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Queue position

Where a resting limit order stands among all orders at the same price, which under price-time priority determines whether it fills at all.

Queue position is the core asset of any passive strategy. A good spot means you trade when the price is still favourable; a bad spot means you only fill when the level is about to break, which is adverse-selection by construction.

This is why traders avoid cancelling and reposting unnecessarily: any cancel-replace that changes price or increases size sends you to the back of the line at the new price.

Example: you are 3,000 shares deep in a 20,000-share queue at 15.00. Sellers hit 12,000 shares; you fill and the level holds. Now imagine you had cancelled and re-entered for a bigger size an hour earlier — you would sit behind 20,000 shares, fill only if the level is fully consumed, and by then 15.00 is the new offer rather than a good bid.

Related: price-time-priority, adverse-selection, cancel-replace, resting-order

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