NYSE OpenBook billing?

ryanmitcho · Mar 6, 2003

anyone know much about the NYSE liquidity quote or how much it costs to have access to it? I checked a while back and it was something obscene- like a few thousand/ month. That would definitely be an asset, to have a better picture of the real interest.

bcb23 · Mar 6, 2003

For the distributor (reseller) of the data, NYSE charges $5K/month (this might be what you're referencing). End user fees are $50/month from NYSE.

I Missed Boat · Mar 6, 2003

Quote from Avalanche:

I used to totally believe that.....but my eyes have COMPLETELY been opened to the power of openbook lately. Yeah it has a 10 second delay and yes, it is worth little in the larger vol stocks where the action is in the crowd but the book even with the 10 second delay actually LEADS the regular level II a lot of the time in the other 1000's of stocks as you will see size come in on open book way before the specialist shows it if it comes in right before the update. EX. stock has been selling off and is 1X1 40.05 by 40:10 or whaever NYSE. Open book updates and you have 5K to buy at 40.08 and there is an ecn at 40.06 still trying to get short. Without the book you can't buy the ecn shares with any confidence because if the stock has been comming in the next print might be down another dime, here you can buy the ecn and the next print is likely 10 cents up not 10 more down. Sometimes you will see the above where the specialist is putting together a print or finishing up someone in the crowd and an electronic limit order comes in and the book actually leads by a few despite the update....then eventually when the 1X1 goes away you see the specialist displaying what you knew 3 seconds earlier.

While some firms continue to talk down open book, other niches of traders have embraced it and could not trade effectively without it.

As far as it screwing you up, yeah bids and offers can get pulled but how often are daytraders putting up 10-20K share fake bids and offers. Not often, atleast not that I have met.

Also if you trade off the bid size ask size as most high vol traders tend to the book is almost mandatory these days as the big bids and offers are almost always pennied rapidly these days to cover up real size. Having the book allows you to feel more confident the size is still there.

Bottom line: It won't help you in IBM or JPM maybe but it is a huge tool in lower volume stocks. As soon as they roll out that liquidity quote every firm will have to have open book anyway so you might as well get to used to using it now IMO.
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Actually, many high volume traders won't even look at the open book and don't trust the "open crook." There are still many games with it, by the specialist, daytraders and institutions. Also, many high volume traders use bid/ask as only one minor tool in their trading.

bcb23 · Mar 6, 2003

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Quote from nitro:

$50/M. I have it set up so that they charge me quarterly I think.

There are no software fees. My OpenBook is thru Interactive Brokers, and I just right click on a line that has NYSE routing and a menu pops up "Show Market Depth." A new window appears that displays the book.

nitro
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I'm considering opening an account with IB. Are they reliable? How many times do they go down in a year? I want to use them to trade futures and options both domestic and international.

nitro · Mar 6, 2003

IMHO, the answer as to whether IB is reliable is a resounding YES. One and a half years ago they had bad reliability problems. Since then, I would say that their reliability is stellar by comparison to 99% of the other brokers out there, pro or retail.

In spite of that, I have three brokers that I use in a round-robbin type fashion. I keep them because I do not want to be stuck in a position or have to call someone in an extreme situation.

As far as being able to trade many markets under one account, that is where IB REALLY shines.

IB has it's problems, e.g., no "indications," no "bullets," etc, but if you do not need these things, it is one of the best brokers in existence for the retail trader.

nitro

Quote from bcb23:

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Quote from nitro:

$50/M. I have it set up so that they charge me quarterly I think.

There are no software fees. My OpenBook is thru Interactive Brokers, and I just right click on a line that has NYSE routing and a menu pops up "Show Market Depth." A new window appears that displays the book.

nitro
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I'm considering opening an account with IB. Are they reliable? How many times do they go down in a year? I want to use them to trade futures and options both domestic and international.
More...

bcb23 · Mar 6, 2003

Thank you. I've heard some older reports that the service and quality were questionable. It's great to hear that it's no longer an issue.

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NYSE OpenBook billing?

ryanmitcho

bcb23

I Missed Boat

bcb23

nitro

bcb23