Whether You Like Positive Or Negative Slippage?

[uncle gober]

Slippage is when an order is filled at a price that is different than the requested price.

Most conversations I hear regarding slippage tend to speak about it in a negative light, when in reality, this normal market occurrence can be a good thing for traders. when orders are sent out to be filled by a liquidity provider or bank, they are filled at the best available price whether the fill price is above or below the price requested.

To put this concept into a numerical example, let’s say we attempt to buy the EURUSD at the current market rate of 1.3650. When the order is filled, there are 3 potential outcomes.

Outcome #1 (No Slippage)

The order is submitted and the best available buy price being offered is 1.3650 (exactly what we requested), the order is then filled at 1.3650.

Outcome #2 (Positive Slippage)

The order is submitted and the best available buy price being offered suddenly changes to 1.3640 (10 pips below our requested price) while our order is executing, the order is then filled at this better price of 1.3640.

Outcome #3 (Negative Slippage)

The order is submitted and the best available buy price being offered suddenly changes to 1.3660 (10 pips above our requested price)while our order is executing, the order is then filled at this price of 1.3660.

Anytime we are filled at a different price, it is called slippage. I now get maximum profit with an average positive slippage in TICKMILL.

[Sam Patrick]

A hard practice and good knowledge can easily make you a professional trader. You can’t be a professional trader if you don’t have any knowledge and good strategy. If you have the proper knowledge and you trade with a reliable broker you can easily make yourself a professional trader.

I trade with a Forex4you. They are a very reliable broker. I am earning a very good number of profits by working with them. Their endless supports always help me to build up my forex knowledge. They provide a very easy process to open an account. They provide minimum spread and maximum leverage. They are one of the best brokers I have ever worked.
 

[maspluto]

Existing training and learning must be able to be well cared for, this is needed and necessary so that traders can be maximized in carrying out trading activities that are in accordance with expectations while on a real Tickmill account.