System and method for quick quote configuration

• US 7,542,938 B1
• Filed: 12/28/2004
• Issued: 06/02/2009
• Est. Priority Date: 12/28/2004
• Status: Expired due to Fees

• Current Assignee: Trading Technologies International, Inc.
• Original Assignee: Trading Technologies International, Inc.
• Inventors: Tam, Simon
• Primary Examiner(s): Dixon; Thomas A
• Assistant Examiner(s): Fu; Hao
• Application Number:
  US11/024,149
• Time in Patent Office: 1,617 Days
• Field of Search: 705/37
• 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

Abstract

A method and system are described for providing a trader with the ability to quickly configure the quoting side of a trading tool, without experiencing the normal delays associated with conventional methods of quoting. In spread trading, an automated spread trading tool may automatically work an order to buy or sell a tradeable object. A user may configure the trading tool to work an order in a certain tradeable object first. The system allows the user to essentially on-the-fly configure the trading tool to work a second order in another tradeable object, and in response to the change, the system can take specific actions such as deleting the order in the first tradeable object and automatically entering the second order in the other tradeable object. This allows the trader to trade quickly and efficiently.

Claims

1. A computer based method for providing a quick quote configuration when trading a spread between a first tradeable object and a second tradeable object, the method comprising:

providing at a computing device a slider switch adapted to allow a user using a user input device to dynamically switch between a first tradeable object and a second tradeable object when trading a spread, wherein the spread is between the first tradeable object and the second tradeable object;

sending from the computing device a first order to buy or sell the first tradeable object to a first electronic exchange, the first order has a price based on a desired spread price and market conditions in the second tradeable object;

receiving at the computing device a quick quote command through the slider switch for dynamically switching to trade the second tradeable object by an action of the user input device;

automatically sending from the computing device a message to cancel the first order to the first electronic exchange in response to the quick quote command; and

automatically sending from the computing device a second order to buy or sell the second tradeable to a second electronic exchange in response to the quick quote command, the second order has a price based on the desired spread price and market conditions in the first tradeable object.

2. The method of claim 1 wherein the first electronic exchange and the second electronic exchange represent the same exchange.

3. The method of claim 1 wherein the first electronic exchange and the second electronic exchange represent different exchanges.

4. A client system for providing a quick quote configuration when trading a spread between a first tradeable object and a second tradeable object, the method comprising:

a user input device adapted to receive a first quick quote command to trade the second tradeable object and hedge into the first tradeable object;

a trade order sending component adapted to automatically send a first order to buy or sell the second tradeable object to an electronic exchange at a price based on a desired spread price and market conditions in the first tradeable object in response to the first quick quote command, wherein a first hedging order to buy or sell the first tradeable object is sent to the electronic exchange when the first order is filled by the electronic exchange to complete the spread;

a graphical interface adapted to provide a slider switch, the slider switch adapted to allow a user using the user input device to dynamically switch between a first tradeable object and a second tradeable object when trading the spread, wherein a second quick quote command is input through the slider switch for dynamically switching to trade the first tradeable object and hedge into the second tradeable object, wherein the second quick quote is received subsequent to sending the first order to buy or sell the second tradeable object to the electronic exchange, but before the first order is completely filled by the electronic exchange;

a message sending component adapted to send a message to delete the first order to buy or sell the second tradeable object to the electronic exchange in response to the second quick quote command;

a price setting component adapted to compute a price of a second order to buy or sell the first tradeable object based on the desired spread price and market conditions in the second tradeable object; and

a trade order sending component adapted to automatically send the second order to buy or sell the first tradeable object at the computed price to an electronic exchange in response to the switching to trade the first tradeable object by the user input device.

5. The client system of claim 4 wherein the user input device comprises a mouse that controls a pointer to switch to the trade the first tradeable object.

6. The client system of claim 4 wherein the user input device comprises a key that when selected generates a command to switch to the trade the first tradeable object.

7. A computer based method for providing a quick quote configuration when trading a spread between a first tradeable object and a second tradeable object, the method comprising:

providing at a computing device a slider switch adapted to allow a user using a user input device to dynamically switch between a first tradeable object and a second tradeable object when trading a spread, wherein the spread is between the first tradeable object and the second tradeable object;

receiving at the computing device a first quick quote command to trade the second tradeable object and hedge into the first tradeable object;

sending from the computing device a first order to buy or sell the second tradeable object to an electronic exchange at a price based on a desired spread price and market conditions in the first tradeable object in response to the first quick quote command, wherein a first hedging order to buy or sell the first tradeable object is sent to the electronic exchange when the first order is filled by the electronic exchange to complete the spread;

receiving at the computing device a second quick quote command through the slider switch for dynamically switching to trade the first tradeable object and hedge into the second tradeable object, wherein the second quick quote is received subsequent to sending the first order to buy or sell the second tradeable object to the electronic exchange, but before the first order is completely filled by the electronic exchange;

automatically sending from the computing device a message to delete the first order to buy or sell the second tradeable object to the electronic exchange in response to the second quick quote command;

computing at the computing device a price of a second order to buy or sell the first tradeable object based on the desired spread price and market conditions in the second tradeable object; and

automatically sending from the computing device the second order to buy or sell the first tradeable object at the computed price to an electronic exchange in response to the second quick quote command.

8. The method of claim 7 further comprising the step of determining the price of the second order to sell the first tradeable object by computing a price that would result in the desired spread price if, after the second order to sell the first tradeable object filled, the second tradeable object was bought at the best ask price.

9. The method of claim 7 further comprising the step of determining the price of the second order to buy the first tradeable object by computing a price that would result in the desired spread price if, after the second order to buy the first tradeable object filled, the second tradeable object was sold at the best bid price.

10. The method of claim 7 wherein the step of sending the first order to buy or sell the second tradeable object at a price based on the desired spread price and market conditions in the first tradeable object to an electronic exchange is initiated when a user inputs the desired spread price and a desired spread quantity.

11. The method of claim 7 wherein the step of receiving the second quick quote command is by an action of the user input device.

12. The method of claim 7 wherein the step of receiving the second quick quote command is by an output of a computer software program.

13. The method of claim 7 further comprising:

receiving a third quick quote command through the slider switch for dynamically switching to trade both the first tradeable object and the second tradeable object;

computing a first price of an order to buy or sell the first tradeable object based on a desired spread price and market conditions in the second tradeable object;

computing a second price of an order to buy or sell the second tradeable object based on a desired spread price and market conditions in the first tradeable object;

automatically sending an order to buy or sell the first tradeable object at the computed first price to an electronic exchange in response to the third quick quote command; and

automatically sending an order to buy or sell the second tradeable object at the computed second price to an electronic exchange in response to the third quick quote command.