the people that argue saying locked market are bad because we got hidden order types are bald strats who never did a trade in their life before clowning up their so called arbing fund. these orders are banned and irrelevant anyway. we are not having bids higher than the offer period.
This IB text is a bit ambiguous. It does not specify whether the last trade price, bid price, or ask price, has attained or penetrated the set stop price. I believe that the default setting is that the last trade price must have reached the stop price. But that it is possible to change this default to using the bid or ask price.
This is very good question that you asked as at which (LAST/Bid/Ask/Mid) STOP price the order will trigger for either MARKET or LIMIT. Or a trade occurrs at or through the stop price. I don't know exactly and probably need more clarification from IB team. If any know about it, please shine/chime to enlighten us. thanks.
It's all clearly spelled out in the examples: The price of XYZ begins to fall from 14.93. If it touches your Stop Price of 14.46, a market order to sell 500 shares will be submitted. So last or whatever your trigger method is will activate the order. Then it's either market or limit (stop limit).
well....according to end user set up, both the STOP as well as LIMIT price can be set to LAST/BID/MID/ASK prices. User choose to decide any combination as at which price level the order should be triggered and executed.