Can anybody recomend an online direct access broker, that offers instant executions meaning instant order fills. Not intstant order acknowlegement, which with the two I have according to them that is what it means, they acknoweledge that the order is placed with the exchange but do not guarantee when it will get filled. This has been causing me to loose money when I see the market change and try to get out of a position it takes forever to get filled. What kind of communication are you people using? I have DSL and have asked my broker if I obtain a T1 would my execution happen and they cann't tell.
Instant Executions
- Thread starter lorisha
- Start date
Any reputable broker with direct ECN access will give you fills in a few seconds or less, of course if there are matching available shares on the ECN.
def
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lorisha,
with IB I do not think you will find a discernable difference between a T1 line or a 56K modem. Are you routing to NASDAQ or directly to an ECN? If using BEST which may route to NASDAQ/selectnet, orders may be delayed by a market maker who is allowed to hold onto orders for a number of seconds. If you are routing directly to an ECN like Island, if your order is marketable it should be filled on a price/time priority within a matter of seconds. Once an order is at an ECN, you should be able to cancel without delay. However, if your order is with a market maker, good luck. I believe no broker will guarantee an instant execution unless they are making the spread off you or selling the order flow.
with IB I do not think you will find a discernable difference between a T1 line or a 56K modem. Are you routing to NASDAQ or directly to an ECN? If using BEST which may route to NASDAQ/selectnet, orders may be delayed by a market maker who is allowed to hold onto orders for a number of seconds. If you are routing directly to an ECN like Island, if your order is marketable it should be filled on a price/time priority within a matter of seconds. Once an order is at an ECN, you should be able to cancel without delay. However, if your order is with a market maker, good luck. I believe no broker will guarantee an instant execution unless they are making the spread off you or selling the order flow.
Yes, it's important for new traders to fully understand how orders are processed using various execution methods and what the rules and caveats are (i.e. Selectnet, SOES, ARCA). I previously traded with a full service Realtick broker, and now do all my trading with IB. However, I primarily use ISLD 95% of the time for all my trades, and my executions are just as fast as they were with the Realtick broker. Knowing your routing inside and out is imperative.
If you are trying to buy while everyone else is buying there aren't many sellers around. If you are trying to sell while everyone is selling buyers are very few. Think of this as a chess game. You have to out smart others. I doubt it's your broker, or a DSL connection. It's probably your timing. Nasdaq will fill you instantly but if you get caught on the wrong side and want out sometimes it can take a quite a few pennies before you are out Wait for the extremes.
rtharp
rtharp