Using Stop or StopLimit for your stop loss orders in CME

treeman said:
You don’t enter the queue for the limit until your stop is hit. That means you’re behind everyone who just had a limit as they were already queued up before your stop hit...
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The question was about StopLimit (wide band) and Stop orders used for stop loss.

-> My mistake in the latest message (edited)
 
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Currently I think it is the very same FIFO queue where the StopLimit and Stop orders are sitting. When the stop price is traded then this queue is checked in the first in first out basis .
 
topdog said:
Do you know is in CME/Globex any difference in filling priorities if you are implementing your stop loss orders as
a) Stop order
b) Stop Limit order with a wide limit price

Price bands are given in the Globex Product Reference. For example you can have 6.00 point price band in the ES futures.

btw. I understand that in case B there is a possibility to miss the fill but it's an another question
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CME GCC replied and there is no difference. Timestamps are the key in here ie. FIFO in the whole system. I just have to remember that if I update quantity, price, or customer id the order will be updated by a new timestamp ie. rescheduled.
 
Also remember to take into account how the order is held at the broker. Some "stops" are simulated by holding them at the broker, then sent to the exchange. It is instrument-exchange specific. BTW: IB says it is 250ms to get from their servers to the exchange. Generic, I know but, still about an additional amount of time of about a mouse click.
 
Bad_Badness said:
Also remember to take into account how the order is held at the broker. Some "stops" are simulated by holding them at the broker, then sent to the exchange. It is instrument-exchange specific. BTW: IB says it is 250ms to get from their servers to the exchange. Generic, I know but, still about an additional amount of time of about a mouse click.
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This is correct. Just check what order types the exchange natively supports and you're just fine. But of course it's up to your strategy what types you need and can you use exchange supported.

IB's platform is very slow. I like TT.
 
treeman said:
You don’t enter the queue for the limit until your stop is hit. That means you’re behind everyone who just had a limit as they were already queued up before your stop hit. Stop limits, I find to be a crummy product. There’s no guarantee my limit price will ever hit. I’ve woken up a time or two with some big negative numbers I wasn’t expecting because of this product. I’ll never use it again. If I want out, market rate is just fine with me. Just get me out.
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Keep in mind, if you trade CME or ICE products, those exchanges *automatically* add a Stop-Limit X-points out from your regular Stop, whether you like it or not.

https://www.cmegroup.com/education/protection-functionality-for-market-and-stop-orders.html
 
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