March 06, 2012

The Opening Bell has an algo of its very own.

Agency research broker ITG unveiled its new ITG Dynamic Open Algorithm. The broker claims that this algo "empowers traders to tap the liquidity available in the NYSE and NASDAQ opening auctions while minimizing price impact from over-participation."

ITG claims that Dynamic Open is "the first algorithm specifically tailored to the processes of each exchange, intelligently participating in auctions by employing data from the real-time imbalance feeds," according to a press statement.

"The uncertainties and complexity of the opening auctions have made some traders reluctant to use the open," says Jeff Bacidore, ITG managing director and head of algorithmic trading. "ITG Dynamic Open Algorithm provides a powerful tool to tap the liquidity available in the auctions, reducing tracking errors and minimizing implementation shortfall."

ITG Dynamic Open Algorithm and its other algorithms are available via ITG's Triton execution management system and via FIX connection to ITG from third-party trading systems.

Phil Albinus is the former editor-in-chief of Advanced Trading. He has nearly two decades of journalism experience and has been covering financial technology and regulation for nine years. Before joining ...