Iceberg Orders in TradeFinder

Iceberg Orders (a.k.a. Hidden Orders) are orders where only a small part of the overall size is visible to market participants. They allow institutional traders to place large orders in the market without “showing their hand”. This is the way institutions and market makers disguise their intentions and avoid a direct influence on the price.

Definition

Iceberg Orders are special types of orders that split large orders into multiple smaller parts in the order book so at any time traders only see a fraction of the whole order placed by the institutional traders. The algorithms decide how Iceberg Orders are placed. Parts of the Iceberg may be placed actively (market orders) while other parts are transacted passively (resting orders). In general, there are two (2) types of Iceberg Orders, which can both be detected by TradeFinder.

Native Iceberg Orders

Native Iceberg Orders are placed by the Stock Exchange’s algorithm. Based on the trader’s strategy, the Stock Exchange’s Algorithm decides how the Iceberg will be split up. This Iceberg activity can be traced in real-time through the algorithm’s order ID. Please note: To detect Native Iceberg Orders and trace them in real-time with TradeFinder, you will need a Full-Depth MBO Data feed.

Synthetic Iceberg Orders

Synthetic Icebergs are calculated and fractionalized by a trader’s software off the exchange. The software splits the orders and places parts of the Iceberg individually with separate orders (and Order IDs) at the Stock Exchange when the trigger conditions are met. They are harder to detect and cannot be traced in real-time.

Example

Native Iceberg Orders (ending with “-n”) or Synthetic Icebergs (ending with “-s”) are depicted on the chart. A line representing Icebergs is also drawn in the sub-chart.

2 native Iceberg Orders are shown on chart. In addition they are represented as a line in the subchart.
Signal attributes

The professional view shows a couple of specific attributes:

  • Iceberg Type (Hidden Bid-n for Native Iceberg, Hidden Bid-s for Synthetic Iceberg)
  • Price level of Iceberg finish
  • O: Iceberg volume still open after iceberg cancelation (0 means Iceberg fully traded, there is no more open volume remaining)
  • D: Duration that the Iceberg was in the market, measured in seconds
  • A: Actively traded volume (depending on Iceberg strategy parts of the Iceberg are traded actively. Sometimes represented as Sweep.)
  • P: Passively traded volume (parts that are actually traded passively through the orderbook).
Settings
Settings of Iceberg Order signals in TTW-HiddenOrders module

Enable Checkbox
Enable the checkbox to enable the signal on the trading chart or the line in subchart.

Design and Layout
Click on the “Edit” Button to change the design, symbol, color, transparency, layout, position on the chart, and size of the signals on the chart. If you choose the design style “professional” you will get additional information.

Order Size Trigger
Sets the trigger size for the finished Iceberg volume. A signal will only be shown on the chart if an Iceberg’s traded volume reaches or exceeds this value.

Evaluation Method
Select type of Icebergs being displayed on chart. "Native" for Native Icebergs only, "Synthethic" for Synthetic Icebergs only, "Combined" for both Native and Synthetic Iceberg Orders.

Synthetic ignored size (“Synthetic” or “Combined” evaluation only)
This parameter relates only to Synthetic Icebergs. This setting allows to filter out small Synthetic Icebergs from triggering a signal. Proper use will reduce chart clutter and market noise.

Alert Sound (Live Trading only, not available in Replay)
The audio signal sounds when a signal occurs and meets the defined conditions.

Send Telegram Notifications (Live Trading only, not available in Replay)
Enabled / Disabled allows you to notify the messenger service “Telegram”.

Enable Bookmap Notifications (Live Trading only, not available in Replay)
Enabled / Disabled activates the Sound Alerts in Bookmap.

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