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

To: Dustin who wrote (13444)	8/4/2001 7:44:47 PM
From: Eric P	Read Replies (2) \| Respond to of 18137

It seems as though my order waits until the ECN is gone, then executes with the MM. Is this how it's supposed to work? For SuperSOES, yes, this is how it is supposed to work. ECN's are not SuperSOES'able. None of the ECN's have chosen to participate in the SuperSOES program, and therefore, if only ECN's are available at the inside market, you will not be able to execute a SuperSOES order until they are gone. Most daytrading platforms, however, have some form of intelligent order routing. For example, on RT3 you have the ARCA order routing option. These systems automatically route your orders to a combination ECN's and/or MM's to fill your order quickly and efficiently. Now, with the SuperSOES system implemented, these intelligent order routing systems are much better and faster than ever. Good luck, -Eric

To: Dustin who wrote (13444)	8/4/2001 7:45:40 PM
From: aldrums	Respond to of 18137

Yes, because SOES only executes on the inside. You might be better off using a ARCA or REDI Market orders. These will hit the ECN if available, and if not will execute via Supersoes. Of course, there is still the possibility your order will not be executed immediately because your order is not entered into the SOES queue soon enough, the MM liquidity is executed ahead of your order, and ECNs again appear on the inside. When this happens you can either cancel your SOES order and hit the ECNs, or wait until a MM appears on the inside...then your order will be executed assuming there is no one in the SOES queue to take out all the MM liquidity ahead of you. Fun stuff, huh? Alex

To: Dustin who wrote (13444)	8/4/2001 7:58:38 PM
From: exdaytrader76	Respond to of 18137

Re: ECN alone at the inside What happens when an ECN or a UTP participant is alone at the inside? Will a SuperSoes order trade through the ECN quote? No. Transactions will only occur at the inside quote. SuperSoes, as an auto-ex system, will not continue to execute when a superior price is at the inside, even if it can only be accessed by SelectNet. ECNs have indicated that they will respond quickly if sent orders. With regard to UTP exchanges, the Chicago Stock Exchange will fully participate in automatic execution. The Cincinnati Stock Exchange and other UTPs that are not participating in automatic executions should be accessed in the manner by which they are accessed today. If an ECN is alone at the inside, how would I get to another MM at a price away from the inside if I do not access the ECN’s quote? In order to reach a market participant at another price when an ECN is alone at the inside, you may send an oversized, non-liability order via SelectNet to the other participant. However, you may enter a preferenced liability SelectNet order to access the ECN quote at the inside. nasdaqtrader.com NASDAQ seems to say that you can only use SuperSoes to trade with the inside. Maybe (?) NASDAQ holds the order in some sort of queue (wow that word has to be a killer in a spelling bee - I had to look it up) until it is executed. BTW - I emailed NASDAQ and they said that MKT orders do not have priority over LMT. It is time priority only.