MQP Session Linking Scenario 9

MQP Session Linking Scenario 9

This scenario shows Mass Quote Protection (MQP) is triggered at the product group level with resting quotes in the same product line on all linked sessions, but the product line protection is disabled for triggering session.

MQP Setting:

  • Session ABC, BCD, CDE under Firm ID 001 are linked into MQP Group 1

  • Deltas:

    • Product Group E2 - 0.15

    • Product Group E5 - 0.20

  • Product Groups under the Product Line:  E2, E5

  • Product Line Protection Enabled on session BCD and CDE

  • Product Line Protection Disabled on session ABC

SenderCompID

Product Line

Product Group

Traded Quantity
(Z)

Fill %
(F)

Delta (D)

SenderCompID

Product Line

Product Group

Traded Quantity
(Z)

Fill %
(F)

Delta (D)

ABC001

 

Disabled

 

E2

200

105

50

E5

250

105

75

BCD001

 

Enabled

 

E2

150

90

50

E5

250

105

75

CDE001

 

Enabled

 

E2

250

110

50

E5

250

105

75

Given:

Incoming order - Sell 200@15 for the E2 product group matches against resting bid from session ABC:

Product Group E2

Session

Bid

Offer

Traded Quantity

Fill %

Delta

Product Group E2

Session

Bid

Offer

Traded Quantity

Fill %

Delta

Quote 1

ABC

200@15

100@20

200 - MQP Triggered at Product Group Level

100

30

Quote 2

BCD

100@14

100@21

 

 

 

Quote 3

CDE

100@12

200@22

 

 

 

Product Group E5

Session

Bid

Offer

Traded Quantity

Fill %

Delta

Quote 4

CDE

100@20

200@25

 

 

 

Quote 5

ABC

150@18

100@27

 

 

 

Quote 6

BCD

100@18

 

 

 

 

Result:

Product Line Scope (E2 and E5): Since the product line is disabled on the triggering session ABC, CME Globex will enforce the mass quote protections at the product group level.

Product Group E2:

  • Upon a Mass Quote Protection (MQP) trigger, all resting quotes for the E2 product group are automatically cancelled across associated sessions.

    • Triggering Session (ABC): Quotes in the E2 product group are cancelled with Tag 9775 (UnsolicitedCancelType) = F (Cancellation has been triggered by Mass Quote Protection).

    • Linked Sessions (BDC and CDE): Quotes in the E2 product group are cancelled with Tag 9775 (UnsolicitedCancelType) = K (Cancellation has been triggered by Mass Quote Protection on Linked Session).

  • Once the MQP is active, any subsequent Mass Quote messages submitted for the E2 product group from any associated sessions (ABC, BCD, CDE) will be rejected.

    • To resume quoting, each individual session must reset its MQP by submitting a Mass Quote (tag 35-MsgType=i) message with tag 9773-MMProtectionReset = 1.

Product Group E5:

  • Unaffected: Product Group E5 is outside the scope of this MQP trigger. All resting quotes and incoming messages for the E5 product group remain active.

 

 




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