On 2/21/07, I submitted three orders using SMART, RTH, and pre-open re-route to buy NEW at prices ranging from 18.45 to 18.47. None of these orders participated in the opening cross at 9:31:26. The open was at 17.90. I contacted IB and they said the orders were sent and accepted by the NYSE at 9:25 am. In fact they completely executed within the next 4 seconds at a net price slightly lower than the open.
My understanding has always been that marketable limit orders received well enough before the open are eligible for the opening cross and that is how all of my orders have been treated up until now. The IB rep said only MOO and LOO were guaranteed to participate in the opening cross. My reading of the governing NYSE rule 115A seems to indicate that my understanding is correct. I can find no mention that the NYSE requires a time-in-force of âon-openâ to guarantee participation.
Interestingly, 1000 were routed by NYSE to Island for which I received Islandâs add liquidity credit and no NYSE routing fee.
Can anyone explain what happened to my order? Am I wrong in always expecting to participate in the cross? Did the NYSE screw up? Could eligibility have been cutoff prior to 9:25?
My understanding has always been that marketable limit orders received well enough before the open are eligible for the opening cross and that is how all of my orders have been treated up until now. The IB rep said only MOO and LOO were guaranteed to participate in the opening cross. My reading of the governing NYSE rule 115A seems to indicate that my understanding is correct. I can find no mention that the NYSE requires a time-in-force of âon-openâ to guarantee participation.
Interestingly, 1000 were routed by NYSE to Island for which I received Islandâs add liquidity credit and no NYSE routing fee.
Can anyone explain what happened to my order? Am I wrong in always expecting to participate in the cross? Did the NYSE screw up? Could eligibility have been cutoff prior to 9:25?