Here are the offers: (2) 15.50 BATS (8) 15.50 ISLD (50) 15.55 BATS Case 1: I send a buy market order to BATS for 1000 shares. I will get filled... 200 shares @ 15.50 (BATS) 800 shares @ 15.55 (BATS). I'm pretty sure about this, but just checking Case 2: In order to prevent getting traded through, I send 5 buy market orders for 200 shares routed to BATS. I will get filled... 200 shares @ 15.50 (BATS) 200 shares @ 15.50 (ISLD) 200 shares @ 15.50 (ISLD) 200 shares @ 15.50 (ISLD) 200 shares @ 15.50 (ISLD) My question is... Am I right about the fills on Case 2? Just wondering if they have a rule where since all the orders are from the same account they are allowed to bunch them together and treat it as one order then sweeping me through the book Thanks
DISCLAIMER: I know very LITTLE about executions, but I will warn of a few things... 1.) Depending upon your trading tool: You may see UNTRADEABLE or FLOOR TRADE ONLY offers in the depth of market. If the "trade indicator" indicates you can't trade some "offer" - you can't fill at that price - caveat emptor! 2.) You may be able to configure your trading tool to do "odd" things - like only filling on a single exchange/MM. 3.) A creature that goes by several names is not necessarily easy to understand and may depend upon your trading tool for what it does! Of what do I speak...here are a few names..."reserve order," "iceberg order," "hidden order," etc. The general idea is that youi want to place an order for more than what is shown on the top of the book. You don't want to "show your hand"...so you place a "hidden order" that will accumulate a total number of shares by placing several orders. You REALLY need to understand how your trading tool does this!!!!!!!!!!!!! Some exchanges will perform such an operation (read - "may do this for the price of a single trade") while some trading tools may do this for you - BUT AT THE COST OF MANY TRADES - read "REAL EXPENSIVE!!!!!" -gastropod