System and Method for Displaying Profit Related Information in an Electronic Trading Environment

• US 20090276353A1
• Filed: 07/17/2009
• Published: 11/05/2009
• Est. Priority Date: 01/31/2003
• Status: Active Grant

• Current Assignee: Trading Technologies International, Inc.
• Original Assignee: Trading Technologies International, Inc.
• Inventors: West, Robert A., Burns, Michael J.
• Granted Patent: US 8,577,765 B2
• Time in Patent Office: Days
• US Class Current: 705/37
• CPC Class Codes: G06Q 40/00 Finance; Insurance; Tax strategies; Processing of corporate or income taxes
• 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

A system and method for displaying a plurality of profit and risk related indicators are described. A graphical interface displays and dynamically updates a plurality of profit/loss (P/L) indicators including a realized, net, and open indicator. The net and open indicators are based on a trader'"'"'s net position and a current market level, while the realized indicator is based on trader'"'"'s buys and sells associated with a tradeable objects. In one embodiment, the plurality of indicators are displayed in relation to a plurality of money management regions defining a maximum order quantity and a maximum net position controlling the trader'"'"'s trades, so that a trader can quickly determine his current as well as potential money management parameters. The graphical interface may also display a plurality of potential risk/gain indicators in relation to a realized profit indicator so that a trader, before entering an order having a predetermined order quantity, can view a potential risk/gain in entering into a predetermined net position in view of potential market movements.

Claims

1. A client device for trading a tradeable object in an electronic trading environment comprising:

a market data receiver configured to receive substantially real-time streaming market data from an electronic exchange, the streaming market data including market updates identifying at least a best ask price for a tradeable object, a best bid price for the tradeable object, and a last traded price for the tradeable object; and

a processing device programmed to display a graphical user interface having;

a profit information area defined by a profit axis having a range of profit levels, and a net position axis having a range of net positions and being substantially orthogonal to the profit axis, and

a first indicator displayed at a first location along the profit axis for representing a net position for the tradeable object according to a height of the first indicator relative to the net position axis, where the location of the first indicator represents a profit or loss incurred if the first net position was closed and is based on the streaming market data and on a price level of getting into the net position.

2. The client device of claim 1 where the first indicator is dynamically displayed according to the market data.

3. The client device of claim 2 where the first indicator changes relative to the profit axis according to changes in the profit level.

4. The client device of claim 2 where the first indicator changes relative to the net position axis according to changes in the net position for the tradeable object.

5. The client device of claim 1 where the first location along the profit axis is determined according to a last traded price of the tradeable object.

6. The client device of claim 1 where the first location along the profit axis is determined according to an inside market price for the tradeable object.

7. The client device of claim 1 where the first location along the profit axis is determined according to a realized profit/loss.

8. The client device of claim 1 where the first indicator comprises a graphical indicator having a line being perpendicular to the profit axis and with a length based on the particular net position.

9. The client device of claim 1 where the first indicator comprises a numerical indicator for the particular net position.

10. The client device of claim 1 where the graphical user interface further comprises a second indicator displayed in a second location along the profit axis for a realized profit level being a difference between (a total sell price×

quantity sold) and (a total buy price×

quantity bought) for the tradeable object during a time period.

11. The client device of claim 10 where the second indicator moves relative to the profit axis according to changes in the realized profit level.

12. The client device of claim 10 where a distance between the first and second indicators represents an open profit/loss.

13. The client device of claim 1 where the first indicator represents a long position or a short position according to a color coding.

14. A client device for trading a tradeable object in an electronic trading environment comprising:

a market data receiver configured to receive substantially real time streaming market data from an electronic exchange, the streaming market data including market updates identifying at least a best ask price for a tradeable object, a best bid price for the tradeable object, and a last traded price for the tradeable object; and

a processing device programmed to display a graphical user interface having;

a profit information area defined by a profit axis and a quantity axis being substantially orthogonal to the profit axis, where the profit axis includes a range of profit levels and the quantity axis includes a range of net positions,

a first indicator dynamically displayed along the profit axis according to an amount of the tradeable object traded during a predetermined time period and the streaming market data, where a height of the first indicator with respect to the quantity axis represents a particular net position such that the first indicator represents a first profit or loss incurred if the particular net position was closed, and

a second indicator dynamically displayed along the profit axis according to a working order quantity of at least one order pending at the electronic exchange, where the second indicator represents a second profit or loss incurred if the working order quantity was filled to change the particular net position.

15. The client device of claim 14 where the graphical user interface further comprises a third indicator dynamically displayed in relation to the first indicator, where the third indicator corresponds to a realized profit level determined according a difference between (a total sell price×

quantity sold) and (a total buy price×

quantity bought) for trades of the tradeable object during the predetermined time period.

16. The client device of claim 15 where the third indicator is dynamically displayed according to the streaming market data to reflect changes in the realized profit level.

17. The client device of claim 15 where the third indicator is dynamically displayed relative to the profit axis according to changes in the realized profit level.

18. The client device of claim 15 where the first indicator, the second indicator, and the third indicator are user configurable.

19. The client device of claim 15 where the graphical user interface further comprises a potential profit indicator corresponding to a plurality of potential profit levels determined based on a predetermined market movement, where the potential profit indicator is displayed in relation to the third indicator.

21. The client device of claim 14, where the graphical user interface further comprises a third indicator displayed in relation to the first indicator and representing a combined net profit level and a combined net position for a plurality of tradeable objects being traded, the combined net profit level being determined at least in part based on a plurality of net positions and a plurality of current market levels associated with the plurality of tradeable objects.

22. The client device of claim 21, where the graphical user interface further comprises a fourth indicator displayed in relation to the first indicator and representing a combined realized profit level associated with the plurality of tradeable objects being traded, the combined realized profit level being determined based on trades associated with the plurality of tradeable objects, where each realized profit level represents a difference between (a total sell price×

quantity sold) and (a total buy price×

quantity bought) associated with trades related to each respective tradeable object during the predetermined time period.

23. The client device of claim 14 where the second indicator comprises a trade order sending component for receiving a user command for submitting a new order to the electronic exchange.

24. The client device of claim 14 where the first indicator comprises a trade order sending component for receiving a user command for submitting a new order to the electronic exchange.

20. The client device of claim 20 where the plurality of potential profit levels comprises a plurality of potential profit gain levels or a plurality of potential profit loss levels.

25. A method for displaying profit related information associated with a tradeable object in an electronic trading environment, the method comprising:

receiving substantially real-time streaming market data via a client device from an electronic exchange, the streaming market data including market updates identifying at least a best ask price for a tradeable object, a best bid price for the tradeable object, and a last traded price for the tradeable object;

displaying a profit information area via an output associated with the client device, the profit information area defined by a profit axis having a range of profit levels, and a net position axis having a range of net positions and being substantially orthogonal to the profit axis; and

displaying a first indicator at a first location along the profit axis to represent a net position for the tradeable object according to a height of the first indicator relative to the net position axis, where the location of the first indicator represents a profit or loss incurred if the first net position was closed and is based on the streaming market data and on a price level of getting into the net position.

26. The method of claim 25 further comprising determining the first location along the profit axis according to any of a last traded price of the tradeable object, an inside market price for the tradeable object, and a realized profit/loss.

27. The method of claim 25 further comprising displaying a second indicator in a second location along the profit axis according to the streaming market data and representing a realized profit level being a difference between (a total sell price×

quantity sold) and (a total buy price×

quantity bought) for the tradeable object during a time period.

28. The method of claim 25, further comprising:

determining a combined net profit level associated with a plurality of net positions and a plurality of current market levels associated with a plurality of tradeable objects being traded; and

dynamically displaying a third indicator in relation to the first indicator, the third indicator representing the combined net profit level.

29. The method of claim 25, further comprising:

determining a combined realized profit level having a plurality of realized profit levels based on trades associated with a plurality of tradeable objects being traded, where each realized profit level represents a difference between (a total sell price×

quantity sold) and (a total buy price×

quantity bought) for the trades related to each respective tradeable object during the predetermined time period; and

displaying a third indicator for the combined realized profit level in relation to the first indicator along the profit axis.

30. The method of claim 25, further comprising:

receiving a user selection of an area in relation to the first indicator; and

in response to the user selection, submitting an order to the electronic exchange.

31. The method of claim 30, further comprising determining an order quantity for the order based on the net position.

32. The method of claim 30, where a price of the order is based on the current market level.