Me thinks this all is a BS statement from OP... maybe if I read it backwards as his nickname suggeste it might make sense What?
Guys, I used 6k and 9k as examples to simplify the original post. I don't paper trade. I trade much larger than you think across 11 markets. It was a mistake that I have never made and I wanted to run it by you guys. OP was an honest question. Monday was awesome for me, bought NQ's front month, 6803, sold 6830, then shorted 6849, and covered 6825. Very very very profitable day. (my 6803 was 9803 Limit buy, that's the error I made flipped the 6 and 9 half asleep on a Monday morning) I'm so insulted you think I'm a paper trader hahahaha
It's actually considered market manipulation, yes. And the exchange can bust the trade, even some time after it was made.
I've seen stocks, spike crazy to fill a single fat fingered order, bad day for someone, good day for someone else ying and yang!!
Fair enough Back to your question then... it indeed seems the stop-sell was triggered immediately since you put it above the current market. You didn't get filled at "9000" since you probably didn't have enough volume to move through the resting sell orders in the book. When you put in a buy order well above the current offers, you basically put in a market-buy up to your 9000 level, and you will sweep up every offer until you hit that level, or until the order size is filled. That's why real fat fingers, when HFT or banks do it, they generally go through and through... since they can actually handle the volume. With IB however, if you try to buy/sell at prices that are way way off... the system will give a warning... also in size... at least, that's how I set it up. I actually have made the same mistake as you, putting in an order with stop attached and got triggered immediately... stupid isn't it
Yep... I had that a lot when I was trading options as a MM. You get very good opportunities if the market opens way of the close... resting options can be scooped up. Sometimes you would get screwed later on, when it actually traded below/above a certain limit compared to the immediate market after the trade. And then depending on time etc, you should maybe not do your delta hedge.
I went the wrong way huge move, joined it early, sat there high fiveing myself as it kept running, hadnt checked the system till time to sell, hey where is my trade, why am i showing a huge loss, margin called wtf, ohhhh went the wrong way Right way would of doubled account, wrong way had me adding money