What are appropriate situations to use hidden orders?

Discussion in 'Trading' started by helpme_please, Dec 20, 2020.

  1. I use Interactive Brokers. IBKR provides hidden orders as an option. What are appropriate situations to use hidden orders?

    I would like to know for the context of Hong Kong stocks, Australian stocks and U.S stocks.
     
  2. Robert Morse

    Robert Morse Sponsor

    IMO, I would never use a hidden order. Your price can have trade throughs with no price protection on other exchanges. In an order where you want to buy a large block of stock in an illiquid symbol where the market makers might jump in front of you by a penny, I would consider an iceberg order. E.g. Buy 10,000 XYZ show 100. That way my price is visible but not my size. My only experience is with US stocks.
     
    zion likes this.