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How to request market maker or liquidity provider to quote


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How to request market maker or liquidity provider to quote

  #1 (permalink)
HugoTsai
Taipei, Taiwan
 
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I am trying to trade European countries stock index futures and options. But the volume of the imstruments are very small like no one bid or ask. I wonder how can I request market maker or liquidity provider to quote? I tried to search on the internet but find nothing. The exchange is EURONEXT that they do have market maker plan and related explanation. But didn't mention how exactly a trader can make a request. The broker would be DeGiRo. Thank you very much.

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 rleplae 
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HugoTsai View Post
I am trying to trade European countries stock index futures and options. But the volume of the imstruments are very small like no one bid or ask. I wonder how can I request market maker or liquidity provider to quote? I tried to search on the internet but find nothing. The exchange is EURONEXT that they do have market maker plan and related explanation. But didn't mention how exactly a trader can make a request. The broker would be DeGiRo. Thank you very much.

What instrument are you trying to trade ?

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  #3 (permalink)
HugoTsai
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Portugal PSI 20 index futures and options

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 rleplae 
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HugoTsai View Post
Portugal PSI 20 index futures and options

There are only 9 contracts traded for today on the PSI 20 future september
not exactly a liquid market

The spread is huge : 5240.00 - 5276.00

Unless you have something specific with Portugal, you may want to consider
one of the other EU indexes, like the AEX (amsterdam
or the FDAX with much better liquidity

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https://derivatives.euronext.com/en/products/index-futures/PSI-DLIS

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  #6 (permalink)
HugoTsai
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Thanks for your reply. The low liquidity of psi20 is the reason why I ask about how to request market maker to quote.

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rleplae's Avatar
 rleplae 
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HugoTsai View Post
Thanks for your reply. The low liquidity of psi20 is the reason why I ask about how to request market maker to quote.

This is all electronic trading,
you would have to enter a limit order

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  #8 (permalink)
 
mattz's Avatar
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My suggestion is to reach out to the Exchange itself and ask for the OTC (over the counter) department who can advise you what is the procedure an RFQ (request for quote) for these products.

In the event they can refer you an OTC broker, you could discuss what volumes you are interested in doing and whether they could accommodate you.

I hope this helps.

Thank you,
Matt Z
Optimus Futures

There is a substantial risk of loss in futures trading. Past performance is not indicative of future results.

Trading futures and options involves substantial risk of loss and is not suitable for all investors. Past performance is not necessarily indicative of future results. You may lose more than your initial investment. All posts are opinions and do not claim to be facts. Please conduct your own due diligence. Use only Risk capital when trading Futures.
1 800 771 6748 local 561 367 8686 email [email protected]
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  #9 (permalink)
HugoTsai
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Thanks Matt!! I think that might help.

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HugoTsai View Post
Thanks Matt!! I think that might help.

You are welcome!

This also happens in the USA exchanges where hedgers need to buy out of the money Option at large quantities.
The exchange Bid/Ask is way to wide for such quantities, so they resort to a Market Maker for such requests.
However, the transaction goes though the exchange like any other product that you would trade online.

Thanks,
Matt Z
Optimus Futures

There is a substantial risk of loss in futures trading. Past performance is not indicative of future results.

Trading futures and options involves substantial risk of loss and is not suitable for all investors. Past performance is not necessarily indicative of future results. You may lose more than your initial investment. All posts are opinions and do not claim to be facts. Please conduct your own due diligence. Use only Risk capital when trading Futures.
1 800 771 6748 local 561 367 8686 email [email protected]
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Last Updated on August 20, 2017


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