Systems and methods of electronic trading using automatic book updates

• US 20050228743A1
• Filed: 04/01/2005
• Published: 10/13/2005
• Est. Priority Date: 04/01/2004
• Status: Abandoned Application

• Current Assignee: Waverules LLC
• Original Assignee: Wave Rules LLC
• Inventors: Warsaw, Jeff, Handley, John
• Application Number:
  US11/098,795
• Publication Number:
  US 20050228743A1
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 40/04 Trading; Exchange, e.g. stocks, commodities, derivatives or currency exchange
• CPC Class Codes: G06Q 40/06 Asset management; Financial planning or analysis

Abstract

The present invention relates to electronic trading systems and methods. In embodiments, the systems and methods involve providing software for allowing a user to establish a target trading book; evaluating the user'"'"'s pending trading contracts to determine an actual trading book at a point in time; determining a differential between the target trading book and the actual trading book; and identifying at least an action to transition from the actual trading book to the target trading book.

Claims

1. A method, comprising:

receiving a user specification of a target trading book;

evaluating one or more trade orders from the user to determine an actual trading book at a point in time;

determining a differential between the target trading book and the actual trading book; and

identifying at least one action to transition from the actual trading book to the target trading book.

2. The method of claim 1 further comprising performing the at least one action.

3. The method of claim 1 further comprising providing a GUI that displays in real time a current market price and a scrolling accumulation of a plurality of executed contracts in a market at each of a plurality of prices.

4. The method of claim 1 further comprising providing an application programming interface (API), wherein the API is integrated with the GUI.

5. The method of claim 4 wherein an interaction with the GUI involves interaction through at least one of the GUI and the API.

6. The method of claim 4 further comprising providing a software daemon for executing a trade.

7. The method of claim 1 further comprising responding to an exchange order message.

8. The method of claim 1 wherein the at least one action includes canceling an order.

9. The method of claim 8 wherein the order is cancelled automatically.

10. The method of claim 1 wherein the at least one action includes placing an order.

11. The method of claim 10 wherein the order is placed automatically.

12. The method of claim 1 wherein the transition from the actual trading book to the target trading book occurs periodically at a periodicity.

13. The method of claim 12 wherein the periodicity relatively short.

14. The method of claim 13 wherein the periodicity is less then one minute.

15. The method of claim 13 wherein the periodicity is less then 30 seconds.

16. The method of claim 13 wherein the periodicity is less then 10 seconds.

17. The method of claim 1 wherein the method is at least partially deployed as client software.

18. The method of claim 1 wherein the method is at least partially deployed as server software.

19. A method of trading, comprising:

allowing a user to establish at least one of a target long quantity and a target short quantity in a traded item;

evaluating an actual position of the user in the traded item; and

using software to generate at least one of a new trade order and a trade cancellation order to change the actual position to the target position.

20. The method of claim 19 wherein the software includes a graphical user interface for entering a target position.

21. The method of claim 19 wherein the software executes the at least one action.

22. The method of claim 19 wherein the software includes a GUI that displays in real time the current market price and a scrolling accumulation of previously executed contracts in a market at each of a plurality of prices.

23. The method of claim 19 further comprising providing an application programming interface (API), wherein the API is integrated with the GUI.

24. The method of claim 23 wherein interaction with the GUI involves interaction through at least one of the GUI and the API.

25. The method of claim 23 wherein the software includes a daemon for executing a trade.

26. The method of claim 19 wherein the software responds to an exchange order message.

27. The method of claim 19 wherein the at least one action involves canceling an order.

28. The method of claim 27 wherein the order is cancelled automatically.

29. The method of claim 19 wherein the at least one action involves placing an order.

30. The method of claim 29 wherein the order is placed automatically.

31. The method of claim 19 wherein the transition from the actual trading book and the target trading book occurs periodically at a periodicity.

32. The method of claim 31 wherein the periodicity is relatively short.

33. The method of claim 32 wherein the periodicity is less then one minute.

34. The method of claim 32 wherein the periodicity is less then 30 seconds.

35. The method of claim 32 wherein the periodicity is less then 10 seconds.

36. The method of claim 19 wherein the software is at least in part client based.

37. The method of claim 19 wherein the software is at least in part server based.

38-189. -189. (canceled)