Do you face slippage issues while placing the order?

[Toibit]

Do you face slippage issues while placing the order? Any solutions how can slippage be avoided?

The best way to avoid slippage is to subscribe to a broker who sources liquidity from multiple insitutional banks and to open trades during UK-NY session overlap when no important economic data are released.

 

[RicMat]

Yes, but usually during high volatility periods

 

[pashaev]

Slippage occurs on "market execution" accounts. To avoid slippage, you need to choose accounts with "instant execution". This data is usually indicated on the websites of brokers in the description of the types of accounts.

 

[Stoic]

Slippage occurs on "market execution" accounts. To avoid slippage, you need to choose accounts with "instant execution". This data is usually indicated on the websites of brokers in the description of the types of accounts.

but processing orders with instant execution instead of slippage will give requotes

 

[joseph_everland]

I usually use pending orders to reduce slippages. Is this the best way to go about it?

 

[GoldmanSach]

Yes, even with normal orders namely; limits, bracket, oco etc.

Sometimes can be positive, other times negative - slippage frequently happens. Just no requotes, thankfully.

Note that some firms do employ "last look" to withhold till conditions on processing are clarified.

Cheers,
GoldmanSach

 

[pashaev]

I usually use pending orders to reduce slippages. Is this the best way to go about it?

This is the best way for buy limit and sell limit orders. Buy stop and sell stop orders can also slippage for market execution.

 

[compu-forex]

Just be aware that if you are using Metatrader, limit orders do not limit slippage. Outside of MT4(5?), limit orders such as TakeProfit are processed as 'at or better' pricing.

To recap, a buy stop order is a pending order above market price, that is converted to a market order when the price touches the order price.

A MT4 limit order functions exactly the same way ie a buy limit order is a pending order below market price that is converted to a market order when the market price falls to the order price.

 

[GoldmanSach]

Always check with the broker on the statistics of +ve slippage vs. -ve slippage.

Take into consideration for +ve/-ve swap rates too.

Cheers,
GoldmanSach

 

[ForexTus]

Its definitely something that has happened to me before, sometimes the market moves violently