Beware List for Newbies

[DAT]

I see that there are a couple of folks here slamming MG. I have to wonder why? When did you trade with MGFG? Pardon my directness but it sounds like a competitor of MGFG trying to discredit us.

[OldSeaDog]

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!

[James]

I have used them for 4 years or more and they are one of the very best in all respects, including integrity.

[noosafx]

Hi

All I am doing is passing on my experience with the different groups. I have been with my current group for over a year and have never experienced slippage to the magnitude I did previously. Even with market orders in fast moving markets where one would expect slippage I have not had more than a couple of pips slippage.

Maybe there have been improvements but once burnt I will never go back.

Also I had cases where stops were completely ignored.

[piphunter2003]

There is a brokers/dealers who quarantee "No Slippage".

For example cms-forex

[Dr-Mostafa]

I tried different forex brokerage firms and i realized that they all have some degree of slippage during fast market movements.
Anyway,i never experienced slippage more than 10 pips.

[piphunter2003]

after they announced "no slippage guarantee"?

Is here anybody whos stop/limit orders are slipped lately?

[OldSeaDog]

I must admit I had not investigated CMS-Forex, but after your post I went and had a look. Yes, they advertise (on their website) "no slippage", but nowhere could I find the word "Guarantee".

IMHO slippage does NOT normally happen. However, as in my previous post - freefall is not a market norm and slippage under those conditions is bound to happen.

I don't intend to get into a pissing contest over whether someone anywhere in the world offers a "no slippage guarantee". I just want the newbies to be aware that slippage exists, and is a very real problem that can significantly contribute to a loss if your long position suddenly decides to do a HALO (High Altitude Low Opening) drop.