Stop Limit Order and Spread
Stop Limit Order and Spread
03 Oct 2024, 15:14
Hello,
I would like to know how the Stop Limit order is executed compared to the spread.
Let's say I trade an indice with a Bid price at 1
- I want a Target entry price at 100
- The spread is 1
- The Stop Limit Range is 2
If it is a Long Stop Limit, how the entry looks like ? I expect the trade to be filled between 99 (100 Bid Price - spread or Ask Price) and 102.
Am I right?
About the Take Profit, when I fill in the take profit in the PlaceStopLimitOrder, it is in points but I know from the start my TP in Price and not points. I don't want the Take Profit price to be calculated later with the filled Entry Price… Do you have an idea to set the Entry when I setup my order?
Thank you
Replies
sebastien.t
04 Oct 2024, 08:45
RE: Stop Limit Order and Spread
Hi there,
thank you for your answer.
For the TP, my bot is managing multiple position at the same time, I have to change the TP when the position is opened. So the only option I was thinking about is to store in LocalStorage the TargetPrice for every position and then calculate manually the TP and modify it. Is it my only way?
About the Stop Limit order entry, you say that the spread is irrelevant but on some US30 position yesterday I was not filled and I was thinking of the spread.
Let s say that the spread is 3 and I set a Long Stop Limit with a TargetPrice at 100 and a range at 2, is it possible to be filled?
Thank you
PanagiotisCharalampous said:
Hi there,
The spread is irrelevant to the stop limit price. If you set a buy order at 100 and the range at 2, then what you are asking is the slippage not to exceed 2. Therefore the worst executed price will be 102 and only the volume that can fulfill this requirement will be filled. The spread is irrelevant, the bid price can be at 99 or 50.
Regarding TP, it can only be set in relative pips at the moment. If you need to set an exact price, you would have to modify the opened position.
Best regards,
Panagiotis
@sebastien.t
PanagiotisCharalampous
04 Oct 2024, 13:48
Hi there,
For the TP, my bot is managing multiple position at the same time, I have to change the TP when the position is opened. So the only option I was thinking about is to store in LocalStorage the TargetPrice for every position and then calculate manually the TP and modify it. Is it my only way?
More or less, yes, you would need to track the orders on your side. It would be better to use the label or comment and a guid to identify them though.
About the Stop Limit order entry, you say that the spread is irrelevant but on some US30 position yesterday I was not filled and I was thinking of the spread.
Let s say that the spread is 3 and I set a Long Stop Limit with a TargetPrice at 100 and a range at 2, is it possible to be filled?
Yes. The spread is not relevant, you need to look at the VWAP DoM instead.
Best regards,
Panagiotis
@PanagiotisCharalampous
PanagiotisCharalampous
04 Oct 2024, 05:33
Hi there,
The spread is irrelevant to the stop limit price. If you set a buy order at 100 and the range at 2, then what you are asking is the slippage not to exceed 2. Therefore the worst executed price will be 102 and only the volume that can fulfill this requirement will be filled. The spread is irrelevant, the bid price can be at 99 or 50.
Regarding TP, it can only be set in relative pips at the moment. If you need to set an exact price, you would have to modify the opened position.
Best regards,
Panagiotis
@PanagiotisCharalampous