Splitting Orders

Splitting Orders


Spread your purchases

Most brokers charge brokerage on a per order basis. Sequoia Direct, however, charges brokerage per confirmation issued to you, which means great savings for traders.

Multiple share trades at up to 7 different price levels will be placed on one confirmation. Further trades at additional price lines will appear on a second confirmation on which brokerage will also be charged.

Trade as many times as you like, in the one stock, on the one side of the market on the same day and we’ll book it as just one trade, with one lot of brokerage.

Trade like professionals

Splitting orders is much more than a simple cost saving. Rather than placing a single large trade, the professionals spread their orders throughout the day to ensure they get the best possible prices.

Because you can now split orders cost effectively with Sequoia Direct, you too can spread your orders throughout the day.

The professionals know that managing buy and sell orders onto the market is a proven way of increasing returns. The benefits include increased liquidity and lesser market impact. This is an important consideration when trading small cap and micro cap stocks.

Trading large numbers of small parcels is also important when day trading even the larger, highly liquid stocks.

Watch the depth

Sequoia Direct allows you to sit off market and observe the market depth. When an order becomes available at your price, you can then take from the top in smaller parcels until you have the required amount.

Sequoia Direct supports this approach by aggregating share trades at up to 7 different price points in the one direction over a trading session and treating them as one trade. For smaller trades this means only one brokerage charge.

Here’s an example of share trade aggregation in practice:

Time

10:05am

10:15am

10:30am

10:46am

11:00am

11:20am

11:50am

12:03pm

12:17pm

12:40pm

1:10pm

1:22pm

1:35pm

1:45pm

1:56pm

2:10pm

2:38pm

2:45pm

3:10pm

3:30pm

3:56pm

Total Value Bought

Gross Profit / Loss

Trade Description

Buy 500 XYZ @ $40.00

Buy 250 XYZ @ $40.20

Buy 400 XYZ @ $40.14

.

.

.

Buy 750 XYZ @ $40.14

Buy 500 XYZ @ $40.18

.

.

Buy 400 XYZ @ $40.34

.

.

Buy 500 XYZ @ $40.38

Buy 250 XYZ @ $40.34

.

Buy 600 XYZ @ $40.20

Buy 750 XYZ @ $40.14

.

.

.

$196,937

$880

Time

10:05am

10:15am

10:30am

10:46am

11:00am

11:20am

11:50am

12:03pm

12:17pm

12:40pm

1:10pm

1:22pm

1:35pm

1:45pm

1:56pm

2:10pm

2:38pm

2:45pm

3:10pm

3:30pm

3:56pm

Total Value Sold

Net Profit / Loss

Trade Description

.

.

.

Sell 600 XYZ @ $40.40

Sell 400 XYZ @ $40.36

Sell 150 XYZ @ $40.30

.

.

Sell 550 XYZ @ $40.28

Sell 350 XYZ @ $40.44

.

Sell 300 XYZ @ $40.46

Sell 450 XYZ @ $40.40

.

.

Sell 750 XYZ @ $40.44

.

.

Sell 650 XYZ @ $40.28

Sell 200 XYZ @ $40.30

Sell 500 XYZ @ $40.38

$197,817

$814

Trade Type

Buy Contract Note:

.

.

.

.

.

.

Trade History

400 @ $40.00

1900 @ $40.14

500 @ $40.18

850 @ $40.20

650 @ $40.34

650 @ $40.34

.

Trade Type

Sell Contract Note:

.

.

.

.

.

.

Trade History

1200 @ $40.28

350 @ $40.30

400 @ $40.36

500 @ $40.38

1050 @ $40.40

1100 @ $40.44

300 @ $40.46

10 Buy orders were placed to market and executed. A total of 6 price levels were traded in XYZ with a total traded value of $196,937. The total brokerage for the purchases of XYZ is $147.44 (standard rate) or $130.14 (reward rate).

11 Sell orders were placed to market and executed. A total of 7 price levels were traded in XYZ with a total trade value of $197,817. The total brokerage for the sales of XYZ is $148.32 (standard rate) or $130.94 (reward rate).

Note that if the maximum of 7 price levels had been exceeded, the 13th and additional price levels would have been allocated to a second contract note and additional brokerage charged.