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Strategies & Market Trends : DAYTRADING Fundamentals -- Ignore unavailable to you. Want to Upgrade?

To: Time Traveler who wrote (4725)	10/5/1999 11:24:00 PM
From: LPS5	Respond to of 18137

SOES and SelectNet aren't electronic communications networks. They're execution methods, like ACES, CAES, DOT, AMOS, RAES, and a host of other smart-sounding acronyms are. There are 9 SEC-approved, bona-fide ECN's (actually there is one other...anyone want to go for bonus points? Hint - your average NASDAQ daytrader has never used it, or even seen it...): INCA ISLD REDI BTRD STRK BRUT NTRD ATTN There are also crossing networks, such as ITG (Investment Technology Group) INCX (Instinet's auction cross) AZX (Arizona Stock Exchange) OptiMark (a facility of the Pacific Stock Exchange, pending integration into NASDAQ) ...plus a few others. LPS5

To: Time Traveler who wrote (4725)	10/5/1999 11:33:00 PM
From: Matthew L. Jones	Respond to of 18137

TT, There are several on this thread who are much more qualified to answer than I am, maybe they will jump in... Just a thought or two: 1) Forget SOES. Harvey Houtkin is the only remaining SOES bandid. His gimmick worked before everyone and their brother started doing it and then they changed the rules. Don't waste your time (or money). 2) ECN's. All work pretty much the same. The more liquidity, the better to trade. Practically that means (in this order) ISLD, INCA, forget the rest. 3) ARCA. As and ECN ARCA is too small and illiquid. However, ARCA (not the ECN) is a computer automated selectnet preferencing execution engine. This feature (not the ECN) is what makes ARCA a very valuable tool for a few situations. It is particularly useful to enter or exit a market position when the market is moving rapidly and you feel you must do so. I have never used ARCA to enter a position, because I don't chase stocks. (Personal rule-- I enter only on limit orders and allow the market to come to me or I pass on the trade.) As a last resort "bail out" exit tool, I have found ARCA to be invaluable. 4) Select net. I don't use it. Personally, I don't care who sells to me... it's at my price (remember my rule above). As for exits, if I play it correctly and exit into strength, I once again don't care who buys my stock. If the market stalls before I get out, I don't want to take the time to manually preference different MM's (who will probably back away or take the minimum) and split my order along with having to do the math on how many more I have to sell, and entering subsequent orders. I just want out. I will let the computer do the work for me and therefore (as mentioned above) I use ARCA. Hope this helps somewhat. Hopefully some of the others will jump in and point out anywhere I have led you astray or overlooked a major advantage or disadvantage. As you can see from the above, I am a simple-minded guy and I like to keep my trading as simple as possible. I've found that the more complicated I make it, the greater chance I have of screwing up. <ggg> Matt

To: Time Traveler who wrote (4725)	10/6/1999 9:17:00 AM
From: Stoctrader	Respond to of 18137

>Market orders = yes (please correct if wrong) SelectNet does not accept market orders. Baron Robertson elitetrader.com

To: Time Traveler who wrote (4725)	10/6/1999 9:29:00 AM
From: Eric P	Read Replies (1) \| Respond to of 18137

Time Traveler: Let me try to address some of your questions regarding SOES, SNET and the ECN's. SOES Only marketable limit orders accepted (i.e. buy at ask or above) Orders will time out after 90 seconds, unless cancelled or filled See also: #reply-9980318 SNET You wrote: "Routing = MMs first, then ECNs" Note that SNET routes to either market makers or ECN's, whichever you have selected. A single order is only sent to the selected other party, no sophisticated order routing is done for you. Also, there is not market order functionality. See also: #reply-10248086 ARCA and other ECN's Note that ARCA is an ECN and can also be an automated order routing system, assuming your broker has this feature configured. More information on the order routing system can be found at #reply-11429312 General ECN information: #reply-9982837 More ISLD information: #reply-9995262, #reply-9979945 Note: All of the ECN's are limit order books and do not support market orders. Hope this helps, -Eric