gimme one good reason to trade fx instead than currecies futs durin' news realeases...i just cannot see any, maybe am blind, lend us a hand here...
the time in question was uk cpi. What these so-called news traders fail to realise that trading fx with their broker is really just trading their own individual fx market. Even with ecns, becuase you're liquidity providers are all different, if you were to place identical trades on the diffenret platforms you'll get diff results. I ppl insist on trading when the market is volatile and unpredictable then they shoudln't start complaining when things they can't understand happen. On IB, as the liquidity providers are banks, they will pull their tight bids/offers faster than you can hit them so all that is left are bids/offers way outside market from the banks or other ib traders. Putting it simply, the only reason why ppl are succesful with shops like oanda is because the feed is slow and oanda are just being suckers. As I said in another thread .... this will go the way of guaranteed stops.
Bit, this thread is not about which is better to trade. I am trying to figure out why Stops execute so far away. I hope IB jumps back in and answers my previous post about what they meant when they stated that it is not their fault or the bank's, but "it's just a function of the market".
i too think it is completely ourageous and nothin' short than criminal but that's what happen in a non-regulated mkt...ib takes part of the blame for placin' trust in counterparties for your transactions that are completely crooked, and takin' thier side when they do somethin' utterly unjustifiable, but heck what can u do, other than take your loss and move on by kissin' goodbye the bandits of db and the likes for good.
whilst I think IB's response might appear vauge to you, it is what he says ..... it's the market. If the market is currently at 06/08 and you have a stop order at 95 and the market gaps to 75/78 where do you think you're going to get filled? If you think 95 you're dreaming.
I usually check the calendar, and did not realize that there was a news event at that time, or I would not have made that trade. I do not trade the news. Anyhow, it is done, and I am just trying to figure out the reasons. Thanks for the feedback. If it was during the news, then that explains alot.
This sounds right to me. I cannot wait until we either get guaranteed stops or regulation in forex, but I do not expect it to be any time soon.
have u already checked and made sure it was a news event or not...that would sure alleviate some responsability on part of the banks but it stil is outright theft, anyone sayin' it aint needs to look at other mkts and how they behave durin' news announcements and ultimately a huge reality check.
why would there ever be guaranteed stops? Brokers like fxcm etal offered them years ago until ppl started straddling nfp and they got hit big time. Now you won't find a single brokers offering them, just like you won't find any brokers offering guaranteed execution and tight spreads around news in the coming months. You want to trade regulated fx go to globex and trade fx futures. You said you don't trade news, if thats the case then the fxfutures is more than you'll need unless you wanna trade >100 contracts.