Effective today, June 15, 2016, Nasdaq has made the following enhancements to Cancel on Disconnect¹ functionality:

1. Cancel on Disconnect will now be triggered in the event of a Nasdaq server failure Previously, Cancel on Disconnect functionality was only triggered in the event of a hard disconnect originating from the customer connection (a disconnect not attributed to a logout message). Cancel on Disconnect has been enhanced to now also trigger in the event of a Nasdaq server failure. This functionality is now available on BX and PSX and will be rolled out on Nasdaq on Monday, June 27, 2016.


2. Cancel on Disconnect will now be triggered as a result of a graceful logout Previously, Cancel on Disconnect functionality on OUCH and FIX Lite (FLITE) was only applied for a loss of session, and not initiated for a graceful disconnect. Cancel on Disconnect has been enhanced to also trigger when a voluntary log out is performed by the Member system.


3. New options are available for configuration at the port level

OUCH/FLITE – There will now be two different Cancel on Disconnect options available:

• Cancel All
• Keep Cross Orders

Note: Cancel on Disconnect for OUCH/FLITE previously excluded IOC’s (MOO, LOO, MOC, LOC, IO orders). Therefore firms that previously had Cancel on Disconnect enabled on OUCH/FLITE will be defaulted to the new “Keep Cross Orders” setting. If you wish to have all orders cancelled, please contact Subscriber Services and complete the port request forms below.

FIX/RASH – In addition to the current Cancel on Disconnect options, two new options will be now be available:

• Cancel All Open Orders – Current Option
• Keep Cross Orders – Current Option
• Keep GTC Orders – New
• Keep both Cross and GTC Orders – New

Note: No changes will automatically be made to any existing Cancel on Disconnect settings on FIX/RASH. Firms must opt-in to the new options.

Cancel on Disconnect will only be triggered if you are disconnected from your last and only logged-in instance. For example, if you are logged into Carteret and Chicago IP’s simultaneously and lose connection to one of those IPs (Carteret or Chicago), cancel on disconnect will not be triggered.

However, if you are only logged into the Carteret IP and lose connectivity, Cancel on Disconnect will be triggered.

How to make changes to Cancel on Disconnect settings

NASDAQ Port Request Form

BX Port Request Form

PSX Port Request Form

¹ Cancel on Disconnect is an optional feature configured at the port level that provides a best efforts attempt to cancel designated open orders in the event of a disconnect. In the event your connection is disconnected, it is recommended that firms call the NASDAQ Trade Desk at +1 212 231 5100 to status orders. There is no guarantee that the automatic cancel feature provided by NASDAQ will be error free or operate without interruption.