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Typically, markets guarantee a FIFO order of priority of execution for various orders at the same price. I want to know does this hold true for Iceberg orders?

for eg Order1 = Buy 100 Quantities @ 2 dollar each and disclosed quantity=10. After this Order 2 is placed : Buy 100 Quantities @$2 each with disclosed quantity 100. Is it gauranteed that Order2 would not trade before order 1 is traded completely?

Thanks

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No. 10 shares from Order1 have time priority. The 100 shares of Order2 will trader after 10 from Order1. The 90 hidden shares of Order1 are hidden, and therefore at the back of the queue. When they light, they get in line at the back.

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  • $\begingroup$ Say, the Order2 has disclosed quantity of 15, then do they keep getting filled in a loop for their visible quantity until one of them is done or once the first visible quantity is filled for both orders, the entire hidden quantity of O1 will be ready for execution before the hidden quantity of O2? $\endgroup$
    – endless
    May 5, 2023 at 0:37

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