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Old 11-28-2007, 08:41 AM
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Re: Stopped to the tick !

Blu - there's a couple other options here. I recently posted over at ET about this and didn't get much a response.

Options to help minimize tick stop outs:

1) As you said, cancel and replace your order to get back the queue as long as it it is a LIMIT ORDER. If your stop is a market order, it won't matter where in the queue you may be as it will go to a market order as soon as price is hit. Most stop orders on DOM's are market orders by default.

2) Send a STOP LIMIT order or a LIMIT IF TOUCHED (LIT) order. The downside here is that price could go through your limits and you'd have to be quick on the DOM to exit. I would think on the thicker contracts like the ES and STOXX that this will be a minimal problem.

3) Send a stop based on volume traded. This is dependent on the DOM being used and offering this function. I have found that XTrader, Ninjia and ZeroLine trader offer this function. Open ECry currently does not but I have submitted it to the tech review dept.

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