System and method for displaying profit related information in an electronic trading environment

• US 7,584,143 B2
• Filed: 05/02/2006
• Issued: 09/01/2009
• Est. Priority Date: 01/31/2003
• Status: Expired due to Fees

• Current Assignee: Trading Technologies International, Inc.
• Original Assignee: Trading Technologies International, Inc.
• Inventors: West, Robert A., Burns, Michael J.
• Primary Examiner(s): Karmis; Stefanos
• Assistant Examiner(s): LEMIEUX, JESSICA
• Application Number:
  US11/416,472
• Publication Number:
  US 20060259402A1
• Time in Patent Office: 1,218 Days
• Field of Search: 705/36.R, 705/37, 705/35
• 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 computing device for displaying a graphical user interface configured to display profit information related to a tradeable object being traded in an electronic trading environment, the computing device comprising:

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

a profit information area of the graphical user interface defined by a first axis representing a profit level for the tradeable object with a range of profit levels, each profit level at a location along the first axis, and a second axis being substantially orthogonal to the first axis representing a range of net positions, each net position at a location along the second axis; and

a first indicator being dynamically displayed, at a current time, in a first location corresponding to a particular profit level along the first axis, the first indicator further representing a particular net position for the tradeable object according to the second axis, the particular net position being based on a certain amount of the tradeable object either bought or sold up to the current time,

wherein the first indicator represents a profit or loss, based on the particular profit level along the first axis, that a trader would incur if the particular net position was closed at the current time,

wherein the particular profit level corresponding to the first location is based on any of the following;

a best ask price, a best bid price or a last traded price for the tradeable object provided in a first market update from an electronic exchange at the current time and further based on a price level of getting into the net position, and

wherein the first indicator is dynamically displayed in a second location corresponding to another particular profit level along the first axis upon receiving a new market update from the electronic exchange, the second market update comprising an updated best ask price, an updated best bid price, or an updated last traded price for the tradeable object that is used to determine the another particular profit level.

2. The computing device of claim 1, wherein the first indicator is dynamically displayed, at the current time, in the first location corresponding to a particular profit level along the first axis and is further dynamically displayed, at the current time, in a second location corresponding to the particular net position along the second axis.

3. The computing device of claim 1, wherein the particular profit level is based on the particular net position and a last traded price of the tradeable object.

4. The computing device of claim 1, wherein the particular profit level is based on the particular net position and an inside market price currently available for the tradeable object.

5. The computing device of claim 1, wherein the particular profit level is based on a realized profit/loss.

6. The computing device of claim 1, wherein the first indicator moves relative to the first axis when the particular profit level changes.

7. The computing device of claim 1, wherein the first indicator moves relative to a second axis representing a net position for the tradeable object when the particular net position for the tradeable object changes.

8. The computing device of claim 1, wherein the first indicator comprises a graphical indicator positioned at the first location, and wherein the graphical indicator comprises a line perpendicular to the first axis, the line having a length based on the particular net position.

9. The computing device of claim 1, wherein the first indicator comprises a numerical indicator that represents the particular net position at the current time.

10. The computing device of claim 1, further comprising:

a second indicator being dynamically displayed, at the current time, in a second location corresponding to a realized profit level along the first axis, the realized profit level representing a difference between (a total sell price ×

quantity sold) and (a total buy price ×

quantity bought) associated with trades related to the tradeable object up to the current time.

11. The computing device of claim 10, wherein the second indicator moves relative to the first axis when the realized profit level changes.

12. The computing device of claim 10, wherein the price axis is scaled so that the distance between the first and second indicators along the price axis on the graphical user interface represents an open profit/loss.

13. The computing device of claim 1, wherein the first indicator is color coded to indicate whether it represents a long position or a short position.