Does IB impose a Limit on # of Unexecuted Limit Orders

[hayman]

Sorry if this seems like a stupid question, but many years ago, I remember getting some sort of warning from IB for having too many unexecuted Limit Orders being placed from my account.

Does anyone know if there is some sort of minimum threshold that IB expects from the Executed/Unexecuted ratio of Daily Limit Orders placed over a given time quantum?

Thanks in advance.

 

[elite74]

I am not sure if this is the exact answer but it is related.

I had a whole bunch of option orders open, then when I filled one, it automatically cancelled another one for margin restrictions.

 

[hayman]

Quote from elite74:

I am not sure if this is the exact answer but it is related.

I had a whole bunch of option orders open, then when I filled one, it automatically cancelled another one for margin restrictions.

Yeah, probably not related. I should have stated, that this is a Cash account, and there is enough cash to cover all trades, so margin isn't an issue here.

I guess the next question is does IB pay the exchanges for placing limit orders that aren't executed?

 

[Fractals 'R Us]

They definitely have a limit on orders or messages via the API, can't recall the exact terminology.

 

[giggollo]

http://ibkb.interactivebrokers.com/article/1343

 

[Bob111]

Quote from Fractals 'R Us:

They definitely have a limit on orders or messages via the API, can't recall the exact terminology.

those are two different things. i believe API message limit is 50 per second,but looks like OP is talking about 'fill ratio'

 

[Bob111]

Quote from hayman:

Yeah, probably not related. I should have stated, that this is a Cash account, and there is enough cash to cover all trades, so margin isn't an issue here.

I guess the next question is does IB pay the exchanges for placing limit orders that aren't executed?

going fishing?
trying to buy some 100000x shares of stock at 0.01?
you are too late for the party

 

[hayman]

Quote from giggollo:

http://ibkb.interactivebrokers.com/article/1343

Thanks! That is the answer I was looking for. I knew that I had been warned before, and this reference confirms that.

 

[hayman]

Quote from Bob111:

going fishing?
trying to buy some 100000x shares of stock at 0.01?
you are too late for the party

No Bob, nothing of the sort. I have an algorithm that works, but relies on a good # of Limit Orders being submitted to the exchanges.

 

[Bob111]

then you should be OK,as long as you are not too abusive to the ratio mentioned above and api message rate.