SEC Rule 201 (Uptick) Clarification

[jayr95241]

Often I will place a market order to sell a stock that has SEC Rule 201(uptick) and it takes up to 20 minutes to get filled. Sometimes, I will even see it go up a tick and still not get filled.

However, with some other stocks , I will get filled instantly at the bid without having to wait for an uptick. Is anyone experiencing the same thing?


My understanding is that, you must place the order first and then wait for an uptick. Is this incorrect? I am seeing many different explanations online.

 

[Robert Morse]

Hi jayr95241,

What broker do you use and do you have a choice of routes or just one broker route? Keep in mind that even if you send your order to ARCA, you have to wait your turn on ARCA. Any trades on any other exchange, ECN or dark pool will not trade with you.

BTW, if the bid is an uptick, you can sell it.

Bob

 

[jayr95241]

Thanks. I use Interactive brokers. I have a choice of where to route orders but I always smart route it. Do you recommend direct routing to the primary exchange?

 

[Robert Morse]

Thanks. I use Interactive brokers. I have a choice of where to route orders but I always smart route it. Do you recommend direct routing to the primary exchange?

No

 

[murray t turtle]

Often I will place a market order to sell a stock that has SEC Rule 201(uptick) and it takes up to 20 minutes to get filled. Sometimes, I will even see it go up a tick and still not get filled.

However, with some other stocks , I will get filled instantly at the bid without having to wait for an uptick. Is anyone experiencing the same thing?


My understanding is that, you must place the order first and then wait for an uptick. Is this incorrect? I am seeing many different explanations online.

%%
Try multi million+ average day volume;7 or 10 million adv is even better
IF it sits there for 20 minutes ; quit quibbling over a quarter [25 upticks/+]+ miss the move. 20 minutes for market order ?? Robbing Hood or just plain robbed??
Entered a downtrend position not long ago, about 7 pennies away from bid/ ask; filled in less than 20 minutes,limit order.

Smoothest or wildest,
DOWNtrends/any trend are seldom one tick tight. You would not by chance be trading @ Robbin Hood??

 

[jayr95241]

Hi jayr95241,

What broker do you use and do you have a choice of routes or just one broker route? Keep in mind that even if you send your order to ARCA, you have to wait your turn on ARCA. Any trades on any other exchange, ECN or dark pool will not trade with you.

BTW, if the bid is an uptick, you can sell it.

Bob

Thank you. If the last trade is an uptick, then I can submit an order after the tick took place and hit the bid?

Also do you know if I am supposed to get an immediate fill if the last trade is above the current best bid. For instance if there is no liquidity and XYZ has last trade of $10.00 and it is 9.40 bid x 10.20 offer will I get filled immediately at the bid?

 

[Robert Morse]

Thank you. If the last trade is an uptick, then I can submit an order after the tick took place and hit the bid?

Also do you know if I am supposed to get an immediate fill if the last trade is above the current best bid. For instance if XYZ has last trade of $10.00 and it is 9.40 bid x 10.20 offer will I get filled immediately at the bid?

If 10 is an up tick, 10 or higher can be a trade. If 10 was a down tick, you need a buyer at 10.01. I’m not sure how to react the word immediate because I don’t know what else is happening or what predestined are ahead of you.

 

[jayr95241]

If 10 is an up tick, 10 or higher can be a trade. If 10 was a down tick, you need a buyer at 10.01. I’m not sure how to react the word immediate because I don’t know what else is happening or what predestined are ahead of you.

Yes that makes sense. I am not sure why I was filled at a price lower than the last trade.

I was able to find the time and sales for my trade. I sold the 20,46,4 shares at 38.71. The stock's last trade was 38.84 and I submitted a market order when it was 38.69/38.85. I think I was able to get filled because my fill was above the NBBO. Would that make any sense?

 

[Robert Morse]

I’m not sure. I’d say a market order of that size is not advisable. In general, in my opinion, market orders are never advisable. It would be Best to ask these questions of your broker.

 

[rb7]

Odd lots are a special kind of beast.
Depending of the exchange/ATS, they are not handle the same way as regular lot orders (100).
Besides that, you got filled at a very good price for a market order...