help, about trading fine

Quote from bone:

I would like to politely disagree - it is all about ECN resources and getting paid for them. How does an exchange and a clearing firm manage ECN resources and make any revenue when you have retail punters flooding the system with messages and actually executing trades very, very little ?

Exchanges and clearing firms get paid on EXECUTION fees. You simply cannot let someone flood the ECN with 1,000 messages for 10 fills. Makes no sense. And it is bad for the other traders who choose to participate more actively in the markets and who will need those resources to execute live trades under times of market stress.

Think about it. There is a very, very good reason for a message-to-fill policy. And all electronic futures exchanges that I am aware of have those policies.
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The guy didn't put IB over 20,000 transactions on his own... if the ratio for this penalty is 10:1 this means that IB sent tens of thousands of orders to get only a few thousand fills... and this retail trader is getting the hammer for using a trailing stop on his 2 lot position... His trading represented 1% of 1% of the volume to put IB into penalty... why should he get 100% of the fine?
 
I felt sorry for OP, just adjusting stop and target can be fined, first time hearing this. I guess exchange want to get more revenues from trading fees. thanks for sharing.
 
Sorry, but I just have to call BULLSHIT until trader198 posts the complete unedited contents of his IB notification. And since he chose to air this out on a public message forum, in my mind he needs to. Us guessing back and forth and the OP withholding specifics is not constructive. Post the IB notification in it's entirety. I am not calling the OP a liar, I am simply saying that more supporting information to back his claim is required. How many ET members clear IB and use some sort of automation ? How many IB clients are very high frequency manual traders/scalpers who have lots of cancelled and replaced and unfilled working orders in the system ? There has to be sizeable population represented here on ET.

I just have to believe that if IB was whacking clients over 25:2 fill rates, that there would be hundreds if not thousands of pissed off ET Members posting on this. Does not smell quite right to me. We are needlessly arguing over a situation where the poster has slowly dribbled out information over the course of time, and where the nature of his complaint really does require the complete disclosure of the IB and CME notification.
 
Quote from ixus:

This is not what those rules were intended for i.e. a nervous 2 lot retail trader.

Make sure that the fine is passed onto CME. Demand proof.
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Yeah, this, I'd fight it like hell. I can understand some egregious 100:1 ratio or some guy making idiotic markets 16 ticks away via API, but a two lot trader who did a dozen cancel replaces?

And out of the 20,000+ messages generated by IB your small account is singled out for the entire fine?

PS - I still have my bullshit antenna up since OP refuses to show exactly what IB sent him, and I've gotten the *warning* myself in the past, so I find it suspect he got fined without that courtesy.
 
I think the OP misunderstood the message from IB. It seems like the warning we all received once. No way IB would charge a manual trader for replacing his target 20 times.
 
Quote from TraDaToR:

I think the OP misunderstood the message from IB. It seems like the warning we all received once. No way IB would charge a manual trader for replacing his target 20 times.
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Yeah, English is not his native tongue. I think he got the standard warning. There is no way that he's getting fined for 25 messages.
 
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