Is this stop behavior normal?

[qlai]

It’s basically a protection against triggering orders on an “erroneous” trade - some dark pool trade for example. Unfortunately, there’s no way to please everyone with this.

How is it even possible For the Last not to be "within" (and they also mean equal to) the bid/ask if the stock traded there?

Since quotes come on different feed(channel) than trades, it’s possible for these prices to temporarily diverge.

 

[El_Cubano]

It’s basically a protection against triggering orders on an “erroneous” trade - some dark pool trade for example. Unfortunately, there’s no way to please everyone with this.



Since quotes come on different feed(channel) than trades, it’s possible for these prices to temporarily diverge.

But stop orders sit on the exchange no? You're telling me the exchanges themselves arent able to handle this correctly? Or is there some part of this thats still on IBs side?

 

[qlai]

No, stop orders are something the broker handles on their servers (talking equities). It’s a service they provide to customers. There are no equities exchanges that support stop orders afaik.

 

[El_Cubano]

No, stop orders are something the broker handles on their servers (talking equities). It’s a service they provide to customers. There are no equities exchanges that support stop orders afaik.

You're right...quick googling says NYSE stopped supporting stop orders in 2015. I didn't know that policy changed.

 

[HobbyTrading]

You're right...quick googling says NYSE stopped supporting stop orders in 2015. I didn't know that policy changed.

IB has a webpage where thy list all exchanges that they support. And for each exchange they list the "native order types" which reside at the exchange, and which "simulated order types" reside at IB's servers.

Edit: this is the NYSE example: https://www.interactivebrokers.com/en/index.php?f=2222&exch=nyse&showcategories=

 

[d08]

There is no reason a stop limit would execute faster than a normal stop order.

Yes there is. A market order follows the IB "protection" routine which slows down the order and delays execution if liquidity is low. Do your research.

 

[d08]

Limit orders are not guaranteed executions.

Empty statement. I can put a limit 40% below market and now tell me how that is not guaranteed? Sure, it can drop 40% in a milliseconds but then, do you even want to be in that trade?

 

[qlai]

Yes there is. A market order follows the IB "protection" routine which slows down the order and delays execution if liquidity is low. Do your research.

Where did you get this from?

 

[El_Cubano]

Yes there is. A market order follows the IB "protection" routine which slows down the order and delays execution if liquidity is low. Do your research.

Ok...in normal conditions there is no reason a market order should be slower...and the picture I posted was on a well traded stock in normal market conditions. Happy?

Its a regular occurrence I see a stock trade above my stop and the execution is doesn't happen or is delayed. Something is wrong on IB's end.

 

[d08]

Where did you get this from?

Observations but it's also clearly stated:
https://www.interactivebrokers.com/en/index.php?f=2827

Ok...in normal conditions there is no reason a market order should be slower...and the picture I posted was on a well traded stock in normal market conditions. Happy?

Its a regular occurrence I see a stock trade above my stop and the execution is doesn't happen or is delayed. Something is wrong on IB's end.

Shouldn't be but there is, see above. I send marketable limit orders (there's no protection on those) and executions are instant, unlike before.