Try TT Now

X_TRADER®

Trailing Stop Orders

You are viewing X_TRADER Version 7.17 and higher. For earlier versions, click here

A Trailing Stop sets the trigger price a fixed distance from the market price. The trigger price dynamically adjusts relative to the market. Trailing Stop triggers are typically set worse than the market. This means:

  • Trailing Buy Stops are placed a fixed amount above the current market price. As the market falls, the trigger price adjusts so that it is never more than a specified number of ticks away from the market price. If the market rises, the trigger price does not adjust.
  • Trailing Sell Stops are placed a fixed amount below the current market price. As the market rises, the trigger price adjusts so that it is never more than a specified number of ticks away from the market price. If the market falls, the trigger price does not adjust.

The following screen shots illustrate a Trailing Stop order where the trigger price dynamically adjusts so that it is three ticks away from last traded price. Once triggered, the Synthetic SE submits a child order priced relative to the Ask price minus one.

Trailing Stop in the Order Pane

The TTStatus field displays the Trailing Stop in Pending Trigger status. During this time, the Synthetic SE continuously monitors the order and dynamically re-prices the trigger. The quantity displays in the Undisclosed Quantity (Und Qty) column because it is not actually included in the exposed depth of the market.

Trailing Stop in the Orders and Fills Window

 

Notes

  •  If you are submitting a Trailing Stop order locally (i.e., X_TRADER is managing the order), you need X_TRADER to remain open to continue working. Locally managed Trailing Stop orders are removed from the market if you shutdown.
  • If you are logged into an Synthetic SE, your trailing orders will continue working on the Synthetic SE after you shutdown.

Once triggered, the Synthetic SE submits a child order priced relative to the Ask price minus one.

Placing Trailing Stop Orders using the Market Window

To place a Trailing Stop order...

  1. Click in the appropriate expiration/strike row on the bid or ask side of the Market Grid to seed the Order Pane with a contract.

  2. Set the order quantity.
  3. Configure routing using the Routing Configuration dialog.

    Note: You can setup routing rules and customer profiles, or use the <Default> profile. Refer to Creating a Customer Defaults Profile

  4. Select Trailing Stop from the Modifiers list.

    The Ticks Away field appears.

  5. Set the number of ticks away from the Price Type the should trail the market in the Ticks Away field. Use the arrows or type the number.

    Note: If you want a natively supported order to be managed by the Synthetic Strategy Engine, click Override Native.

  6. Select the Price Type used to calculate the trailing price relative to the market.
  7. Notice that Price Mode is set to Relative and the Fixed choice is disabled. Trailing orders are dynamic and cannot have a Fixed price.

    Note: Refer to Price Mode if you would like to explore this topic in greater detail.

  8. Set the base price used to calculate the relative price in the Price Type field.

  9. Set the number of ticks that you would like added to or subtracted from the trigger price in the Offset field.

    For example, a buy order with a positive offset of one (1) is the Price Type minus one tick.

  10. Click Buy or Sell once you have entered the desired order parameters to submit the order.

Placing Trailing Stop Orders using MD Trader

To place a Trailing Stop order...

  1. Configure Trailing Stop order parameters.

    • Create an Order Template using the Order Defaults window.

      - or -

    • Enable Trailing Stop and the number of ticks from the last traded price in the Enable Order Types section on the MD Properties | MD Trading tab.

      Note: If desired, assign the order template/order type to an order button on the MD Trading tab.

  2. From MD Trader, select the Trailing Stop order configuration.

    • Click the assigned Order Button.

      - or -

    • Select the Trailing Stop configuration in the Order Type drop-down list.

  3. Configure routing using the Routing Configuration dialog.

    Note: You can setup routing rules and customer profiles, or use the <Default> profile. Refer to Creating a Customer Defaults Profile

  4. Set the desired quantity.

  5. Click the Buy or Sell column at the price level where you would like to submit the order.

    This displays an undisclosed order in the Working Orders column adjacent to the price..