Professional firms now have SOES access, through SuperSOES. What do you guys think? I was a little disappointed when I first turned "professional" (I am at Echo http://www.echotradeonline.com ) because of the loss of SOES access. They now have it, I was playing on RMBS today (it only works on 80 stocks until July 30, then all stocks will work) and I was picking off Market Makers and getting fills back in half a second! WOW! I have forgotten how cool SOES is. Any other traders excited about SuperSOES?
I agree TraderJim, that was the only drawback to going to a "professional" firm. SuperSOES takes away the only drawback pro guys had, I don't see why everyone wouldn't be at a pro firm now. I am very excited. I feel bad for firms like Knight (NITE) and the other Market Making firms, the pros should be able to clean their clocks now.
I could really use an primer on SuperSOES -- just how does this routing work, and why is it such an advantage. TIA regards/greg
SuperSOES allows you to auto-execute against a market maker's posted bid or offer. With SelectNET they are allowed to hold orders and back away from their bids and offers if they feel like it. With SuperSOES, if they put up a bid or offer you can nail them. The fills are instantaneous, it definitely brings an advantage back to the daytrader. Also, the old SOES was limited to the non-professional and would only work on orders of 1000 shares or less. SuperSOES is open to pros as well, and is for up to 999,999 shares. It is also cheaper than going through the ECN's. Instead of paying .25 cents per share ISLD ECN fee, or .40 cents per share ARCA ECN fee, or .625 cents per share Instinet ECN fee (this is what Echo's are, don't know what you pay), SuperSOES is $0.50 per execution. So for 1000 shares of INTC, for example, on ARCA would cost $4.00, here is still 50-cents. Check out the Nasdaq's link below that tells about it: http://www.nasdaqtrader.com/trader/hottopics/ssoesfactsheet.pdf -Jim
Also check out: Stocks quoting and trading in Supersoes week of July 16th, 2001: (Pilot 2) http://www.nasdaqtrader.com/trader/hottopics/ssoespilot1.rtf Also add CSCO and INTC to that list. Supersoes Guide: http://www.nasdaqtrader.com/trader/hottopics/ssoesenhancements.pdf Supersoes FAQs: http://www.nasdaqtrader.com/trader/hottopics/supersoesfaqs.stm I am very excited about Supersoes...can't wait until full implementation next Monday. And yes...a pro trading career seems to be in my future. Alex
By the way, to read the above link you need Adobe Acrobat. You can get it at http://www.download.com Or just go to: http://www.nasdaqtrader.com/trader/hottopics/supersoes_hottopics.stm -Jim
Things will really cook when Island and Instinet become (they should) Full-Participation ECNs for SuperSOES. If Island and Instinet are Full-Participates then we can pick off Market Makers, Island Traders and Instinet Traders. MGB
Full participation won't happen, nor is it as good an idea as you think it is. NASDAQ is aiming to reduce the use of the ECNs using SuperSoes and SuperMontage. ECNs that participated in SuperSoes would get inferior treatment (perhaps justifiably) because the ECN fees would (if NASDAQ has its way) be included in the quote price calculations that are used to determine price priority, giving market makers and NASDAQ a definite advantage. The ECNs know all this, and faced with the challenge of more or less competing with someone who writes the rules of the game, prefer to provide as little support as possible for NASDAQ's plans.
Finally we are getting our revenge on the market makers. Post-decimalisation, they could back away at the drop of the hat, making ISLD our only feasible route for playing Nasdaq. Now we can nail those market maker b**st**ds, and give them back the crap they have been giving us. Power to the daytraders!
I have been primarily trading NYSE, now with the SUPERSOES wondering if I should switch to NASDAQ, any ideas?? Please let me know?