Target Trading System and Method

Abstract

A method of reaching one or more target positions in a user-directed trading system includes the steps of: identifying target positions, wherein each target position includes a tradable instrument identifier and a target quantity; for at least one of the target positions, identifying a corresponding initial position including a current quantity associated with the tradable instrument identifier; and triggering the trading system to identify orders required to reach at least one target position from at least one initial position. A user-directed trading system includes: a user interface through which a user identifies target positions, wherein each target position includes a tradable instrument identifier and a target quantity; for at least one of the target positions, identifies a corresponding initial position including a current quantity associated with the tradable instrument identifier; and identifies orders required to reach at least one target position from at least one initial position.

I claim: 
     
         1 . A method of reaching one or more target positions in a user-directed trading system comprising the steps of:
 identifying one or more target positions, wherein each target position includes a tradable instrument identifier, a target quantity, and an identification of the side of market;   for at least one of the target positions, identifying a corresponding initial position including a current quantity associated with the tradable instrument identifier and a side of the market, wherein the side of the market of at least one of the target positions is on the opposite side of the market from the side of the market of the corresponding initial position; and   triggering the trading system to identify one or more orders required to reach at least one target position from at least one initial position; and   triggering the trading system to execute one or more of the orders identified as being required to reach the at least one target position from the at least one initial position, including the target position having the identification of the side of the market that is on the opposite side of the market from the side of the market of the corresponding initial position.   
     
     
         2 . The method of  claim 1  wherein the one or more target position having the identification of the side of the market that is on the opposite side of the market from the side of the market of the corresponding initial position is on the long side of the market. 
     
     
         3 . The method of  claim 1  wherein the one or more target position having the identification of the side of the market that is on the opposite side of the market from the side of the market of the corresponding initial position is on the short side of the market. 
     
     
         4 . The method of  claim 1  wherein the one or more orders required to reach at least one target position from at least one initial position include at least one order to add a position to a non-zero quantity initial position, wherein the non-zero quantity initial position has the same tradable instrument identifier as the target position. 
     
     
         5 . The method of  claim 1  wherein the one or more orders required to reach at least one target position from at least one initial position include at least one order to including a non-zero quantity initial position and a non-zero quantity target position, wherein the absolute value of the quantity of the initial position is not equal to the absolute value of the quantity of the target position. 
     
     
         6 . The method of  claim 1  wherein the one or more orders required to reach at least one target position from at least one initial position include at least one order to liquidate an initial position to a non-zero quantity target position, wherein the non-zero quantity target position has the same tradable instrument identifier as the initial position. 
     
     
         7 . The method of  claim 1  further including the step of triggering the trading system to selectively execute one or more of the orders identified as being required to reach at least one target position from at least one initial position. 
     
     
         8 . The method of  claim 7  wherein the selective execution is based on any combination of categories selected from the group consisting of order, order type, type of transaction, tradable instrument state, and exchange state. 
     
     
         9 . The method of  claim 1  wherein one or more of the target positions are user defined. 
     
     
         10 . The method of  claim 1  wherein the one or more of the target positions are defined by one or more functions provided in the trading system. 
     
     
         11 . The method of  claim 1  wherein the triggering the trading system to identify one or more orders required to reach at least one target position from at least one initial position is based on a user input trigger. 
     
     
         12 . The method of  claim 1  wherein the triggering the trading system to identify one or more orders required to reach at least one target position from at least one initial position is based on an event based trigger. 
     
     
         13 . A user-directed trading system comprising:
 a user interface;   a controller directed through the user interface; and   a tangible non-transitory computer-readable media having instructions, that when executed by the controller, cause the controller to:   identify one or more target positions, wherein each target position includes a tradable instrument identifier, a target quantity, and an identification of the side of market;   for at least one of the target positions, identify a corresponding initial position including a current quantity associated with the tradable instrument identifier and a side of the market, wherein the side of the market of at least one of the target positions is on the opposite side of the market from the side of the market of the corresponding initial position; and   trigger the trading system to identify one or more orders required to reach at least one target position from at least one initial position; and   trigger the trading system to execute one or more of the orders identified as being required to reach the at least one target position from the at least one initial position, including the target position having the identification of the side of the market that is on the opposite side of the market from the side of the market of the corresponding initial position.   
     
     
         14 . The system of  claim 13  wherein the one or more orders required to reach at least one target position from at least one initial position include at least one order to add a position to a non-zero quantity initial position, wherein the non-zero quantity initial position has the same tradable instrument identifier as the target position. 
     
     
         15 . The system of  claim 13  wherein the one or more orders required to reach at least one target position from at least one initial position include at least one order to including a non-zero quantity initial position and a non-zero quantity target position, wherein the absolute value of the quantity of the initial position is not equal to the absolute value of the quantity of the target position. 
     
     
         16 . The system of  claim 13  further including the step of triggering the trading system to selectively execute one or more of the orders identified as being required to reach at least one target position from at least one initial position. 
     
     
         17 . The system of  claim 13  wherein one or more of the target positions are user defined. 
     
     
         18 . The system of  claim 13  wherein the one or more of the target positions are defined by one or more functions provided in the trading system. 
     
     
         19 . The system of  claim 13  wherein the triggering the trading system to identify one or more orders required to reach at least one target position from at least one initial position is based on a user input trigger. 
     
     
         20 . The system of  claim 13  wherein the triggering the trading system to identify one or more orders required to reach at least one target position from at least one initial position is based on an event based trigger.