Volume Filter vs Min Trades Size

[AMSH]

Hey All,

I'd appreciate if somebody could confirm the following for me:

Example:
Position Size Rules:
- Min trade size is set at $2,500.

Volume Filter
- Limit position size to maximum of 2.5% of traded volume

Say volume on trade day is 50,000 units, all at $1 each (for simplicity). In this case, min position size says $2,500 while max volume that can be traded is $1,250.

Will the trade be rejected / taken / reduced? If taken, will it be at $2,500, or $1,250? Which constraint takes precedence over the other?

Many thanks guys and girls.

Cheers,

Al

[oztrader]

Hi Al,

Hopefully the $2,500 specified in the "Minimum Trade Size" would take precedence otherwise there would be no point in having the ability to set an amount.

Cheers,
oz

[David Samborsky]

Originally Posted by AMSH

Hey All,

I'd appreciate if somebody could confirm the following for me:

Example:
Position Size Rules:
- Min trade size is set at $2,500.

Volume Filter
- Limit position size to maximum of 2.5% of traded volume

Say volume on trade day is 50,000 units, all at $1 each (for simplicity). In this case, min position size says $2,500 while max volume that can be traded is $1,250.

Will the trade be rejected / taken / reduced? If taken, will it be at $2,500, or $1,250? Which constraint takes precedence over the other?

Many thanks guys and girls.

Cheers,

Al

Both constraints are checked and volume is checked before the minimum trade size.