You are here: Algos > ScaleTrader > Example 4: Scale order with Restore Size

Example 4: Scale order with Restore Size

Data Assumptions:

Label

Value

NBBO

$26.31 - $26.32

Action

Buy

Total Order Size

10,000

Initial/Subsequent Component Size

400

Starting Price

$26.28

Price Increment

.02

Order Type

Limit

Time in Force

GTC (this is set on the Basic tab of the order ticket)

Create profit taking order Check to enable
Profit Offset 0.20
Restore size after taking profit Check to enable

 

The Restore Size feature restores the component size at a specific price level after the opposite side order for the price level fills.

In this example, the order is scaled into 25 components of 400 shares each.

The first 400-share component is submitted at $26.28. After this level fills, the next limit order for 400 is submitted at $26.26, and at the same time an opposite-side profit order is submitted for 400 at $26.48 (component price + profit offset).

Once the sell order fills at $26.48 taking the profit, the filled quantity of 400 is put back in to the original order at its same price level of $26.28, and the $26.26 price level component is canceled.

Note:  When using the Restore size feature, you may want to consider making the profit offset closer to the price increment to help ensure the orders fill.

Scale Profit with Restore Size topic.

Important Disclosures