# Is Stop-Loss Triggered Before 15-50 pips normal?

#### sixth7eight

##### Recruit
First... I am a really beginner...

Second, is it normal for a stop-loss triggered 15-50 pips before your stop-loss price that you had set it?

*On attachment,
I set my stop loss at 1.31573 and triggered at 1.31558... I should make a profit again here but... it stops 15 pips earlier...

It happen almost all the time... I made a significant progress before and then, I begun to lose all the trade consecutively...

Third, my broker told me its because of the spread and since I "WAS" loyal to them, so they reimbursed 1/2 of the loss.

Forth, eventhough I am a beginner, but I dont trust them anymore...

Fifth. Sometimes, the moment I entered a position, the quote price will be 30-50 and sometimes even 100 pips different... For example, If I want to make a sell decision, it will be almost 30 pips before the price even reach the price (lower) that I intend to make a decision... I do understand because of the spread, but is it 30 pips is normal for a spread? If I want to make a buy decision, it will be almost 30-50 pips above the price...

Sixth. English isnt my language. So sorry. *Is it normal these things happen?

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Hi there.

1 pip=0.0001 digit of a currency pair.
1 point = 0.00001 digit of a currency pair
1 pip=10 points
But I have also heard of people calling the point as a pip. There is some misunderstanding, because some brokers use 4 digits and some 5 digits. In any way, you are using a 5 digit broker and you are clearly reading on your MT4 the Profit in points.

1.31573 minus 1.31558 = 1.5 pips (or 15 points)

The spread, depending on the currency pair can be a lot more than 3 pips (=30 points), so it is very possible that your stop was triggered at that level. Of course there are many brokers that are stop hunters and will knock your trade out when is it a couple of pips from the S/L level.

The fact that your broker returned 1/2 of your loss is REALLY strange. It might sound strange, but good brokers do not return any of the loss made during trading.

So, even if your losses are due to the broker, they're not returned? Would the return of losses squarely fall into the suspicious scammer category, then?

Slippage of 1.5 pips can happen, but shouldn't be happening too often.

I could picture some brokers having a policy of giving a small amount of money as "compensation" in a case like this to smooth over any bad feelings.

My best advice - keep a close eye on slippage of your stops. Unless you are trading during times of high volatility or trading large volumes, you should usually see little or no slippage on a hard stop.

So, even if your losses are due to the broker, they're not returned? Would the return of losses squarely fall into the suspicious scammer category, then?

If the losses are due to a mistake of the broker, then they should be compensated. In the specific case, your trade was closed at Stop level, because of the spread. The spread is the profit of the broker, and this means that they did not do anything wrong! That is why I find it strange, why the broker returned some of your losses!
The only explanation I can think off, is that you are losing too much and your broker is a bucket shop, taking all the profits. They sure want to keep you with them and they are very nice with you in this way. I hope you will be profitable sooner or later and then we will see how nice they will be with you.

Hey, thank you for that info. I was not familiar with the term bucket shop before. Quite a sinister operation it is.

Hey, thank you for that info. I was not familiar with the term bucket shop before. Quite a sinister operation it is.

That's why it is very important to choose your broker very carefully.

thank you very much.... I AM VERY SORRY for the late reply and REALLY appreciated that you guys replied to my question.

I have stop traded with them quite sometimes now, well in fact, I havent traded after that until last few months... I studied more and learned from here, other forums as well, ebooks, books and most of the time on free youtube... I can say I'm a better trader now since last time...

made a mistakes and I am trying to learn something from there.

I also tried another brokers but hm... quite difficult to find at least a decent broker. Maybe because of the conflict of interest.

But anyway, thank you very much for the reply

That's why it is very important to choose your broker very carefully.

Not only a broker, but also the internet provider and actually your PC or Laptop. Make sure that connection is stable and your PC has at least 2 GB memory