21/07/2015
Lots of people keep asking same question over and over again about brokers..Frankly,everyone is tired and frustrated with slippage. I get it!!! spread may be an issue but slippage is a bigger concern and this has made people ask the million-dollar question..can you recommend me a good broker???
First of all, am tired of answering that same question over and over and over as that has become the Number 1 newstrading FAQ in the whole world ..so i will be straight to give my opinion here today .
In this generation of Forex trading, 97% of all brokers have slippages whether you like it or not ..its a normal thing and its caused not by your broker,but by the liquidity providers themselves .Slippage came into play since the evolution of ECN/STP brokers who pass your orders thru liquidity providers. Slippage usually happens during periods of news releases because market moves too rapidly and the liquidity providers had lots of orders flowing in too quickly but they have too slim liquidity to handle everyone,so prices are not filled where you expect them..but rather,at the NEXT AVAILABLE PRICE..many broker also widen spread at that same period to make quick gains of news traders..seems both classes(brokers and their LPs) are trying to rip off news traders..lol.
What then is the solution? Frankly,There is no 100% perfect solution to slippage ok. But i will give you a tip to reduce your slippage irrespective of what broker you use..and if you still seeking for the holygrail broker,you will never find it,so i tell you- USE ANY BROKER!!!!!
Somebody probably said WTF!..lol
YES use any broker..but make sure the broker has a "super fast" ex*****on, thats d key!...also if you can get an STP broker offering fixed spread,use it! We have few of them around who gives fixed spread even during news releases and they are not market makers (contrary to what people think). Its best to solve the 'spread' problem totally and then you'll only have to worry about dealing with slippage.. you agree right?!?.
So how do you reduce slippage at the "fast ex*****on -fixed spread broker"?..its very simple! DONT TRADE COMMON PAIRS AS MOST PEOPLE ARE TRADING AT THAT POINT OF THE RELEASE...that's just it!
Most people are either trading usdjpy or eurusd during US news release or gbpusd on uk releases, that's why your broker keeps having low liquidity to execute everyone's rapid orders at those spike shoots,lets face reality,we have all seen how fast and crazy a spike can shoot,haven't we?...so its best to explore uncommon pairs like (for example) eurjpy on US releases.. even euraud,gbpaud,gbpjpy,usdnok,cadchf etc are pairs people rarely use, not as many people would be on them during a spike and they tend to have better fills than common pairs..and the slippages are verrry reduced there..sometimes,you get none..
simply make sure you use a very great EA like our THG straddle EA and you have a split sec ex*****on speed...
Thats all folks! So anyone that still wants to know what brokers we use anyway, we only give those info to paid subscribers from 3months license upwards, so get our 3months license and we'll reveal our brokers to you. Apologies to our 1month subscribers and non members..we love y'all the same.
