The Smart Way
Getting you the best prices
Smart route is an abstract feed that receives data from several external feeds. Our system finds the best price (maximum for sell and minimum for buy) and creates quotations.
Take the following example shows an assumption of your trading platform settings for maximum delay time is set at the default of 500 milliseconds (0.5 second). This setting will immediately discard any data feed coming at a speed lower than half a second and won't be computed!
Conversely, if no feed is coming to your platform it is probably because your setting is far too low and you may want to increase it to an unacceptable level for troubleshooting purposes, only then start lowering the frequency by 100 millisecond until you reach your desired tuning.
|
Feed |
Sell |
Last update, seconds |
|
Feed 1 |
475.2 |
280 |
|
Feed 2 |
470.9 |
478 |
|
Feed 3 |
478.3 |
520 |
Too bad for Feed 3 with the highest sell figure (478.3) as it took over 500 milliseconds (time is money remember that too!) Whereas, Feed 1 will be the winning one! High enough and received in record time. Feed 2 is lowest and for Sell side and therefore it will be silenced.
Although you may purchase a commodity from a number of different exchanges, the purchased commodity must be sold back to the same exchange from which it was purchased. That is of course unless the commodity may be traded when Inter-Markets trading is available between exchanges. However, Inter-Markets trading is rare due to varying differences in commodity specifications from one exchange to another.
Because of this, by default you should not expect Smart Route to use the same logic to close your live positions. Instead, your trading application will select the route (or exchange) Smart Route initially picked to open your position in order to close it.
However, the following example shows how Smart Route dictates when Inter-Markets trading is allowed.
Here, you are allowed to trade one common commodity across multiple markets, hence ‘inter-markets trading'. In this case Smart Route will scan all available routes and only provide available the best prices for buy and sell sides.
Consequently, you are opening positions at best prices and closing these same positions at the best available prices regardless where the quotes are coming from.
Click here for more and more information about Trading Routes...