Getting filled right away

Discussion in 'Order Execution' started by jrlvnv, Jul 7, 2006.

  1. jrlvnv


    First off... my first week day-trading... so I am learning... so be nice :p

    One question is... today I was looking to go long at the bid.... I see the level 2 quote and there are about 10k other bids there... So I punch my hotkeys and as soon as I hit enter, I got filled... The bid/ask prices stayed the same and no large orders printed in T/S.. The L2 quotes are still the same so it seems the line hasn't changed... I checked my execution and I was filled at the bid for my buy order so I am unclear why I was filled right away instead of having to wait for the other people that were there before me.... Any ideas why? Thanks everyone
  2. Drew07


    I'm relatively new at day trading as well so I could be way off. My guess would be that the size of the order played a role in how fast it was executed. I don't know much about level 2 quotes but I believe it indicates where large orders are...and those probably weren't filled because there weren't enough shares being sold at that price. Hope my input helps. I'm also open to criticism, so let me know if I'm confused.
  3. What stock? You could have hit Attain if it was a large cap NASDAQ stock.
  4. Cheese


    Getting filled right away
    Are you a girl with an urgent boyfriend?
    Only kidding.
    Forget it.
  5. Drew07


    And thats what foreplay and limit orders have in common. Very clever. :)
  6. jrlvnv


    It was TXN 100 shares going long at the bid.... I know 100 shares isn't a lot but I am just trying to figure out why I was filled ahead of all the other L2 quotes. My understanding is once you send the order you are put in the back of the line... All the other people sitting at that price must get filled before you before you get filled...
  7. Your broker may have some payment for order flow arrangements and your order may have been filled off the floor.
  8. Payment for order flow *MAY* have nothing to do with it... If a specific route was not specified, default routing quite possibly seeks best price and/or price improvement automatically. In this case, TXN which is NYSE, it *sounds* obvious this trade executed via ECN.

    Check with your broker regarding payment for order flow (SEC rule 505 requires all brokerages to publicly report this info and it's likely linked on their website). Also learn about the execution routes (default and/or user-spec) available through your broker. If you have no choice in routing, or even worse, your broker receives payment for order flow, find a different broker; you got lucky this time!

  9. crystalballs

    crystalballs Guest

    You was filled because you don't matter.
  10. jrlvnv


    I do have a choice of order route but not sure of the advantages between each of them... It was advised to route all NYSE through Brutdot and ARCA for NASDAQ. Thanks for all the comments but seems that there really isn't a answer besides thats the way it goes sometimes.
    #10     Jul 8, 2006