Does IB hunt stops?

whatever homey

your the public relations guys for interactive brokers...that is what they say to the public...

with electronic trading only the programmers of the software knows for sure. 90% of trading is done by algorithms...and those algorithms are programmed by professional market makers and hedge funds.

with electronic trading there are no 'regulations' it's wild west market and SEC can't regulate electronic markets.

there are no rules ..it's wild west market do you want like HFT etc.

before the trading rules were set by the participating traders.



Quote from def:

STOPS ARE NOT HUNTED and the trading operation does not see client orders.

It's a joke that these threads keep popping up given the performance reports that IB posts to SEC and despite numerous comments made from the firm. Compare IB's stats with your other brokers and then let's talk.

Let me go over a few items from the last report.
-> less then 3% of NYSE non-directed stock orders were market orders
-> out of those 3% of non-directed market orders, they were widely split up amongst the various exchanges.

if the trading operation was internalizing all this flow, why would the distribution amongst exchanges be so evenly spread out?

There is so much noise in the market today, perhaps those of you who think your stops are being hunted should take some time to look at the tape and the randomness of trades. Perhaps even place a mental stop and see if we can read your minds as well. I bet you'd find that a significant amount of time you'd think we have that ability as well.
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If anyone has ANY evidence to show that any IB on a recognized exchange-traded market has "hunted stops" then they should show it now.

By evidence I mean:
_Full_ details of stop (including when stop was placed, and exact time stop was activated/executed)
Tape transactions +- 30 seconds of when stop was hit
and/or OpenBook History +- 30 seconds of when stop was hit.

It's easy and cheap to get such data.
http://www.nyxdata.com/Data-Products/Custom-TAQ
 
only maket makers like goldman sachs can move markets....goldman sachs has access to FED's money at 0% unlimited buying power and are agents for the FED. evil axis of the market maker. not even hedge funds can move markets. if the market maker put a axis on it.

and small punks hedge funds not in the goldman sachs network try to manipulate markets they get investigated by the SEC or manipulating markets. and fined couple of millions.

Quote from TradeMetal:

My trading system is build to take out your stops. It's not IB who is taking out your stops, it's me.
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Quote from def:


Let me go over a few items from the last report.
-> less then 3% of NYSE non-directed stock orders were market orders
-> out of those 3% of non-directed market orders, they were widely split up amongst the various exchanges.

if the trading operation was internalizing all this flow, why would the distribution amongst exchanges be so evenly spread out?[/B]
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What if the stop is a stop limit order?


There is so much noise in the market today, perhaps those of you who think your stops are being hunted should take some time to look at the tape and the randomness of trades. Perhaps even place a mental stop and see if we can read your minds as well. I bet you'd find that a significant amount of time you'd think we have that ability as well. [/B]
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LOL
 
Quote from lindq:

It could be just me...but I've had a great number of instances the past few months when setting market stop limits on equities at IB, to have them quickly hit then bounce back. Both short and long trades.
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I wonder after reading this thread, I really wonder, why nobody asked you about the size of your stops.

Can you give a few specific examples? Entry price, B/S and stop price that was hit?

Again, I wonder why people engage in totally abstract conversations of this kind. For example, the cases below are completely different:

(1) UP market, long stock, tight stop
(2) UP market, long stock, far away stop
(3) UP market, short stock, tight stop
(4) UP market, short stock, far away stop
(5) DOWN market, short stock, tight stop
(6) DOWN market, short stock, far away stop
(7) DOWN market, long stock, tight stop
(8) DOWN market, long stock, far away stop

Clearly,any losses in cases (3) and (7) cannot be due to hunting. This is due to volatility. Same goes for losses in cases (2) and (6). No broker can move the market so far away without taking considerable risks to hit the stop of some Joe. This requires some type of conspiracy between various brokers to generate a correction. This was the case of many investigations in the past and was actually done in futures but it does not concern just one broker.

Cases (4) and (8) are unlikely to be from hunting.

Remains: cases (1) and (5). This can be either due to volatility or hunting. But the hunter maybe someone like an HFT robot, another trader, another broker. hard to prove own broker is hunting.

P.S. I didn't want to add this but I must. If anyone trades like in cases (1) and (5) they get what they deserve. This is the gambler's style. People with a lot of money are happy to take your little money. Learn your lesson. Start position trading. Learn to live with the stress for making more money.
 
Quote from TradeMetal:

My trading system is build to take out your stops. It's not IB who is taking out your stops, it's me.
More...

I knew it. :D you little devil you...
 
Quote from lindq:

Recently, I've moved to setting stops via my software platform with auto-entry, and haven't experienced the same problem.
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Come on folks. Cycles.
 
Hey Def,

If I enter a non-marketable hidden order, does it still get flashed to TimberHill and/or other market venues?

I'm not one to buy into the conspiracies, but this is becoming uncanny how my hidden orders get pennied despite being submitted when they are half a percent or more out of the money.
 
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