Where do orders reside... continuation from other thread.

[8DTK8]

Interactive Brokers
Orders in a state "Accepted" or "Working" are at the exchange or on IB's servers in situations where the exchange does not have native support for an order type.
OCO (One Cancels Other) functionality is natively supported on their servers.

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Above is from a sticky thread at the top of "SuperDOM and other order entry systems".

After having placed a few trades through SuperDOM using ATM, I realized that when a limit is placed to open a position, the order resides at the exchange, but the associated ATM stop orders don't get submitted in "Working" category at the same time.

I was wondering why this is given that if there is a internet connection failure, there will be an open order without an associated protected stop at the exchange (or on the brokers server).

Perhaps I'm getting it wrong. Any clarification would be appreciated.

Thanks in advance.

[NinjaTrader_RyanO]

Hi 8DTK8,

Thank you for your post.

As long as the orders show as having been received at the broker then your position should be protected.

Not all brokers support OCO functionality like IB, and what you are likely seeing is that the TWS application is managing the OCO feature since the orders would submitted to the exchange as independent of one another.

If orders are submitted to the exchange but do not include the OCO feature then you will have the order protected, but if one is filled the other may not be unless a connection is present whereby NinjaTrader, or IB can manually cancel the order on the exchange servers.

[8DTK8]

Thank you Ryan.

I haven't started live trading since I just stumbled upon ATM less than 24 hours ago and I'm getting used to it using the Sim101 account.

The reason for my question is that when I submitted a limit order with associated atm, it submitted the limit buy in the "orders" tab, but not the associated stop order. I realize doing this in the simulated account has it's limitations, but I'm guessing that it means that if I were doing this with a live connection to IB that the order to open a position would reside on the exchange server and NT would not have submitted to stop associated to the ATM strategy until it was filled.

So I'm still unclear on what's happening. From what I'm seeing, if I submit a buy limit order away from the market with an ATM strategy attached and then the internet goes out / loss of power, then my order to open a position is on it's own. It could get hit and I would be without a stop order because NT isn't connected thus can't submit the ATM orders.

It's not that my internet or power goes out that often, but memories of trading a decade ago and the stability of infrastructure back then makes me want to know these things.

Thank you again.

[NinjaTrader_RyanO]

Hi 8DTK8,

When submitting the limit buy order had it been filled yet, or was it waiting to be filled because the ATM strategy features won't submit until the order is filled.

As for the lost connection the ATM strategy features of an order with IB rest on their serveres. So, if you lost connection then the order would function the same as having a connection. This is not true in all cases, and your understanding is correct if the broker does not support the OCO functionality.

[DenNYC_]

As for the lost connection the ATM strategy features of an order with IB rest on their serveres. So, if you lost connection then the order would function the same as having a connection. This is not true in all cases, and your understanding is correct if the broker does not support the OCO functionality.

what about Mirus Futures? they put ATM on their server OR it is run locally on my machine?

[NinjaTrader_Vincent]

Hi,

Yes, the ATM will be locally on your machine.

See here for more info as well:
http://www.ninjatrader.com/support/forum/showthread.php?p=27076

[DenNYC_]

Hi,

Yes, the ATM will be locally on your machine.

See here for more info as well:
http://www.ninjatrader.com/support/forum/showthread.php?p=27076

thx, so it is cruicial to have extremely stable connection. now i have Verizon, usually once in a day i have a connection loss...

[NinjaTrader_RyanO]

Hi DenNYC_,

The connection is just one part of it, and a stable connection would be recommended due to the general risks of Electronic Trading.
http://www.ninjatrader.com/support/helpGuides/nt7/index.html?risks_of_electronic_trading_wi.htm

Based on the order type, though, you can see where your orders reside, and in most cases they are with the broker, but certain functions like OCO are handled natively by NinjaTrader and would require a connection to modify the orders. More information on order types:
http://www.ninjatrader.com/support/helpGuides/nt7/index.html?order_state_definitions.htm

[DenNYC_]

Hi DenNYC_,

The connection is just one part of it, and a stable connection would be recommended due to the general risks of Electronic Trading.
http://www.ninjatrader.com/support/helpGuides/nt7/index.html?risks_of_electronic_trading_wi.htm

Based on the order type, though, you can see where your orders reside, and in most cases they are with the broker, but certain functions like OCO are handled natively by NinjaTrader and would require a connection to modify the orders. More information on order types:
http://www.ninjatrader.com/support/helpGuides/nt7/index.html?order_state_definitions.htm
thx, very helpful!