow and the market gods did you a favor - down tomorrow and it's bad news. Right now markets are quiet and up a bit.
 
m1nt said:
The monetary value of the trade discrepancy is peanuts, but I would like to know if this is copacetic in the options world for future reference.
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Is copacetic a real word?
What Does Copacetic Mean? Copacetic is an adjective that means “in good order.” Some speakers of American and Canadian English consider it a slang word, best suited for informal use. Copacetic is a real word nonetheless, and it can be used instead of “fine,” “OK,” and many other words of a similar meaning.
 
Best practice, if you feel your option order is not being represented at the exchanges, is to contact your broker and ask what’s happening. Too many variations that could’ve caused this for me to even guess. Would have provided a faster resolution then your complaint to regulators.

m1nt said:
..So I put in an order to close out a cash-settled put position. My bid was higher by pennies than several transactions that took place over more than an hour. My order was never filled..

I believe this is "backing away" and designated market makers are obliged to honor my bid. I assume that option market makers have to adhere to firm quotes.

Is this correct?

Can I make a complaint at a regulatory agency or something beyond brokerage customer service (FINRA, SEC, etc.). In the grand scheme of things, not getting filled probably won't matter as the puts will probably expire worthless anyways.

Any constructive ideas?
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ajacobson said:
File with the listing exchange - Finra will just send it to the listing exchange and then check their progress at the audit. Generally every time I hear a story like this there is commonly a massive material omission.
OTM cash-settled from the OP then it's an equity? How about a clear statement of facts - is this option after some corporate action?
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Agreed.
If the OP listed the option and the time stamp of the order and his trade time stamp this could get resolved in 15 seconds.
 
m1nt said:
..So I put in an order to close out a cash-settled put position. My bid was higher by pennies than several transactions that took place over more than an hour. My order was never filled..

I believe this is "backing away" and designated market makers are obliged to honor my bid. I assume that option market makers have to adhere to firm quotes.

Is this correct?

Can I make a complaint at a regulatory agency or something beyond brokerage customer service (FINRA, SEC, etc.). In the grand scheme of things, not getting filled probably won't matter as the puts will probably expire worthless anyways.

Any constructive ideas?
More...
several possibilities
1 bad brokerage (some simulate trading entirely, Trade Zero for ex.)
2 wrong destination. Very common when trading with IB smart routing, even wehn higher then the bid, you can not sell.
3 wrong order (fill outside rth not selected)
 
Correction:
All trading offrered by TradeZero And TradeZero America is live trading. TradeZero America is a Finra registered broker dealer, and TradeZero Intl clears through Vision Financial Markets, also a Finra registered broker dealer.
 
If youd like to hear me talk more about what we do, I will be on Yahoo Finance TV today around 4:20pm EST.
 
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