Were you not the one who hijacked this thread and started talking about auto liquidation? Regarding pfof of course is that a concern to an equity trader. Even with slight price improvement any first look delays the order from reaching a potentially more liquid market where the order could be executed faster.
Yeah I'm probably confusing the specific context with another one. I'm pretty sure I've seen the situation where I've had an order disappear after having another one fill due to margin, but I'd have to recheck.
This case happens once in a blue moon (like twice a year for me). I don't call it a bug and actually I like it. I like to have two open orders and I do that because I see sometimes one contract seems not liquid and I put order on another similar option. Once one goes through the other one gets automatically canceled. If both go through in the same second, IB goes and liquidates me (which is absolutely fine with me). I also use another trick not to pay option order cancelation fee. Let's say I have an order to sell 20 contracts at 0.2 and then the price drops and I am ready to sell at 0.18. I dont modify my order. I put another order at 0.18 cents and by doing this because of margin issue my 0.2 order gets canceled by IB and since I canceled my order and it was not me, I dont pay cancelation fee. Since I might do this many times (from 0.2 to 0.19 to 0.18 to 0.15) I enter new order and let IB cancel my old order.
Exactly. Look at my execution times. Exactly at the same second and 3 seconds later auto liquidation happened
I strongly recommend you to overthink your approach because your "tricks" at best harm you financially and at worst if you discovered a bug or loophole land you in trouble with regulators or the exchange.
Auto liquidation does not happen only on option. It can happen on stocks, futures. One good feature of IB is auto liquidation. I love it. I let them control my account and put my ducks in order. I like a tough broker who follows rules and is not forgiving. In long term it is good for you. Please explain what "another type of relation" can do when because of a stupid mistake, you become out of margin.
Could you please be so kind as to keep this thread on topic? If you are interested in auto liquidation it would be good to start a new thread. I think I am not the only one who is really interested in hearing what Def of IB has to say about PFOF in regards to some of the follow-up questions or for that matter anyone who has something of value to add to the topic of PFOF.
I wanted to say your statement is not right but you are right in a way but what I am telling you is based on my over 100+ times experience. So what I have seen so far is this: If you put an order on option A and also an order on option B, IB allows that (even if you don't have margin to execute both) as it happened in my case but if you put an order on option A for x price and then put another order on the same option A for x+1 price, the most executable order will stay and the other one will be canceled by IB although none of then has been executed yet. As I said I have used this method to avoid self cancellation of the orders and let IB do it for me.