This is my honest opinion, for whatever it's worth. If a customer is asking a question, they have a right to an accurate complete answer, rather than a "you should know better/don't stir up trouble". On the contrary, educating traders of all the risks to their full extent in futures trading, a topic likely not fully understood in its entirety by most traders, is quite necessary. It is better to emphasize the risks than not, and to only focus on the positives and profit potential.
I think this is a great question. Rithmic is both the feed and execution engine, if it is completely down, how exactly does the broker help? What if the broker is not able to do anything since their execution ability is down with Rithmic? Please educate us on this topic, at least I for one, would like to learn more.
Maybe these events are rare, but everyone should be aware of their fine points and it can only help educate/prepare traders by discussing them. Traders should focus and spend more time on risk management. Aside from the description of account size, is TMFT's point valid or no? In case of catastrophic loss, even account going negative, due to Rithmic's fault of being down for hours like today, and neither trader nor broker being able to exit position, is the customer financially responsible for the loss?
The following 6 users say Thank You to Futures Operator for this post:
If there is no way you can execute your trades online, please follow the following procedure when you call in.
1) Go Flat. Check you net/net positions SLOWLY, and don't panic
2) Cancel any outstanding order and inform the broker of any that you are aware of just to be sure
3) Once online is restored, If you don't see the offsetting orders on your platform don't panic but just verify again. Your order could have been executed on a different platform, different data feed, etc BUT into your account #
4) Verify on the equity run at the end of the day that your positions are flat or net/net where they should be
PM with any questions about optimusfutures (800) 771-6748 (561) 367 8686. THERE IS A SUBSTANTIAL RISK OF LOSS IN FUTURES TRADING.
Last edited by mattz; September 11th, 2012 at 08:48 PM.
The following user says Thank You to mattz for this post:
I will say this about Rithmic. Yesterday was first time in a year that feed was down for me during normal U.S. market hours. I've had a few disconnects that lasted seconds during market hours and there are times late at night or on weekends it will go down for a few minutes. I assume on weekends or at night be some type of maintenance event.
Also I was glad I was able to reconnect yesterday within 5 minutes of market open so did not lose much trading time.
So over all my experience has been rithmic is a very robust feed and they responded quickly yesterday to get it fixed.
"The day I became a winning trader was the day it became boring. Daily losses no longer bother me and daily wins no longer excited me. Took years of pain and busting a few accounts before finally got my mind right. I survived the darkness within and now just chillax and let my black box do the work."
The following user says Thank You to liquidcci for this post:
I am curious to know. I did not trade Yesterday but would like to know if the problem rithmic faced did affect zen-fire too? If not why since zen-fire is often considered a spin-off of rithmic?? Thanks.