You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an alternative browser.
You should upgrade or use an alternative browser.
How does Bright's Opening-Order strategy work?
- Thread starter nravo
- Start date
Thanks
Don
Let's say I want to do 1000 GE; I place a buy market on open (MOO) combined with an OPG for the time? On a NYSE stock, will that guarantee me either the opening print or no fill? That easy?
I simultaneously place a sell 1000 GE LOO orders a couple of ticks higher? Or just a limit order and shut down the trade if only one leg is hit within a few seconds.
Is this basically it?
I simultaneously place a sell 1000 GE LOO orders a couple of ticks higher? Or just a limit order and shut down the trade if only one leg is hit within a few seconds.
Is this basically it?
Quote from nravo:
Let's say I want to do 1000 GE; I place a buy market on open (MOO) combined with an OPG for the time? On a NYSE stock, will that guarantee me either the opening print or no fill? That easy?
I simultaneously place a sell 1000 GE LOO orders a couple of ticks higher? Or just a limit order and shut down the trade if only one leg is hit within a few seconds.
Is this basically it?
Not really...by placing a MOO order vs. a Limit price, you will simply either buy or sell at the opening price, which you may not even want to do. We only want to be involved in the trade if the Specialist gaps the stuck away from our estimated opening price. By being on the same side, long or short, as the Specialist, we rely on him making money and us along with it.
If a stocks simply opens flat, we want no part of it, no edge, no need to be involved.
All the best,
Don
Quote from Don Bright:
Not really...by placing a MOO order vs. a Limit price, you will simply either buy or sell at the opening price, which you may not even want to do. We only want to be involved in the trade if the Specialist gaps the stuck away from our estimated opening price. By being on the same side, long or short, as the Specialist, we rely on him making money and us along with it.
If a stocks simply opens flat, we want no part of it, no edge, no need to be involved.
All the best,
Don
Well, using IB's various trade entry options, I can't see how this can be done. Can you? Is this not a retail strategy?
Quote from nravo:
Well, using IB's various trade entry options, I can't see how this can be done. Can you? Is this not a retail strategy?
I'm told it "can" be done at IB, not most retail shops. Of course, it depends on buying power. For example, I enter 2000 - 4000 shares of buys and short sells on about 40 stocks, usually getting filled on about 4 or 5. This is the beauty of it, you don't get all the "noise" from stocks opening near their expected opening price.
Check with your IB contact for details.
Don