Will we add periodic-filling limit orders in 2024?
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Oct 31
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A large problem with limit orders is they can be filled by news traders, which lowers liquidity (limit orders) on markets. One possible solution is limit orders that fill at a certain rate of mana/time, to give time for the limit order creators to cancel their limit orders before the news traders eat the whole thing.

For example, in the limit order panel you could set a rate of 1k mana/hour fill rate for a 10k NO order at 80%. News breaks and the first news trader fills 1k of your limit order, moving the price up to 99%. Every hour after that, your limit order buys another 1k mana worth of NO shares to bring the market back down to 80%, unless you come in before the remaining 9 hours pass to stop it.

Pros:

  • Reduces downside risk of news trading to liquidity providers

  • Simple mechanism to implement, relatively easy to explain

Cons:

  • Limits upside if the trades aren't based on real news, and instead just wild swings from dumb money

Would you place more limit orders with this feature? Why or why not?

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@ian is this meant to close early?

@Ziddletwix i closed it to conserve liquidity. I think I know what’s going to happen at this point

My concern is that you can only put in so many features, due to learning curves. This feature seems good, but it needs to pull its weight. I'm cautiously optimistic that it would...

I feel like this might too easily allow manipulating a market's activity. I'm not sure exactly how Manifold prioritizes which markets to display on people's feeds, but I suspect trading activity affects it. A periodic filling limit order of '1 mana/hour fill rate to 0%' combined with another '1 mana/hour fill rate to 100%' would allow automatic bumping of a market at a cost of less than 50 mana a day.

Someone feel free to correct me if this kind of trading activity isn't relevant to the algorithm used.

Y'all are overestimating the mad scientist barons

This is the same team that decided to make a dating app instead of fixing critical month-old bugs

I think it's a fun idea but is eclipsed by rollback resolutions, since they solve the majority of the worst problems here

but to answer the original question, I would definitely place more limit orders and more aggressively if this were a thing, with or without rollback resolutions. I'm already a fairly heavy limit order user; just wish they were easier and faster

Can you help me understand your claim? Why would I, as a limit-order creator, expect the market creator to roll back the market to before new data emerged?

I suppose it'd have to become a new norm, but creators would be incentivized to do so bc of subsidy recapture. I guess it wouldn't always happen, but it's nice to have the option to cut back shenanigans

Would change very little for me. I tend to avoid very large limit orders and if I get notification an order was filled I manually re-examine.

I would love if I could set this as my default for limit orders. By default my limit orders cancel 3/4 of the way to market close and have a 10% per hour fill limit

bought Ṁ350 NO

No, a better way would be better advertising large short term limit orders

That doesn't seem helpful for keeping more limit-order-liquidity in markets over time, if we're trying to make well-callibrated non-swingy markets.

The big reason I don't (or very rarely) use limit orders is this exact thing: that I don't want to lose it all in the face of new big news.

I would want per-day filling, not (just) per-hour

bought Ṁ300 YES from 47% to 49%
bought Ṁ300 YES

Putting (more) mana where my mouth is, as an "I want this" more than "I predict this will happen"

I would definitely place more limit orders with this feature! Big fan of the idea.

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