IB Options stop orders, question.

Discussion in 'Options' started by Optionpro007, Jul 18, 2005.

  1. Hello:

    Quick question, when I use stops to get out of a losing position I have been taken out 25 to 40 cents under from where my stop was originally placed. Is this the way it is supposed to work ? I have always used mental stops, so I don't have experience with these orders w/IB.

    I called IB asking them if the order could be generated by the first bid, but they said it was generated on a double bid ?

    Still I don't get it. I have seen how the bid and the stop are at the same price but my order is not filled.

    Could somebody shed some light ?.

    Thanks !
  2. Your stop order becomes market order if your stop levels hits to bid.
    If you want to get out at your stop level, use a stop/limit order instead and make the limit value equals to the stop value. Of course, you may end up without a fill at all if the market moves quickly.
    Alternatively, you may modify the order ticket, using the conditional tab and make a condition based on the "last" trade.
  3. =============


    .40 seems excessive, even for options, unless its last 2 weeks expiration ;
    maybe go back to mental , written, stops executed by hand,
    set up in advance on work station.

    For sure compare these 2 methods-auto verses discretion;
    and especially like IB Smart route,
    but also sounds like maybe IB quotes need help with your discretion also .:cool:

    Wisdom is profitable to direct.