CANCELLING PENETRATED ORDERS!!
You may have noticed that on the Active Orders screen, when you cancel any pending or working order, the status of that order shows as CXL-Requested. This language is intended to accurately describe the event that's taken place - you've requested that your order be cancelled. This does not mean that the order necessarily has been cancelled or that the order will be able to be cancelled successfully. It simply means that you've instructed us to attempt to cancel the order, and you can be sure that we"ll act upon your cancellation request immediately.
So why can't we confirm that an order has definitely been cancelled? In the futures market, the floor brokers standing in the trading pits -- and even the exchanges that operate electronic trading platforms, such as Globex -- do not ordinarily confirm that an order has been cancelled. In other words, after we transmit your cancellation request to the trading pit or to the exchange’s electronic trading engine, we do not receive any messages back confirming that the cancellation attempt was successful. Thus, we've always steered clear of the word "Cancelled", which implies that the order has in fact been cancelled with certainty. And the term that we used at one time in the past, "Cancel, " is rather ambiguous and isn't particularly accurate. We feel that the phrase "CXL - Requested" most clearly describes the true status of the order -- you have requested that the order be cancelled.
Please keep in mind that even though you've attempted to cancel a working order, it's conceivable that the order might already have been executed in the marketplace. This is not uncommon, for instance, in open-outcry trading pits during periods of extreme volume or volatility. Under such circumstances, the floor broker handling your order in the trading pit may have become so busy that he or she simply hasn't had time to "endorse" the order and send the fill confirmation back to us. In this case, the Active Orders screen would show a status of "CXL - Requested" until we've received the fill confirmation, at which time the status will change to "Filled Too Late To Cancel (TLTC)." The term "TLTC" is a widely used term in the futures industry and means Too Late to Cancel. Sometimes, you can almost tell if an order you've attempted to cancel will ultimately be "Filled (TLTC)."
If you've seen the market penetrate your limit price on several occasions, there's probably a good chance that the order was executed but a confirmed fill hasn't yet been received. In this case, we here at XPRESSTRADE suggest that you do not cancel an order you feel deserves a fill. You may either send an Order Check through the XPRESSTRADE system, or call us here at 1-800-947-6228 and request that the order be checked with the floor. We will contact the floor immediately and attempt to confirm the fill on your order. This saves time for both yourself and XPRESSTRADE because it takes more time for a filling broker to find a working order than it does a potentially cancelled order. Once we receive a confirmation of a fill we will post it to your account. If we confirm that the order was not filled you can feel free to cancel the order. We hope that this will take some of the stress out of waiting for the slower pit traded markets.
So why can't we confirm that an order has definitely been cancelled? In the futures market, the floor brokers standing in the trading pits -- and even the exchanges that operate electronic trading platforms, such as Globex -- do not ordinarily confirm that an order has been cancelled. In other words, after we transmit your cancellation request to the trading pit or to the exchange’s electronic trading engine, we do not receive any messages back confirming that the cancellation attempt was successful. Thus, we've always steered clear of the word "Cancelled", which implies that the order has in fact been cancelled with certainty. And the term that we used at one time in the past, "Cancel, " is rather ambiguous and isn't particularly accurate. We feel that the phrase "CXL - Requested" most clearly describes the true status of the order -- you have requested that the order be cancelled.
Please keep in mind that even though you've attempted to cancel a working order, it's conceivable that the order might already have been executed in the marketplace. This is not uncommon, for instance, in open-outcry trading pits during periods of extreme volume or volatility. Under such circumstances, the floor broker handling your order in the trading pit may have become so busy that he or she simply hasn't had time to "endorse" the order and send the fill confirmation back to us. In this case, the Active Orders screen would show a status of "CXL - Requested" until we've received the fill confirmation, at which time the status will change to "Filled Too Late To Cancel (TLTC)." The term "TLTC" is a widely used term in the futures industry and means Too Late to Cancel. Sometimes, you can almost tell if an order you've attempted to cancel will ultimately be "Filled (TLTC)."
If you've seen the market penetrate your limit price on several occasions, there's probably a good chance that the order was executed but a confirmed fill hasn't yet been received. In this case, we here at XPRESSTRADE suggest that you do not cancel an order you feel deserves a fill. You may either send an Order Check through the XPRESSTRADE system, or call us here at 1-800-947-6228 and request that the order be checked with the floor. We will contact the floor immediately and attempt to confirm the fill on your order. This saves time for both yourself and XPRESSTRADE because it takes more time for a filling broker to find a working order than it does a potentially cancelled order. Once we receive a confirmation of a fill we will post it to your account. If we confirm that the order was not filled you can feel free to cancel the order. We hope that this will take some of the stress out of waiting for the slower pit traded markets.
posted by XPRESSTRADE, LLC at 6/26/2006 06:34:00 AM
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