is there marketmaking functionality with interactive brokers?
or do you need to use another software?
Options Trading Account
- Thread starter Chris Paciello
- Start date
is there marketmaking functionality with interactive brokers?
or do you need to use another software?
No, not in the traditional sense. You cannot have a "live" simultaneous bid and offer on any option contract, but that's not an issue with any specific broker, as it's a mkt regulatory issue to protect registered MMers. But it's very easy to dump the live-feed into excel and make synthetic markets; i.e., put vs. call flies; iron vs. put(call) flies; call vs. put calendars, etc. For example, you can be 3.20 bid on an NBBO 3.00x4.00 call calendar and 3.80 offered on a 3.00x4.00 put calendar at the same strike.
It can also be accomplished ghetto by detaching individual TWS quote pages and running one page with call-spreads/combos and one page with puts. Or iron vs. natural on individual pages, etc. It's very easily accomplished on the TWS front-end.
Most of the (unreg) upstairs MMers that I know babysit a few tickers and run quote-matrices of natural vs. synthetic market-making so that they can have simultaneous working orders to go both long and short an equivalent position.
choicetrade is $5 per trade and .15 per contract.
elite...have you ever used Involatility? Wanted to look into it and was hoping to find some that have used this service before.