SnapTrader, DOMTrader, and the Order Ticket: CQG’s Order Routing
Believe it or not, before I started working here at CQG in January of 2006, I had been using their analytical platform since 1984 (except for a couple of years in the early 90s). So, I have watched how the platform has evolved. At this point, the CQG product has moved from analysis to the all-in-one solution of both analysis and order execution for traders. I think that some of the order routing features might be interesting to you.
Therefore, I want to give a quick overview of some of the features of the CQG order routing interfaces available for traders in the electronically traded futures contracts.
First, to trade through CQG, you will need a futures account with an FCM that has a relationship with CQG. Here is a link to a list of FCMs. The list is growing, and if your broker is not on the list, then you could give your broker a call and encourage them to contact us.
I will be using TradeFlow charts for my examples because TradeFlow charts give you such good insight into what is happening in the market right now. Three of the order routing interfaces allow you to trade right from a TradeFlow chart. Using TradeFlow charts, you easily identify support and resistance levels, and intraday trends. You can see who the aggressors are, the buyers or the sellers.
While you may think TradeFlow is too tight of a view for anyone other than day traders, it can still be the final analysis for placing a trade using a multiple time frame approach. In other words, use your other charting styles for analysis, then drop to the TradeFlow chart for placing the trade.
SnapTrader
The first look is at CQG’s SnapTrader. The example shows both the SnapTrader and the Order Book: both sit on the chart and can be moved to any location. The SnapTrader can place market, limit and stop orders. If you roll your mouse over the left or right hand sides “wings” appear that change the orders to limit bids or asks prices. Clicking on the arrows on the SnapTrader brings up a horizontal line on the chart for setting limit or stop orders.
The Order book details your current open position, open P/L and resting orders. The resting orders can be canceled if need be directly from the Order Book.
In this example, the market rallied from 1414.25 up to 1420.00, pulled back and rose to 1420.00 again. However, the second test of 1420 was accompanied with less buying volume (the green line of the TR5VCrs study diverged). A trader could go short, and risk to a two-tick breakout above 1420.00.
There was one positive sign for a short position as the market pulled back as the red TradeFlow Volume (TFVol) histogram bars (trades executed at the bid) started expanding downward and the green TradeFlow Volume histogram bars were declining following the second test of 1420.00. That indicated traders were hitting bids.
However, the two buy and sell volume lines of the TF5VCrs study were headed down following the second test of 1420.00. That indicated that both buyers and sellers were, on balance, backing away (a trend is not developing, yet), and I would not expect much follow through based on the TF5VCrs study.
DOMTrader
The next order routing interface is CQG’s DOMTrader. You have a choice of linking a tick chart or a TradeFlow chart to the DOM using the same price scale. Again, with TradeFlow, you can see support and resistance levels, and by the TradeFlow coloring and volume based width of the TradeFlow bar, you see who is dominating the trading.
The current position is marked on the DOM ladder by a line, and your resting orders are displayed. You can see the total executed volume by prices, the inside market and the next best four bids and asks with respective order volume levels.
CQG supports chained order (the chain icon). In this case, the 1416.75 bid and the 1420.50 stop are OCO orders. One is hit, and then the other one is automatically canceled.
Order Ticket
The third look is CQG’s Order Ticket. The DOM ladder offers details that you see in the DOMTrader and more, such as cumulative depth-of-market, which I do not have shown in the image.
There are ten order entry buttons available (which can be cut back to just four if you want) that adjust to the price and proper order if you click on a price in the DOM ladder. For example, if you click on a price over the market, then the two Buy buttons at the top left hand side become a buy stop and a buy limit order button and the sell button becomes a sell limit, all with the price you selected.
The bottom three pairs of buttons are scalper style order entry buttons.
The bottom window details working, filled, cancelled, exceptions, parked, and all orders. Click on any tab for a quick review.
Summary
I think CQG’s order routing and TradeFlow charts dovetail nicely together. CQG’s solution for analysis and trading is innovative, and still new to the trading community. If you find it interesting, then give your account executive a call and get a trial of TradeFlow set up.