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OldSeaDog · 18-12-2003, 00:36

Slippage is a fact of life and is more dependant on the pace of the market than the honesty of your broker. If a currency is in "freefall" as it passes through your stop, of course you are going to get slippage. We have all seen rates slip or jump by 10 (or more) pips in a single candle (bar). If your stop happens to be in the middle of that candle there is a good possibility you're going to get slippage. The faster the market is moving the greater the chance of slippage and the greater the slippage will be.

Slippage can also be affected by something as simple as the speed of your internet connection - when the market is moving against you dial-up just doesn't do it.

And BTW for "serious" slippage watch NASDAQ blow through your stop by .50 or .75 or a dollar or more as your stock freefalls its way into a dead-cat bounce. Ask anyone who was long on COCO or CECO about 10 days ago!

18-12-2003, 00:36	#18 (permalink)
OldSeaDog level 1 Join Date: Dec 2003 Posts: 5 Rep Power: 0	Slippage is a fact of life and is more dependant on the pace of the market than the honesty of your broker. If a currency is in "freefall" as it passes through your stop, of course you are going to get slippage. We have all seen rates slip or jump by 10 (or more) pips in a single candle (bar). If your stop happens to be in the middle of that candle there is a good possibility you're going to get slippage. The faster the market is moving the greater the chance of slippage and the greater the slippage will be. Slippage can also be affected by something as simple as the speed of your internet connection - when the market is moving against you dial-up just doesn't do it. And BTW for "serious" slippage watch NASDAQ blow through your stop by .50 or .75 or a dollar or more as your stock freefalls its way into a dead-cat bounce. Ask anyone who was long on COCO or CECO about 10 days ago! Last edited by OldSeaDog; 18-12-2003 at 12:56.