A Sell mkt order comes in for 200 shares ROUTED directly to ARCA. What scenario is correct. A) Filled @ 15.50 ARCA and 15.49 ISLD B) Filled @ 15.50 ARCA and 15.41 ARCA DEPTH OF BOOK FOR BIDS _____________________________________ ARCA: (1)15.50 ISLD: (1)15.49 ARCA: (1)15.41 ISLD: (1)15.41
Try it out I'd say if NBBO on bid side is on ARCA, by default you'd sweep ARCA book (scenario B) unless you use specific order type instructing what to do with the reminder (ord_size - top_of_book_size). http://www.nyse.com/equities/nysearcaequities/1157018931913.html At any rate, I'd never sweep the book with market order...
yes, unless specified in order such as nyse DNS do not ship order, the remainder will be filled on isld. you usually pay a little extra commission if order is shipped out.
Only top of book is protected, and unless you specify otherwise, the rest size would sweep the book. Think about it: why a market center would ship the rest of the order if it doesn't have to and loose commissions on an execution? Remember, commissions and market data are two major income venues for those guys.