Hi guys, hope i'm on the right thread. Just wondering if anyone is regularly trading iron condor on SPX with around 10 -15 deltas. I would like to know how long do people usually wait to get a fill without adjustment at mid price?
Depending on the size of the order and the broker you use, the order will be either routed to the CBOE's COB (their electronic spread book) or to a floor broker in the pit. If it is routed to the COB, you will be filled instantly if the price is right. If it is sent to a floor broker, the fill may take a minute or two. Mid point on the SPX options don't have a lot of meaning relating to fair value. Since the quotes can be wide, a single order may skew the midpoint. Generally for your order to be filled the market makers will want about a dime of edge. Note that if you are trading the SPXW (the SPX weeklies) all spreads will be placed in the COB and all fills will be instant if the price is right.
Hey FSU Thanks for the answer. I am using TDA and was referring to TOS platform nat/mid spread where i never get a fill before at mid price. Yup because SPX is less liquid and is usually over $1-$2 wide, but have heard people had to wait for hours or days to get a fill. Or they'll have to make adjustment. I usually try to get 4- 5 conracts in. Is this size hard to get fill?
For that size trade through TDA, your order will be routed to the COB. You will be filled immediately if the price is right. The only way you would have to wait is if you are not giving up enough edge. Again you cant rely on the midpoint. Even if you were doing only a 1 lot, you would be filled right away at the right price.