I tried to short NTE after the opening. However, I received the following message: "Price below limit" IB fixed the issue, but NTE was down 6% more at that point. I have had the same experience with a another stock within less than a week. Have anyone had the same experience? I guess it is difficult to claim compensation because I cannot document how many shares I would have shorted?
Its been a major issue for the past few months as IB has unilaterally decided to implement price caps for afterhours/premarket trading which means you often cannot trade certain names if they have moved too far from their closing price. I suggest you open a support ticket and complain about the issue. If enough people speak up, may force IB to change their policy.
http://www.elitetrader.com/vb/showt...107&perpage=6&highlight=tws bug&pagenumber=30 i was asking same question many many times. unfortunately IB is ignoring them. i still don't know WHAT EXCHANGE REQUIRES the cap? NAME IT and show us,where can we read more about it. there is USE TO BE an option to disable the cap settings,but it wasn't there anymore. but the message,saying that IB might modify your order is there. i actually suspect that i'm not getting any fills lately precisely for same reason as OP. but it's impossible to prove,cause IB refuse to tell us the 'rules' or 'algo' that might cause the modification or when they where triggered.
No exchange requires it. Its something IB management decided on their own for whatever reason. And yes, TWS did used to have cap settings built into the software, but these new caps are hard wired into IB's back servers, nothing you can do to change them yourself.
western: Thank you for your reply. Last week I did indeed experience the issue in the pre-market. I contacted IB and they solved the issue. I was able to trade and no harm was done. This morning, however, I could not trade NTE after the opening - in the regular session. I did manage to short on the opening auction, however, but I wanted to short significantly more shares. I will follow your advice and open a ticket.
i did run into such scenario multiple times.specially painful,when price spike down(or up,when you short) and goes below your stop. you trying to exit as quick as possible but instead-have to deal with those 'cap' modifications(where order price in case of long will be far above current price where possibility of execution is ZERO) and messages in most inappropriate time.
zdreg: I did not have a position. I wanted to short. I have not experienced the issue trying to close a long position (fortunately).
just another example of incompetency at IB and how far some of them are from trading. back to the message in that thread-how you suppose to figure out what is 'fair' and orderly market AT OPEN? i understand that they are trying to protect themselves mostly(not you,the customer),but it's a very strange path they choose. if there is no such requirements-then the message in pop up is a lie. right to the customer 's face.