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1. Unzip the downloaded file to a directory of your choice.
2. Verify that you have version 8.70 of the Interactive Brokers API installed. You will find this in the directory where the TWS was installed. This is usually C:\JTS. Double click on API_VersionNum.txt. This will open notepad so that you can see the version number. If you have the wrong version or none at all, download and install it from here
3. On Interactive Brokers Trader's Work Station, verify that Configure -> API -> Enable ActiveX and Socket Clients is checked.