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Requotes??

Discussion in 'Beginners Bootcamp' started by Bowmaker, Mar 16, 2010.

  1. Bowmaker

    Bowmaker Private, 1st Class

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    Could someone give me a clear answer to a question regarding requotes. I have read in various posts and forums that a true STP broker will NOT have any requotes and will NOT offer fixed spreads. I am thinking of funding an account with TadawulFX who say they are STP but have fixed spreads and in their reviews a lot complain about requotes. I contacted TDFX customer services who say that every broker will have requotes during low liquidity. Any answers ???
     
  2. Sunshine Everyday

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    Hi Bowmaker,

    I don't know of any broker that doesn't have requotes when liquidity is low.
    I can't say they are all like that, but my expierence has been the same across the board.
     
  3. Pharaoh

    Pharaoh Colonel

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    If the market is moving fast and/or there's low liquidity, then some requotes or slippage can be expected no matter how good of an ECN connection a broker has.

    Of course, a good ECN broker should give you a LOT less requotes and slippage than a low end bucketshop.
     
  4. market_educational

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    Hello Bowmaker,

    First there are terms like /liquidity/, /requotes/, /STP/... which should be understand correctly, because bucketshops like to using these "wall-street" words but most of them are bull****s ...

    Liquidity ... Bucket shops DONT HAVE liquidity because their platform is not connected to real market, its a simple pc program /their feed/ ... thats all, if you would like more infos write and ill explain

    Liquidity... of "real" ECN brokers means they are connected to real market, that means there are Low Liquidity on the forex market, but every trader has to now that "forex market is most liquide market on world" ... low liquidity is every night on minor currency pairs, this means:
    Example
    you would like to open 50 standart lots /5 000 000/
    price is 89.90.... you want go long
    lots number 1-10 filled at 89.91-92
    lots number 11-50 filled at 89.93-90.00

    if example is not good for understand please write and ill try to explain better

    so now WHO is ecn/STP broker - you wrote STP - this means straight true proccesing - this means - you click and your order will be 1 on 1 000 000 000 that are currently on market, but problem is how much cost access to real forex market ? why there are plenty of bucketshops with minimum deposit 200 usd ? because that access is very expensive :) and noone allow you trade less than 5 lots on real forex market, its small amout :)

    I remember Hotspot fx and their huge advertisement campaing and bla bla ... they were not ECN also, it was simple bucket
    In theese days companies like Dukascopy and similar like to say "ecn" "stp" ... i would say they are not .. and im 80 % sure

    If broker says he has "low liquidity" its bus****
    If broker says he slipped you requote you... because of low liquidity its bull****
    Broker slips you because they aim for every pip,
    Reason why you were slipped its because you are on "black-list" .. want know more ? no problem .. not in this post
    Fixed vs variabile spreads ? :) No problem for skilled programmer make platform of your dreams
     
  5. Bowmaker

    Bowmaker Private, 1st Class

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    Some interesting stuff here Market Educational. Seems you have given this a bit of thought. You're right of course. I'm quite sure that all brokers out there will try their best to get every pip possible back from you
     
  6. Pharaoh

    Pharaoh Colonel

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    There really are low-liquiity times, but I'd say these aren't super common. Try trading something like an exotic cross on non-Asian currencies when only the Asian session is running.

    Super fast moving markets (around news releases) can cause the price you clicked at to be unavailable. This can lead to slippage and requotes. If you have pending orders placed, only the most extreme news events should cause issues like this - unless your bucketshop itself just can't keep up with the market. If so, change brokers.
     
  7. PipStar

    PipStar Sergeant

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    There has been a lot of discussion about requotes and of course some brokers pride themselves that you will not get a requote on their platform because their metatrader platform is set to "Market Execution". Of course you will not get a requote from these brokers. What you will get from them instead is SLIPPAGE and in some cases at news time it will be massive slippage.

    In that case I prefer the broker where I can set my own deviation for slippage and get the occasional requote. When requoted I dont get the trade but my account is intact. With the no requote broker you end up sometimes with a very bad fill and damage to your account balance.

    I have traded with Tadawul and if you dont trade the news you will barely get requoted.

    P.S: STP brokers do have requotes and do offer fixed spreads. An STP broker is just the middleman standing between you and the liquidity provider. That liquidity provider can be a bank or can be a market maker.
     

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