My question is does latency between system ->c2->tradebullet->Interactive Brokers have a large impact on returns?
That will depend very much on what system you are trading. I don’t know what the latency is in the setup you ask about, but if you are trading a system with extremely short term trades then a few minutes’ delay may very well alter performance markedly. On the other hand, if you are trading a system with long term trades then it probably won’t make much difference at all.
Peter - In my experience latency issues with TradeBullet arise only with limit orders. Please read the thread on this forum of 7/31/10 "Malfunctioning of C2 again" where Matthew explains in detail why and how these problems arise. - Karl
Hi,
Once a signal is received by TB there is no latency sending it to a broker.
As to limit orders: some limit orders may fill in C2 but not your brokerage account (therefore causing you to fill later than the hypothetical model at C2), but that’s not latency: as Matthew explained a limit may be touched by just one trader in the world, and this will cause C2 to show the order as filled at that time, as it should, but you may not be that lucky trader and you will therefore fill later.
That’s not latency, it’s just the nature of limit orders.
I trade about 12 systems on C2, with TradeBullet->IB and I can say that quite often I get the same fill as reported by C2.
Denis
