electricsavant: do they always increase during volatile times? And do they really increase so much to make this strategy worthless? And doesnt some brokers guarantee no slippage at all.
Well it could... It is not my style and i do not trade news... Perhaps others here might help. I notice many times there is a retrace after the first shock...if your executions do not fill one way they might on the way back...which may or may not be a good thing..according to how fast you are. Limit orders in Retail Spot Forex are handled differently. There is not any price improvement with many marketmakers.. Michael B.
Well Ive already tried it on a demo account and it does work. But I dont want to try it on a real account, as im sure there was something fishy about this, since it is too good to be true.
If your comfortable with it, there is only one way to find out. Put it in your arsenal and let us know..
But if you fill the order 10 min before an announcement? Or 20 min, if you are sure it wont hit your stop loss before the announcement is made. And since my order is filled, my broker has to liquadate my position when my limit point is reached. Isnt there any here who have tried this strategy on a real account? Its crazy that no one has tried this strategy apparently as it is very simple and will yield good profits if it works.
With futures it doesnt perform as well as it looks because: - the chances of being stopped out in a pre-announcement spike is too high - when you get it wrong slippage may worsen the ratio dramatically.