Hi all. Please share your thoughts and experience about aspects how limit orders work for auto copiers. The situation is folowing - i apply limit order as portfolio manager on low liquid option market the strike OTM and low volume traded. My order will cast signal to copiers to join trade and to repeat my route and to put limit order?. Or system will wait when my order will executed and will configurate copiers only for market order. Please help to solve it. Thank you in advance.
In my experience using Broker Transmit, Collective2 will trigger a market order for all subscribers within a short period of time immediately following the limit order fill in the broker account. I have found the subscriber slippage to be very small when trading high volume and liquidity options (normally 1 to 2 cents on a $5 option price). However, if you are trading low volume low liquidity options you may experience a very very different result for your subscribers.
Thank you for assistance. I going to use limit for liquid stocks as well. It was very helpful to know how limit orders works for copiers.