It's got nothing to do with IB - they just pass on the order book from the xchange. Direct market access. I don't trade HSI, but I can tell you the HSI book is very volatile and spread can be very significant sometimes. It's not like most other stock index futures.
dccraig1 :
Thank you for the reply. I've been monitoring the HSI future for a month through live quote, and realize the high volatility in this market. Thank you for the warning.
Through some demo accounts, I've also seen that some futures company using the live last trade price, then they substract their SELL price by 10 and add their BUY price by 10. hence they have 20 points spread. Another, using the live bid price as their sell price and add 10 points for their buy price.
Through that observation, I want to know hows the IB quote their bid/ask price, so I can calculate their BEP .
cheers
Thank you for the reply. I've been monitoring the HSI future for a month through live quote, and realize the high volatility in this market. Thank you for the warning.
Through some demo accounts, I've also seen that some futures company using the live last trade price, then they substract their SELL price by 10 and add their BUY price by 10. hence they have 20 points spread. Another, using the live bid price as their sell price and add 10 points for their buy price.
Through that observation, I want to know hows the IB quote their bid/ask price, so I can calculate their BEP .
cheers
nine
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IB have a real bid and ask and its usually only 1-4 points. You seem to be talking about bucket shops (spreadbetters) who are inherently untrustworthy.
There is another lesson, normally relevant to people trading US or European futures.
HSI, like STW, rolls over every month on the day before the last business day of the month.
So HSI is currently the October contract. People who are amazed at the spread often have looked at the quarterly contracts (december say) which are much thinner.
There is another lesson, normally relevant to people trading US or European futures.
HSI, like STW, rolls over every month on the day before the last business day of the month.
So HSI is currently the October contract. People who are amazed at the spread often have looked at the quarterly contracts (december say) which are much thinner.
nine :
I didn't know about the bucket shops, but that might be the one I talked about. That is good to learn that I have another option to trade with real price.
I've seen the real price movement of HSI October future, and the bid/ask price sometimes can be quite big reaching 10 points, but they mostly still within 1-6 points.
I didn't know about the bucket shops, but that might be the one I talked about. That is good to learn that I have another option to trade with real price.
I've seen the real price movement of HSI October future, and the bid/ask price sometimes can be quite big reaching 10 points, but they mostly still within 1-6 points.
