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Paying the spread on Interactive Brokers
- Thread starter stepseazy
- Start date
Quote from stepseazy:
Hey All,
I'm getting killed paying the spread on Interactive Brokers. I use the SMART order system. At my previous broker, I could usually put an order in that was halfway between the spread. Can someone please tell me what is going on before I change brokers, AGAIN. Thanks.
-Steps
Are you playing calls or puts? I have having a heck of time this month. I think it is the market not giving us a break.
I pretty much do the same as the rest except for one thing. If I am entering say 12 spreads, I will only enter 4. Once they are filled, I will enter four more until I am completely filled. I trade ES on Globex. I can get filled halfway between the bid/ask most of the time, but sometimes I have to get within .25 of the ask if I am going long, for example.
By spreading out my entries, I average out better. Recently, I have put in one third at 11:30 EST, 3:30 EST, and the last third between 3:45 and 4:00.
By spreading out my entries, I average out better. Recently, I have put in one third at 11:30 EST, 3:30 EST, and the last third between 3:45 and 4:00.
Quote from stepseazy:
I am using limit orders. I typically don't have time to monitor my orders and change my limit price throughout the day so I want to get filled quickly.
Then how are you "paying the spread?" The definition of a limit order, is you set a price you want to be filled at, or better.
"I want to short at 149.5". You get filled at 149.5 or perhaps 149.25, etc... what do you think you are getting it at?
Quote from stepseazy:
Live. 10-100 contracts. I'll try waiting a bit longer but I used to get fills much quicker was filled quickly on optionsfirst and i've even had to leg into spreads when paying the spread. I figured maybe it was the Smart ordrs that was letting me down. I also have had to modify orders to get filled and I don't quite understand the modify cancel fee on ib. I don't want to use market orders but so far I might as well have.
What you are describing is not the way it works.
Are you using COMBO to select he options in the spread?
Do you see a bid/ask for the spread? It should be very wide.
If you enter your limit price at something worse than midpoints, you will get filled. It may need a dime worse, or 20 cents worse, or maybe only a nickel worse. A lot depends on which options you are trading.
If they are thin, thin, thin, sans liquidity, they you are at mercy of market makers. If actively traded, and you cannot get a decent fill as I described, then. call customer service and get help with this.
Mark
Yeah I guess I do have a prob. It is costing me. I don't think it is liquidity. I have to adjust my limit to the bid or ask or very close before getting filled. It is def different from what I was getting before like you guys mentioned which was near the midpoint. I realize if a bid is small then it is not the "real" bid so I do adjust for that. I guess I will call cust support. I've even had an order on the bid which was smaller than the bid size which just sat there. I had to cancel then re enter it then it went through. Yes I was using the combo trader.
Quote from stepseazy:
Yeah I guess I do have a prob. It is costing me. I don't think it is liquidity. I have to adjust my limit to the bid or ask or very close before getting filled. It is def different from what I was getting before like you guys mentioned which was near the midpoint. I realize if a bid is small then it is not the "real" bid so I do adjust for that. I guess I will call cust support. I've even had an order on the bid which was smaller than the bid size which just sat there. I had to cancel then re enter it then it went through. Yes I was using the combo trader.
Have you taken into account volatility? For most of 2009 I would let an order sit and the intraday movement would take it off center and get filled. Lately, there have been plenty of days where the market has just sat in a tight trading range and I've needed to move the limit to get filled.