MOC exits for daytraders

Discussion in 'Trading' started by es175, May 23, 2008.

Do you use MOC orders to close day trades?

  1. No never

    7 vote(s)
  2. Yes but rarely

    3 vote(s)
  3. Yes often

    1 vote(s)
  4. Yes and MOO orders the next day

    0 vote(s)
  5. I prefer MOO the next day

    0 vote(s)
  1. es175


    It strikes me that flattening MOC (Market On Close) orders are often the exit of choice for trades with the day's trend. Especially when combined with protective OCO (One Cancels the Other) stops. Perhaps unwisely, I rarely use this tactic.

    Do you?
  2. bespoke


    In my experience, it generally ends up costing me more to use MOC instead of working my way out.
  3. judging by P&L (IB) more often than not the money just mysteriously disappears in the last minute of trading when using MOC. I am not sure if this could be attributed to the way P&L is calculated or if MOC really carries a significant price for the convenience.
  4. I don't think you can generalize and say that there is an edge there. moc prints are very inconsistent and its probably a 50/50, not to mention that you won't be able to cancel the order during the last 20 minutes if the market turns on you. Maybe I'm just bitter from having seen a few too many "can't miss" moc prints gap against me. Maybe you should try tracking the moc vs. where you exited for a period of time and find out whether you would have benefitted.