xplorer 

Wouldn't that require the trader's consent?

I believe it's a regulatory requirement. Assuming so that would mean your option is to not to trade.

FuManChou 

As a free market kind of person, it is always good to see more competition/options. I am kind of worried that I might fall into the "Professional Trader" category by using MultiCharts automated trading. See C and D in the FairX fee schedule documentation (link below). Are we able to get clarification on what a fully automated order generating computer system is? C. Not using a fully automated order generating computer system; and D. Trading for its own account. https://www.fairx.com/wp-content/uploads/2021/06/FairX_Fee_Schedule_6_2_21.pdf

Hi FuManChou!

I've got good news for you and all professional traders. The fee schedule at FairX has been updated to bring in flat pricing as a result of our discussions. Really appreciate how responsive the team at FairX is.

Here's the new fee schedule:

Ghappy21 

How does FairX and FMCs create profit? Everything can't simply be free?

They are being innovative. To me, as long as they don't charge for market data which is generated by the participants, then I don't really care. They get an exchange fee for the product.

However, until December 31, 2021, there is a program through which traders can trade it completely free. Will provide details with Big Mike's permission once those are available later this week.

SMCJB 

Making it super expensive to the people who provide the liquidity may make it hard to get liquidity! There has been some discussion on this regarding CME's fees. I have heard rumors that CME is about classify autospreaders and any form of automation as an automated trading system and require anybody using them to pay the automated trading data fees of $1150 per user per exchange! While there are obviously many who think this is okay, step back and think. If they do change this, what happens to people who are automating trading with Tradestation, Ninja, SC etc. Monthly Non-Display Category A-1 https://www.cmegroup.com/market-data/distributor/files/july-2019-fee-schedule-5.pdf But is he a fully automated Trader?

I don't think they are making it super-expensive for market makers. They are on a different fee schedule. They are discouraging predatory algo types.

Yep....the price increases continue at CME. Again, we need to support this exchange. There are some interesting products coming down the pipe at FairX.

bobwest 

I would say that it's really impossible for an exchange to tell if a trader is running an automated strategy on their computer. The orders look the same, right? Now, if the orders are coming in at a rate that no human with a mouse could submit them, then it would be obvious that it's automated. Otherwise, not. So there would need to be established some measurement of trade frequency that is taken as the signature of "automated trading." But if your system took a few trades an hour, or day, or week, then it passes this test. Are they actually interested in the high-frequency guys? They could just say so and clear things up. Bob.

You are supposed to declare this as part of your user configuration (Tag 50) at the exchange through your FCM.

SMCJB 

I believe it's a regulatory requirement. Assuming so that would mean your option is to not to trade.

Right. The FCM/broker is supposed to declare this. Many don't as a result of their normal processing (they don't stop and ask unless you are trading big volume).