Quote from teddy:
I'm trading Laser on a dedicated line.
I've no problem with quotes.
The Laser executions are also good as usual.
Because of large increase in quotes, I upgraded my computer with faster CPU and more memory - 2G.
I also turn off the unncessary level II windows so my computer won't be caught up processing the data I don't care.
My trading computer is super clean: no firewalls and anti-virus software (this eats up CPU), keeping only 2 level II, maybe 60 symbols for trading.
Quotes are good and execution is excellent.
I'm wondering if your problems are due to the slow Internet and slow trading computer.
Some Laser Internet traders I know told me that once they switched to a dedicated line, many problems disappeared.
A hedge fund I know are also upgrading their trading computer because of large data volume.
The exchanges and ECNs are also having issues with data volume as well. They may also send out "bad" or "slow" quotes.
I always turn on the auto-correction so the bad quotes won't get locked or crossed.
I think you should keep a close eye on the CPU utilization. If it is consistently in the 50%, then your computer is too slow or too busy processing too may level 2 and too many symbols and other applications such as firewall, anti-viruses, etc..