Chapter 24: Entering Listed Option Orders

In this section

• Essential Information Required for All Types of Orders in Listed Options
  Explore key steps, compliance requirements, and practical tips for accurately entering listed option orders, including essential fields, order types, and regulatory considerations.
• Order Ticket Information Unique to Options
  Explore essential fields in options order tickets, ensuring accurate input of class, expiry, strike, symbols, and pricing instructions in line with CIRO guidelines and best practices.
• A Generic Order Entry Screen
  Learn how to navigate a typical online options trading interface, including essential fields, settings, risk checks, and final order confirmation requirements for Canadian markets.
• Types of Buy and Sell Orders
  A comprehensive guide to understanding buy-to-open, sell-to-open, buy-to-close, and sell-to-close instructions for listed option transactions, including key regulatory and practical considerations.
• Types of Contingent Orders
  A deep dive into how stop orders, stop-limit orders, OCO, and OTO instructions can help manage risk and automate option trading strategies.
• Implied Orders and the Bourse de Montréal’s Implied Pricing Algorithm
  Explore how implied orders enhance liquidity and efficiency for multi-leg option strategies on the Bourse de Montréal, leveraging an algorithmic approach that automatically generates tradable combinations from existing orders.
• The Bourse de Montréal’s User-Defined Strategies (UDS) Functionality
  Explore how the Bourse de Montréal’s User-Defined Strategies (UDS) streamlines multi-leg options trading, reduces execution risk, and enhances strategy creation.
• Algorithmic & High-Frequency Order Entry Controls
  Explore how automated algorithms and high-frequency trading systems manage derivative orders, including essential pre-trade risk controls, kill switches, and regulatory supervision under CIRO frameworks.
• Time-Stamps & Regulatory Reporting Requirements
  Explore the importance of accurate time-stamps, order lifecycle tracking, and CIRO requirements for regulatory reporting and audit trails in Canadian listed options trading.