Trading Order Book Documentation

Overview

The Trading Order Book is a JavaScript class designed to manage the submission and matching of buy and sell orders in a simplified trading system. It provides basic functionalities for maintaining an order book and matching orders based on their side (buy or sell) and price.

Usage

Prerequisites

1. Node.js and npm: Ensure that Node.js and npm are installed on your machine.
2. Grenache Setup: Ensure that Grenache DHT is gloabally installed.

   npm i -g grenache-grape

Installation

1. Clone the repository:

   git clone https://github.com/AYU97/trading-orderBook.git

2. Navigate to the project directory:

   cd trading-orderBook

3. Install dependencies:

   npm install

Running the Script

To start two grape server:

grape --dp 20001 --aph 30001 --bn '127.0.0.1:20002'
grape --dp 20002 --aph 40001 --bn '127.0.0.1:20001'

To start the server:

npm run server

To start the client:

npm run client

Notes

• I have added mutliple comments in the order book to make it more easy to understand.
• This is a basic implementation of order book.

Assumptions

• Order is always an array. Even if it is a single order, I am converting it into an array for consistency
• Each order has properties including side (buy or sell), price, and quantity.
• The order book matches orders based on their side and price.
• When matching orders, the quantity to match is calculated as the minimum of the quantities of the existing and new orders.
• Fully matched existing orders are removed from the order book.
• The order book maintains the order of orders as they are submitted.

Improvements

• Enhancing the order matching algorithm to support more complex matching criteria, like limit orders, market orders
• Could be in the form of adding validation checks on orders
• Error handling could be improved in terms of any edge conditions that may come during order submission or matching