I trade with good money, so liquidity is important. I am actually looking for: 1) Speed 2) Liquidity ( to be able to use at least US$50.000 on margin) 3) Low Cost / Low Spreads ( less than 0,02% of trade ) 4) High leverage ( at least 4X ) []s thank you.
This is wacky.........but, this guy pedro, registered on 06/06/06 .... and another post of his was asking about major amounts of trades......... 666 really doesn't mean much to me, but this guy sounds like laundering money for a foreign country...... I know, off the wall..... but a gut feeling. S5
Sorry just want to stir it a little...on an API model why would going to globex be faster ?..... What do they do with their feeds thats different from many of the other cash exchanges? btw you could have the fastest execution tool in the world..without liquidity its worth dick!!!...so dont expect much if you go near globex!
Icebergorder, It wasn't too long ago that all cash transactions were handled by phone. Although a lot of it is computerized now, it still operates in the same fashion where the counterparty has to accept the offer. So if you trade through an ECN: the banks and other counterparties transmit their bids and offers to the ECN, the ECN transmits the data to you, you initiate a trade and transmit your acceptance of a bid or offer, the ECN then transmits your acceptance to the bank or other counterparty, that counterparty chooses whether to accept the trade, transmits their decision to the ECN, and the ECN then transmits your confirmation to you. If youâre lucky that all takes about a second. On Globex, trades are matched at the exchange with no counterparty confirmation necessary. As an exchange member operating from within the building I think you would be talking in the neighborhood 20-25 milliseconds.
pedro--Have you actually looked to see where the delays are? You have a lot of potential delays/bottlenecks in what you're describing. Maybe try using something like pingplotter to try and discover whats slowing down your ability to execute.
Talk to a few of the FCM/Clearing Firm. They'll let you stick a dedicated server in their server farms with direct access to Globex via FIX. Depending on the frequency of trades, you'll get a better deal than all the brokers put together. If they like what you do, they'll even provide you with some capital to trade for them. The best way to do this is goto an FCM that has a prop. division. Luckily, I lived in Chicago and had an office in the MERC there so it was relatively easier to make connections. Try talking to guys like FFastFill, Gelber, Refco, Shatkin Arbor, Kottke, Transmarket, and others. Also, as an advice, make sure you don't give out your source code. Negotiate. Some will try to charge you in every way they can. Shop around, don't be shy and be a bit frugal. Tell them other firms are giving you a better deal and ask to make an offer. (Don't lie though. The industry is very small)
Thanks for the taking the time to reply Temerity, what I actually meant was why do people think Globex is faster for an API executor rather than using an API into the likes of Currenex or Hotspot or any platform that offers such access.
I dont think any of them would all the clients would be doing it so it would probably be costly for you as the exchanges would charge excessive fees for you to have the advantage of being housed in their office... Pete at HS knows his stuff you should listen to him.