Time limit for someone to claim erroneous trade.

[stock777]

Did a trade on an ecn.

Bought some stock REAL CHEAP.

Clearly erroneous.

At one point (timewise), am I safe in assuming that the trade cannot be broken?

 

[Austin Trader]

If I remember correctly from the Series 55...

 

[rs7]

Originally posted by stock777
Did a trade on an ecn.

Bought some stock REAL CHEAP.

Clearly erroneous.

At one point (timewise), am I safe in assuming that the trade cannot be broken?

Series 55 stuff. I don't remember the exact time limit, but there is one. (30 minutes?). But if it was done prior to or after regular trading hours, then the trade stands unless you agree to break it.
RS7

 

[stock777]

This was a trade on Friday, regular hours. haven't heard a thing. Could well be the counterparty hasn't even noticed.

If I don't hear by tommorow, is there any way at all they could force a break. The trade was really a mind blower. I don't want to sell it and be short.

 

[metooxx]

I would bet you are safe.

 

[CaroKann]

please let us know how it turns out..
i definitely wouldnt sell now, not with a big profit for padding. IMO wait a week to be sure, and then sell it.
out of curiosity, care to mention the trade? (dammit i was on the other end of that! &#%% typo! )

 

[Bob777]

Was it Worldcom? Almost every day I noticed some off the wall prints. Looks like some people are getting their decimals screwed up and getting taken to the cleaners.

For example, the last price would be 0.112 and you'll see a print for $1.12. Ouch!!!

 

[NasdaqTrader]

http://www.hardrightedge.com/work/orderrouting.htm


If you click the link above and look towards the bottom in the erroneous trades section,you'll see that supersoes and selectnet orders can be broken up to 30 minutes after the trade takes place.It doesn't mention the time limit on the ecn's though.Perhaps you can call the ecn where the trade took place on and ask them.Let us know the outcome.

 

[NasdaqTrader]

Originally posted by rs7

Series 55 stuff. I don't remember the exact time limit, but there is one. (30 minutes?). But if it was done prior to or after regular trading hours, then the trade stands unless you agree to break it.
RS7

So if i buy a $50 stock in pre or post market on an ecn for .01 because someone entered a wrong price,you're saying that trade will stand unless i agree to break it(not that i would)?Can you let us know where we can find that info. about pre and post market trades standing?

 

[CarlErikson]

Originally posted by stock777
Did a trade on an ecn.

Bought some stock REAL CHEAP.

Clearly erroneous.

At one point (timewise), am I safe in assuming that the trade cannot be broken?

I have had transactions busted days later, but always before settlement date. If settlement date (T+3) has come and past, then I would consider it legitimate. If settlement date has not come, then mentally I would be prepared for the trade to be busted but be pleasantly surprised if it was not. If I were you, I would not close the position til settlement date - approaching the situation this way has saved me a few times in the past.

Carl

PS - I trade with IB. If you trade with someone else then busts might be treated in a different manner - I don't know.