Click based trading with intuitive grid display of market depth and price consolidation

• US 7,702,566 B2
• Filed: 03/27/2006
• Issued: 04/20/2010
• Est. Priority Date: 03/02/2000
• Status: Expired due to Fees

• Current Assignee: Trading Technologies International, Inc.
• Original Assignee: Trading Technologies International, Inc.
• Inventors: Brumfield, Harris, Kemp, Gary Allan II
• Primary Examiner(s): Weisberger; Richard C
• Application Number:
  US11/389,018
• Publication Number:
  US 20060167781A1
• Time in Patent Office: 1,485 Days
• Field of Search: 705 35- 45
• US Class Current: 705/37
• CPC Class Codes: G06Q 30/0275 Auctions
• CPC Class Codes: G06Q 30/08 Auctions
• 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 method and system for reducing the time it takes for a trader to place a trade when electronically trading on an exchange, thus increasing the likelihood that the trader will have orders filled at desirable prices and quantities. The “Mercury” display and trading method of the present invention ensure fast and accurate execution of trades by displaying market depth on a vertical or horizontal plane, which fluctuates logically up or down, left or right across the plane as the market prices fluctuate. This allows the trader to trade quickly and efficiently. The price consolidation feature of the present invention, as described herein, enables a trader to consolidate a number of prices in order to condense the display. Such action allows a trader to view a greater range of prices and a greater number of orders in the market at any given time. By consolidating prices, and therefore orders, a trader reduces the risk of a favorable order scrolling from the screen prior to filling a bid or ask on that order at a favorable price.

Claims

1. A method for displaying market information relating to a commodity being traded in a market, the method including:

consolidating, by a computing device, a first plurality of price levels for a commodity such that the first plurality of price levels are combined into a first consolidated price level, wherein the first consolidated price level is arranged along with a plurality of other consolidated price levels on a common price axis;

consolidating, by the computing device, a second plurality of price levels for the commodity such that the second plurality of price levels are combined into a second consolidated price level, wherein the second consolidated price level is arranged along with the plurality of other consolidated price levels on the common price axis;

consolidating, by the computing device, a plurality of bid indicators into a consolidated bid indicator, wherein the consolidated bid indicator represents bid quantity associated with the first plurality of price levels within the first consolidated price level, wherein each bid indicator represents bid quantity associated with a price level of the first plurality of price levels;

consolidating, by the computing device, a plurality of ask indicators into a consolidated ask indicator, wherein the consolidated ask indicator represents ask quantity associated with the second plurality of price levels within the second consolidated price level, wherein each ask indicator represents ask quantity associated with a price level of the second plurality of price levels;

displaying on a user interface of the computing device the consolidated bid indicator in one of a plurality of locations in a bid display region that corresponds to the first consolidated price level, wherein each location in the bid display region corresponds to a consolidated price level along the common price axis;

displaying on the user interface of the computing device the consolidated ask indicator in one of a plurality of locations in an ask display region that corresponds to the second consolidated price level, wherein each location in the ask display region corresponds to a consolidated price level along the common price axis; and

displaying a plurality of locations in an order entry region, wherein each location in the order entry region corresponds to a consolidated price level along the common price axis, and wherein each location in the order entry region is configured to receive a single action command from a user input device that sets a plurality of parameters for a trade order relating to the commodity and sends the trade order to an electronic exchange.

2. The method of claim 1, wherein a number of the first plurality of price levels is adjustable, and wherein a number of the second plurality of price levels is adjustable.

14. The method of claim 1, wherein the single action consists of a single click of the user input device.

15. The method of claim 1, wherein the single action consists of a double click of the user input device.

3. A method for displaying market information relating to a commodity being traded in a market, the method including:

displaying on a user interface of an electronic trading system a price axis, wherein the price axis includes a plurality of consolidated price levels, wherein each consolidated price level represents a range of price levels for a commodity, wherein each consolidated price level is displayed on the price axis in place of the range of price levels;

displaying on the user interface of the electronic trading system a consolidated quantity indicator in association with one of the consolidated price levels, wherein the consolidated quantity indicator represents a plurality of quantity values associated with a range of price levels for the commodity represented by the associated consolidated price level; and

displaying a plurality of locations in an order entry region, wherein each location in the order entry region corresponds to a consolidated price level along the price axis, and wherein each location in the order entry region is configured to receive a single action command from a user input device that sets a plurality of parameters for a trade order relating to the commodity and sends the trade order to an electronic exchange.

4. The method of claim 3, wherein the price axis is static.

5. The method of claim 3, wherein the range of price levels represented by the consolidated price level is adjustable.

6. The method of claim 3, wherein the range of price levels represented by the consolidated price level is offset from a default starting point.

7. The method of claim 3, wherein the commodity includes at least one of an equity, a stock, a bond, a warrant, a derivative, a future, an option, a spread, and a foreign exchange pair.

8. The method of claim 3, wherein the consolidated quantity indicator is a consolidated bid quantity indicator and wherein the plurality of quantity values are bid quantity values.

9. The method of claim 8, wherein the plurality of bid quantity values are consolidated into the lowest corresponding price in the range corresponding to the bid quantity values.

10. The method of claim 3, wherein the consolidated quantity indicator is a consolidated ask quantity indicator and wherein the plurality of quantity values are ask quantity values.

11. The method of claim 10, wherein the plurality of ask quantity values are consolidated into the highest corresponding price in the range corresponding to the ask quantity values.

12. The method of claim 3, wherein the consolidated quantity indicator represents a sum of the plurality of quantity values.

13. The method of claim 3, wherein the consolidated quantity indicator is displayed dynamically to reflect changes in market depth for the commodity.