Thread: whether you like positive or negative slippage?

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.

It does not matter if the slippage is negative or positive we should never be happy if any broker is having slippage because it’s a clear sign that the company is desk dealer and for small investors it’s the worst possible thing. I trade with Nova FX and using their service gives me complete satisfaction as there is never any slippage coming up with them and just to confirm this we can check their demo account where i never found this happening over last 6 months.

Obviously it’s common sense that positive swap is what we all like, but I don’t really like to use swap account as firstly it’s due to my religion issue and then it’s about not feeling comfortable with having to pay swap just to keep the trade on overnight and that’s why I prefer to trade with OctaFX broker, it has wonderful swap free option where I am not required to pay anything at all whether my trade last one day or week.

From the starting of my trading life I have been trading with Forex4you the solid trading broker because they are reliable and always active to provide the effective facilities and services. The best thing about them is they give the re-quote, slippage and dealing desk free trading environment in their platform. So I can always complete my trade on just time without facing any error. You should try this broker for trading comfortably.

Tickmill is regulated as a Securities Dealer by the Financial Services Authority of Seychelles, so that the security and comfort provided to traders is guaranteed to be more leverage in surviving while on a Tickmill real account.

Forex trading seems very difficult to the new traders because they invest money before investing time on learning about this business which is huge and much complicated to understand without good trading knowledge. But with ForexOne the credible Forex broker I am leading a comfortable and easy trading life by earning good amount of money since in their platform I never face any slippage issue, so I can complete my trade on just time.

that's why the broker selection process must be able to be considered properly, so it is important for traders to be even better at paying attention to existing regulations with more leverage for the safety and comfort of trading like what I get from Tickmill.