Basket Trader/Crossing Basket/Spread Basket/Stage Basket

 

Click Trade on the WTP toolbar and select Basket Trader.

 

Alternate Method:

 

From the WTP menu select Basket Trader.

 

 

A basket is a collection of symbols (i.e., securities), each symbol having its own trading parameters. Any number of baskets can be created. Additionally, folders can be created that hold baskets. This allows for complete customization of basket tree.

 

Create a basket:
 

Right-click anywhere in the Basket Trader grid. Select File Commands --> New Basket

Alternate Methods:

• Click on the New Basket button .
   

• From the WTP toolbar click Basket Trader. Select File --> New Basket
   

• If the display is in Multi-Basket Mode, right-click where other baskets are listed and select New File

The name of each new basket, by default, is New Basket.

 

Rename a basket:

1. Right-click on a basket name that is to be changed.
    

2. Select Rename
    

3. Type in the new name of the basket and hit enter.

Remove a basket:

1. Select a basket by clicking on it.
    

2. Press the delete key
   
   Alternate Method:
   
   Right-click and select Remove
    

3. A confirmation window will appear. Select Yes to remove the basket, No or Cancel to prevent the basket from being removed.

Save a basket:

1. Select a basket by clicking on it.
    

2. Select the Save Basket button .
    

3. A Save Basket window will appear. Select a desired folder for the basket. The file name will default to the basket's name. Select Save.
   
   The basket is saved with a .bbk extension.
   
   Note: The option Save Basket As... works in the same manner as steps #3 and #4.

Alternate Method for Step 2:

1. Right-click anywhere in the Basket Trader grid.
    

2. Select File Commands --> Save Basket

 

 

Open an existing basket:

1. Right-click anywhere in the Basket Trader grid.
   
   Alternate Method:
   
   Right-click anywhere in the list of baskets (in multi-basket mode).
    

2. Select File Commands --> Open Basket
   
   Alternate Method:
   
   Click on the Open Basket button
   
   Right-click in the list of baskets and select Open File...
    

3. Choose the saved basket by maneuvering to the directory where it's stored.
    

4. Double-click on the basket name to open it.
   
   

 

When Basket Trader is in Multi-Basket Mode it means that all created baskets (and folders) will be visible on the left pane of the Basket Trader window.

 

If Multi-Basket Mode is turned off, only the current basket will be loaded into Basket Trader and the left pane will not be visible.

 

Select the Basket Tree button to toggle on/off the display of all baskets.

 

Alternate Method:

 

From the Config menu select Show Basket Tree.

 

 

 

Folders can be created in Basket Trader. Similar to folders created on your computer, these folders can store baskets, allowing for the creation of a directory tree. Folders are optional in Basket Trader.

 

Create a folder

1. With Basket Trader in multi-basket mode, right-click anywhere in the list of baskets (not on the grid itself).
    

2. Select New Folder. A folder with the name "New Folder" will appear.
    

3. Rename the folder as desired. Right-click on the folder and choose rename.
    

Delete a folder

1. Click on a folder name to delete.
    

2. Press the delete key OR right-click and select Remove.
    

3. A confirmation window will appear. Press Yes to delete the folder. Press No or Cancel if the folder is not to be deleted.
   
   Note: Any baskets residing in a folder will be deleted when the folder is deleted.

 

Move Baskets into a Folder

 

Existing baskets can be placed into a folder.

1. Click on a basket to highlight it.
    

2. While the mouse is pressed move the basket to the appropriate folder and release the mouse button.
   
   
   

Once a basket has been created, it needs to be filled. The two most important (and required) items to place in a basket are:

• Securities—Products that are to be bought and sold, identified by their symbol
   

• Weight—The number of shares or contracts that are to be purchased or sold

 

Add Security Names to the Basket Trader Grid

 

In the Symbol column, security names are listed. To add a symbol name:

1. Click the mouse button in the Symbol column on a row where a name is to be added.
    

2. From the drop-down list, select a security name.

Once a symbol has been added to the Basket Trader grid, other columns (such as Weight) will fill in with default values.
 

Configure Trading Parameters

 

Once a symbol has been added to the Basket Trader grid, trading parameters should be configured. The most important of these, is weight, portfolio, route, and min trd qty. With these values in place, issuing a trade with the basket's securities can commence.

 

To configure other columns in the Basket Trader Grid:

1. Click on a row to highlight it.
    

2. Move the mouse to the column whose value is to be defined.
    

3. Enter the desired value (note that some columns have drop-down lists, others have up/down arrows).
   
   

 

 

 

Before issuing buys or sells in Basket Trader, it is helpful to set up other configurations such as maximum basket quantity, basket details, and other values.

 

To configure Basket Trader:

1. Right-click anywhere in the Basket Trader Grid and select Configuration
   
   Alternate Method:
   
   From the WTP toolbar, click on the Basket Trader column and select Config --> Configuration
    

2. The configuration window will display. Edit the fields, and check or uncheck features as necessary:
    

• Maximum Basket Qty—This value refers to the maximum quantity that can be sent in any single order.
   

• Maximum Total Shares—The maximum trade quantity that can be sent at one time.
   

• Maximum Total Cash—Basket Trader will compare your trade parameters with the value entered in this field. If the total trade amount exceeds this value, Basket Trader will not allow the trade to go through.
   

• Round Lots Only—Check this box and select Round if trading in round lots (i.e., 100, 200, 300, etc.) is desired.
  
  Truncate—Check the box and select Truncate if Basket Trader is to reduce the size of the order and keep the size as a round lot.
   

• Multi-Basket Mode—Check this box to view all created baskets. They will be visible on the left side of Basket Trader. If unchecked, only the current basket will be displayed. Multi-basket mode is convenient for traders as different baskets can be selected with just a mouse click.
   

• Show Basket Detail—If checked, the Basket Trader grid is displayed. If unchecked, only the Override and Basket Trade tables will be visible.
  
  Alternate Methods:
  
  Select the Basket Detail button .
  
  Right-click on Basket Trader and select Show Basket Details.
   

• Show Options Columns in Grid—The following columns are added to the Basket Trader grid if this option is selected:
  
  Option (Call/Put), Underlier, Root, Strike, Exp. Date
   

• Enable Advanced Mode—If this box is checked, the Override Advanced Order Parameters fields (such as start/stop times and book only/sweep selections).
   

• Enable Basket Quantity Spinner—The up/down arrows (spinners) will be enabled if this box is checked.
   

• Show Quick Quantity Controls—If checked, quantity buttons (1, 5, 10, 25, 50, and Clear Qty) are visible on Basket Trader (below the Basket Trade area). These buttons allow for one-touch quantities as opposed to manually entering the desired values.
   

• Don't Allow Limit or Peg Orders that will fill immediately—If this box is checked any limit order or peg order that can be filled immediately won't be. If unchecked, limit and peg orders that can fill immediately, will be filled.
   

• Allow Market price type—Check this box if you want the Market sell type as an available Override Order Parameter option. If unchecked, the Market sell type will be unavailable for selection.

 

Before trading can begin in Basket Trader, it is assumed that:

• At least one symbol has been defined, along with its weight, portfolio, route, and minimum trade quantity

Issue a basic trade in Basket Trader:

1. Check the box next to each symbol in the basket that is to be bought or sold.
    

2. In the Basket Trade portion of the Basket Trader window, select Trade Mode and define a quantity amount.
    

3. Press BUY or SELL to initiate the trade.
    

4. A confirmation window will appear. Press OK to send the basket trade or Cancel to exit without sending the basket.
   

 

Crossing Route orders are handled with Crossing Basket.

 

 

Here are a couple examples of basket trades, including an error condition that traders might encounter, with an easy fix:

 

EXAMPLE ONE—A SINGLE SYMBOL BASKET TRADE:

 

In this example, one symbol (ORCL) has been checked (i.e., selected). The symbol has these parameters:

• The number of share to trades is 100 (the weight)
   

• The minimum trade quantity is 300
   

• In the Basket Trade section of the window, the quantity has been defined as 3.
  
  To achieve a successful basket trade, this basic formula must be followed for any symbol:

 

 

Because the quantity (3 baskets) multiplied by the weight (100) = 300 (the minimum trade quantity) a basket trade can be filled. A confirmation window appears after pressing Buy:

 

A sell order brings up this confirmation window:

 

     

 

EXAMPLE TWO—THREE SUCCESSFUL AND ONE REJECTED  BASKET TRADE:

 

 

In this example, 4 symbols have been selected, but only 3 will be traded. The symbol DIS will not trade because the quantity (3) x weight (5) is less than the min trd qty of 25. The column Trd Qty will reflect the number of shares to be traded.

 

The confirmation window will mention only the basket orders that can trade:

 

 

If a basket order cannot be filled this message will appear:

 

 

 

 

In the Basket Trade section of the Basket Trader window are two options: Trade Mode or Clean Up Mode.

 

Clean up mode is a method to revert to a specified position (as specified in the Position box).

 

 

In the above example, 3 symbols have been selected, the Basket Trade portion of the window is in Clean Up Mode, and with a position of 5.

 

The confirmation window describes the transaction:

 

 

 

 

Certain trade parameters can be overwritten. Items such as Minimum Trade Quantity and Portfolio can have values assigned that overwrite an individual symbol's configuration. Once symbols are selected and values are placed in the Override Order Parameters section of Basket Trader, the override parameters are in force. When an override is enabled, its corresponding column is removed from the grid.

 

 

Override Definitions and Examples

 

Column Name	Definition	Content Example
Min Trd Qty	The minimum number of shares per order	Any integer
Buy Type	The price type of the security when buying	Market, Limit, Peg Bid, Peg Ask, Peg Mid, Peg Last, Bid, Ask, Mid, Last
Buy Side	The side type for buy orders	BUY, BYO, BYC (can be blank)
Buy Px/Inc	Specified if Buy Px Type requires either a price (like "Limit") or increment (like "Mid")	Any integer (can be zero)
Sell Type	The price type of the security when selling	Market, Limit, Peg Bid, Peg Ask, Peg Mid, Peg Last, Bid, Ask, Mid, Last
Sell Side	The side type for sell orders	SEL, SSH, SSE, SLO, and SLC
Sell Px/Inc	Specified if Sell Px Type required a price (like "Limit" or increment (like "Mid"))	Any integer (can be zero)
Route	The routing destination for the security	The route (can be blank)
Portfolio	The portfolio of the security	The portfolio name (can be blank)
TIF	Time In Force instruction	DAY, FOK, IOC, OPG
CP	Capacity instruction	Should be set to "A" unless doing Index Arb, or Program Trading

 

 

The Basket Trader grid can be viewed in read-only mode. Symbols cannot be selected while in read-only mode.

 

To set Basket Trader in read-only mode:

1. Right-click anywhere in the Basket Trader grid.
    

2. Select File Commands --> Read Only Mode
   
   Alternate Method:
   
   From the File menu, select Read Only Mode

 

 

 

 

Additional configurations can be selected for the basket while in Advanced Mode:

• Show—The value entered in this field represents the total desired quantity that should be available on an Order book.
   

• Disc (Discretionary)—The discretionary value in which an order can be filled.
   

• % Vol (Volume)—Volume percentage, used for VWAP orders. Values from 0 to 100.
   

• Agg (Aggression)—Used for algo routes. Values from 0 to 10, reflecting how much a user wishes to "push" the market in an aggressive fashion.
   

• Start/Stop Times—Start and/or Stop times for Basket Trader to send basket orders can be defined. If both are unchecked, Basket Trader will endeavor to send basket orders immediately and stop at the end of the trading day.
   

• Give-up—A transaction between three brokers where one broker hands off a trade to a second broker, who then buy the stock from a third. The third broker exercises the trade, while the first broker gives up the name of the second broker, even though the trade is executed between the first and third broker.
  
  Example: Broker A receives a buy order, but is too busy to handle it. Broker B is asked to help fill the order and buys the stock from Broker C. The transaction is recorded between Brokers B and C. Broker A, in effect, gives up the name of Broker B. The trade, however, is executed between Broker A and Broker C.
  
  Select a Give-up value from the drop-down list.
   

• CMTA (Clearing Member Trade Agreement)—An agreement where an investor trades with a number of different brokers, later consolidating the trades through a single broker for clearing.
   

• Account Type—If designating an account type other than the <default> is required for the basket order, select one from the following:
  
  Broker Dealer
  Customer
  Firm
  Market Maker
  Professional Customer
   

• Note—Enter a free-form note in this field.
  
  The location of the Note field depends on which Basket Trader is being worked:
  
  For the Standard Basket Trader and Spread Basket Trader the Note field is in the Override Advanced Order Parameters section.
  For the Crossing Basket Trader and Staged Basket Trader the Note field in the Override Order Parameters section.
   

• IOC Routes—Immediate Or Cancel routes can be selected for basket orders. IOC routes are configured under the Routes tab in Global Configuration.
  
  The IOC Detail window will display if checked (see image above).
  
  Once a basket buy/sell order is executed, the IOC Tracker window will display:
  
  
  
  Each order can be selectively stopped or continued. Exiting the IOC Tracker while there are active orders will cause all active orders to be stopped.—Immediate Or Cancel routes can be selected for basket orders. IOC routes are configured under the Routes tab in Global Configuration.
  
  The IOC Detail window will display if checked (see image above).
  
  Once a basket buy/sell order is executed, the IOC Tracker window will display:
  
  
  
  Each order can be selectively stopped or continued. Exiting the IOC Tracker while there are active orders will cause all active orders to be stopped.
   

• AON—All Or None. If checked, all items in the basket will be sent with the understanding that all orders need to be filled. If, for whatever reason, all orders cannot be filled, all will be canceled.
  
  If unchecked, each symbol individually can be selected for all-or-none processing. The AON column must be visible in the basket detail portion of the Basket Trader window to individually select a symbol.
   

• Sweep—A sweep order instructs an exchange to only route an order to fast exchanges.
   

• Book Only—A book only order instructs an exchange to not route an order. Either the order will fill an order currently on the exchange's book, or it will remain unfilled.

 

Set Basket Trader in Advanced Mode:

1. Right-click anywhere in the Basket Trader grid.
    

2. Select Enable Advanced Mode.
   
   Alternate Method:
   
   From the WTP toolbar, click on the Basket Trader Column, and select Config --> Enable Advanced Mode.
   

 

The status bar in the Basket Trader window displays the applet's status (i.e., "Ready") and the time of day. The status bar can be toggled on and off. The default status is ON.

 

Turn the Status Bar on or off:

1. Click on the Basket Trader column on the WTP toolbar.
    

2. Select Config --> Status Bar
   
   Repeat this action to turn the feature off (if it's on), or on (if it's off).

 

 

The data contained in Basket Trader can be exported:

• As a file
   

• To the clipboard
   

• To a Microsoft Excel spreadsheet
   

To learn the specifics of exporting grid data, click here.

 

 

 

Grid data from an ASCII text file or Microsoft Excel spreadsheet can be imported into Basket Trader.

 

Both comma-separated files (.csv) and text files (.txt) can be imported.

 

 

In the image above, an ASCII text file has been created with fields delimited by a comma. The stock symbols, weight, and buy and sell price are listed.

1. From the File menu select Import Basket.
   
   Alternate Method:
   
   Right-click in the Basket Trader grid and select File Commands-->Import Basket.
    

2. By default the Files of type will be set to Comma Separated Files (*.csv). You can also select Text Files (.txt).
    

3. Open the file containing the grid data that is to be imported. The Import From File window will launch with the imported data displayed:
   
   
    

4. Assign column names to each column in the Import window by clicking on the column head and select the appropriate column descriptor:
   
   
   
    

5. Click Import to bring the data into Basket Trader. The name of the basket will reflect the name of the imported data file.
   
   Note: Due to market fluctuation, values such as bid/ask will undoubtedly change once they are imported.

 

Additional "Import Basket" Details

 

Start Import At Line—The number in this field refers to the line number in imported file. When the file is imported, the first line displayed in Basket Trader will be the line selected here. If the imported data file contains column headings of its own, then the "Start Import at Line" value should be adjusted to where the headings will not be imported.

 

In the example above, Line 1 is selected. When the file is imported, Line 1 will be the first line displayed.

 

Import Type—Basket is the only available selection.

 

Import to—Two choices, either New or Existing Rows

 

New—A basket will be created that contains all the selected rows of the import file.

Existing Rows—Not available for Basket Trader.

   

Delimiters—This checked box refers to the field delimiters in the import file. A different delimiter can be selected, but better results will occur with the delimiter used in the import file (i.e., a tab-delimited file will produce better results when tab is selected).

 

Templates—Once the columns have been assigned names, they can be saved for later use. Press Save Import Template to save and name your template.

 

When importing a file with the same import type, press Load Import Template and select the appropriate template for your import type.

 

 

 

Orders that have been executed, but not filled, can be canceled.

 

To cancel ALL orders:

1. Right-click anywhere in the Basket Trader grid.
    

2. Select Cancel All Orders
   
   Alternate Method:
   
   From the WTP toolbar, go to the Basket Trader column and select Action --> Cancel All Orders

To cancel Matching orders:

1. Right-click anywhere in the Basket Trader grid.
    

2. Select Cancel Matching Orders --> and one of the following:
   
   Cancel All For Symbol...
   
   To Route...
   
   In Account...
   
   In Portfolio
   
   OR
   
   From the WTP toolbar, go to the Basket Trader column and select Action --> Cancel Matching Orders for the same options.

 

 

Crossing Basket works in a similar fashion as Basket Trader but is used when creating crossing orders. Also, the Crossing Basket does not offer an advanced mode due to the fact that advanced mode parameters are displayed by default.

 

 

Launch Crossing Basket

 

Click Trade on the WTP toolbar and select Crossing Basket Trader.

 

Alternate Method:

 

From the WTP menu select Crossing Basket.

 

 

Issue a Basket Trade with a Crossing Route:

 

When a crossing order is executed, the Crossing Tracker applet opens allowing for the management of all crossing orders.

• The route <Crossing> must be selected. The Crossing Route is based on the Option Quote Source Routes defined in Global Configuration.
   

• Crossing Route(s) must be enabled (see the Crossing Route Detail section of Basket Trader above).

Crossing Basket Configuration

 

The Crossing Basket configuration screen is similar to the Basket Trader with a few exclusions:

 

 

See General Configuration for detailed descriptions each field.

 

 

 

 

 

 

The Spread Basket Trader is a standalone applet used to send multiple spread orders in a single basket.

 

Launch Spread Basket Trader

 

From the WTP menu select Spread Basket Trader.

 

Alternate Method:

 

From the WTP toolbar select Trade-->Spread Basket Trader.

 

In the images above, three spread orders are defined in Spread Viewer and sent to the Spread Basket Trader.

 

 

 

Operating in the same fashion as the standard Basket Trader, orders sent via the Stage Basket Trader are different because they represent an intention to trade waves of single orders.

 

New orders for a particular security can be attached to the same security in the basket, reducing the staged order's amount. Viewable in the Order Grid, Stage Basket Trader orders can be changed or released.

 

Launch Stage Basket

 

From the WTP menu select Stage Basket Trader.

 

Alternate Method:

 

From the WTP toolbar select Trade-->Stage Basket Trader.

 

Learn more about staged orders here.

 

 

 

Click here for instructions on setting up columns and formatting.

 

 

The Conditions window is similar in function to Row Color Conditions window. Click here to learn how to configure the Conditions window.