With the rules saying that markets cannot cross or trade through the spread, it seems to me this slows down any market to match the slowest mover...in this case the AMEX floor. If ISLD doesn't display *and* rejects orders that would trade thorugh the "national" spread, then it also seems to me that ISLD can no longer lead the AMEX QQQ quote feed like it did up to today. There would seem to be other effects we can expect. For instance ISLD can no longer instantly match because even if it has a match it needs to check first to make sure it does not trade through the spread ("hey sleepy-head, is it okay for me to fill these orders?"). At worst you do not get a fill at all (rejected), or even if you do get a fill I wonder if this extra step multiplied by the number of attempted trades would slow them down noticeably. I used to regard the ISLD book (and NQ) as being closer to reality than the QQQ chart which consistently lags and is filled with prints that come in at varying degrees of lateness. Those days seem to be over. I guess it's going to be time to watch and perhaps send a few experimental 100 share trades via different routes to see how things are forming up. And I really wish someone would publish SEC's fax number so that we can all send in our ISLD testimonials... --Derek
Important Notice for Active Traders Following recent SEC actions, The Island ECN® will no longer disseminate its order book information in QQQ, DIA, SPY, SMH and MKH. This change is effective September 23, 2002. For more information, please visit http://www.island.com/etfchange.asp *You can access quote data for these securities via Streamer® Real Time Quotes.* (Datek is proprietary of Island ECN); See also http://www.island.com/etfchange.asp: Island looks forward to working with the SEC and the U.S. Congress to revise the current regulatory structure so that Island can again disseminate its subscriber order information in all securities. To assist us in this effort, we request that you sign the Island Testimonial (PDF, 5.4k) (if you have not already done so) and fax back to 212-231-5069, or send us your own letter regarding your ability to use Island to obtain quality executions. Island is committed to working on your behalf to operate the most efficient, liquid and transparent market possible. We look forward to working with you in the months ahead.
http://www.island.com/files/pdfs/corp/QQQExplanation.pdf and form for testimonial http://www.island.com/files/pdfs/corp/ETFletter.pdf
probably this thing with the Amex is revenge against island for moving their quote business to the cincinatti exchange.. if i remember correctly didnt nasdaq acquire amex a year or so ago? and with the battle between supermontage and the ecns still going hot and heavy, this is a pretty stiff blow to island.. but, i would imagine there will be lawsuits forthcoming from island/instinet.. and the SEC? theyre a disgrace to the free enterprise.. -qwik
I think this says it all--you can't have a slow speed specialist, floor-based system AND an electronic ECN market operating together. I know the NYSE pretends to do it, but they just seem to ignore the ECN quotes. Hard to do when they are getting all the action, as on QQQ. The simple solution is for Island and CINN to come up with their own index product. Perhaps that is what they will do. Let the AMEX floor diddle themselves, until they go broke.
Do the rules really say this? Wow. At least on the NYSE, they have to acknowledge every quote from every 'exchange,' but, of course, that doesn't prevent them from effectively ignoring them, which they mostly do.
May all MM's and Specialists join the dinosaurs, and increase our oil reserves. To hell with the Amex, NYSE, and NASD. A bunch of greedy crooks trying to keep their scam alive. Down with humans in the middle.
I've got news for you: This IS a totalitarian regime. In a few weeks you will even have unprovoked aggression against a defenseless country. It's like it was in Nazi Germany when the leaders in their speeches would go "Do you want the total war?" and the croud would applaud them. And like they had the Jews as an idealized public enemy for the masses to hate, they now have anyone who looks like an Arab or Muslim. We also have government incentives for losers to procreate in an uncontrolled fashion (see thread on taxes, I believe started by Gordon Gekko), balanced by a nice mix of legislation that prefers illegal immigrants to honest or able ones and brainwashing through commercial television propaganda (like the mandatory "Volksempfänger" radios in Nazi Germany). Just like in the communist Eastern European countries, we are of course still allowed to travel anywhere in the world, it is just not very convenient or efficient, because we have to protect our citizens from the evil that awaits outside the borders. We have concentration camps for enemies of the state where there are no human rights or anything like that, of course the Geneva convention "does not apply" either. But we are not just a totalitarian regime, we are also a danger to the civilized world. We have ALL types of weapons of mass destruction in vast quantities, we are not just TRYING to manufacture one little atom bomb. We are also financially responsible for virtually all the cruelties as well as the (according to the UN) illegal arsenal of weapons of mass destruction that we have provided the Israelis with. The USA is definitely also the single greatest danger to peace and civilization on this planet. When I was younger, I used to wonder what the world would be like if Hitler's military had been stronger and the Germans had conquered the world. Now we are about to find out what happens when a state like that happens to be stronger than all other nations combined. China does, however have lots of nuke-ular weapons, so there is a good chance none of us will live to see it. And while I'm at it, if Bush wanted to go after the one country in the world that has violated by far the greatest number of UN resolutions, or the one that has the largest amount of illegal (even according to the unfair definition used today) weapons of mass destruction, it would be one and the same country, and it would be in the Middle East, and we would spell it's name with an "I", but it would not be Iraq or Iran. And, no, it would not be India either.
Are you suggesting we kill the Jews Lobster??? I hope you don't live in the US. A brainwashed liberal from our fine socialist school system.