Why are my order execution rates not shown on charts?

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Why are my order execution rates not shown on charts?

0Comments June 09, 2021
Why are my order execution rates not shown on charts?

The question in the title is one that occurs to many traders and is a common cause of frustration among them. So, what is the reason behind your executed orders not being seen on charts? In this brief piece, let’s delve a bit deeper to get a better understanding.

Starting at the beginning – the Exchange

At the Exchanges, thousands upon thousands of trade-matching is being done every single second. Needless to mention, this number might grow exponentially on volatile days. Therefore, it is impossible to display such a huge quantum of data points on charts by any broking house on their platforms given current Internet speeds.

As a workaround, the Exchanges combine these huge data points into snapshots of larger intervals (for example, four ticks every second) and all trades combined over a 250 millisecond period forms the OHLC Chart (open-high-low-close), which is then disseminated easily over current Internet speeds. The charts are formed using those four ticks and not the thousands of ticks or trades that happen on the Exchanges at any given moment.

Did you know?

The snapshots referred to earlier come in two different refresh rates – 1 tick/second and 4 ticks/second. Naturally, the 4 ticks refresh rate is better. On Espresso platforms, the default refresh rate you get is 4 ticks/second!

How are snapshots created?

Let’s assume 1,00,000 trades have been performed in a second at an Exchange, which are then combined as snapshots over 250 milliseconds to form 4 ticks per second. The following illustration represents the distribution of the 4 ticks on a volatile trading day:


The OHLC Chart is formed for each combined tick within a 250 millisecond interval, which shrinks the tick size to 4 ticks per second, which in turn is disseminated by the Exchanges to brokers to plot charts with.

How do I get to see all trades happening at the Exchanges?

Since it is practically not possible to disseminate all ticks over current Internet speeds or leased lines without acceptable latency, the Exchanges suggest a co-location service where you can have your servers within the Exchange premises and consume the premium tick-by-tick data stream offered by the Exchange. You have to consume these feeds within the Exchange premises over LAN, for which you would need to build a program to consume a large number of GBs worth of raw data and convert it into an intelligent format and consume it right there on the co-located server, because it will not be possible to stream it out over the Internet.

How do I cross-check that my trade has executed at the said price and is not manipulated?

Every order that is placed, be it market/limit/SL order, is immediately sent by the broker to the relevant Exchange. The execution of the order happens at the Exchange. The price that an order is executed at is filled by the Exchange centrally. Brokers have ZERO involvement or control on order matching and execution at the Exchange. Since thousands of order matchings are being performed in a microsecond at the Exchanges, it is practically impossible to show each and every trade over current Internet or leased line speeds. So, to cross-verify the trade execution price, customers can visit the following Exchange-provided link with the relevant Trade ID:

https://www.nseindia.com/invest/first-time-investor-trade-verification

How to retrieve a Trade ID on Espresso platforms

Not sure how to retrieve a Trade ID on Espresso? Follow these simple steps and be on your way in minutes!

Retrieving Trade ID on the Espresso app

Step 1: Tap the hamburger menu and under REPORTS, tap TRADE, as shown in the following screenshot:


Step 2: You will see the scrip-wise Trade IDs for your trades in the window that opens, as seen here:


Retrieving Trade ID on the Espresso website

Step 1: On the ORDER report window, click on the hamburger menu and then click on Order Details, as shown in the following screenshot:

Step 2: Your order details will be displayed, consisting of Trade IDs along with other details, as seen below. Note that you may need to select TRADE DETAILS from the top-right dropdown to view Trade IDs in some cases.

I hope this article has brought a bit more clarity on the topic surrounding order executions and charts.

Also, the procedure to obtain Trade IDs for your Espresso trades has been explained in simple steps, which will help you cross-check whether your trade has been executed at the said price.

Happy tading with Espresso!

Rizwan Khan
by Rizwan Khan

Technology Innovation Head

I enjoy taking up interesting challenges and perfecting existing tech. Apart from being a tech freak and music lover, I’m passionate about creating new and improved customer experiences!

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