How to minimize Slippage.

Discussion in 'Forex Education' started by vicknic, Mar 18, 2014.

  1. vicknic

    vicknic Confirmed ProfiForex Representative

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    The term "Slippage" is every trader's worst nightmare. This is a negative factor in forex. Can it be avoided? No. Can it be minimized? Yes.

    On any market, liquidity risk is a factor. Traders who chose to deal with market makers instead of having Direct Market Access (DMA/STP) often experience this. Slippage is best minimized if you choose a well-known fair forex broker. You need a broker who can execute your order as quickly as possible. Why? This is because the fast moving market is another reason why your orders are sometimes not executed at the price you expected. A super fast order executing platform that moves at same pace with the ever-changing market is an advantage.
     
  2. wisetrada

    wisetrada Active Trader

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    Hi Vic, you are right about DMA or STP brokers and I guess this is why don't experience this negative factor you speak of. But I also know that one can use of Maximum Deviation as a way to avoid slippage. I love scalping and seeing that profiforex spreads are now lower than before, I want to increase the number of positions per day.
     
  3. Exness Support

    Exness Support Active Trader

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    In busy markets slippage is always bigger and in calm market slippage is less or no slippage but unfortunately you cant do anything about it it solely depends on your forex broker and their execution policy so choose a broker with instant execution and no slippage also from your end get a reliable and fast internet connection.
     
  4. Aby123

    Aby123 Active Trader

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    By the end of the day, we should check ourselves and trade with a trustworthy broker.
     
  5. Enivid

    Enivid Administrator Staff Member

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    Sorry, but that has nothing to do with minimizing broker's slippage.
     
  6. readyforex

    readyforex Official Advertiser

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    A Forex trader could trade with pending orders.

    Like use Buy Stop to trade the bullish break out and use Sell Stop to trade the bearish break out.

    However; if a slippage is going to happen due to a Gap in price or due to some kind of news release or trading news then you can not save yourself from that Slippage.

    Some brokers talk about their slippage policy in their terms of use. However; most brokers try to hide such an information. Very few traders talk about maximum allowed slippage in terms of exact number of pips per currency pair.

    A good idea is to first check with your Forex broker to see how much slippage you are going to face incase price open up with a Gap or due to some news announcement.

    You will be amazed how different answers you are going to get from almost same looking Forex brokers.
     
  7. karunia

    karunia Banned

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    I think that to minimizing the slipage is registering our account to rebate system, its good because it can minimize the war of USA and allies to sovereignty nation in around the world...
     
  8. JimFXtrader

    JimFXtrader Active Trader

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    If you drive a robot placed in slippage between 1-3 (10-30, Broker 5 digits)
     
  9. wisetrada

    wisetrada Active Trader

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    What do you mean? I foresee a good idea, but would like you to tell more about it. Presently I am trying hard to use this new platform but it is full of slippage. I guess if I can't beat this I will have to withdraw my money and stick to my other broker.
     
  10. Ary Barroso

    Ary Barroso Active Trader

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    1st of all, you need to use an honest trading broker! Then please avoid the high voltage news events! By the way, I have no objection of slippage since I’m not using here tight SL’s.
     

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