Forex Brokers Brokers Offer

Forex brokers brokers offer

A requote is an error that occurs when there is a delay between the initiation of a trade and the execution of the order.

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During such a delay, the market might move, causing the price that the trader had requested to be no longer available. In its place, the trader might be offered an alternative price, also known as the requote. The requote will be displayed in the trading platform, giving them a chance to accept or reject the new price and continue or discontinue with the trade.

What causes execution delays?

Most times, brokers who regularly provide requotes are usually dealing desk brokers who also act as market makers by either placing the opposite of their client’s trade to gain from their losses or those who hedge their client’s position to prevent themselves from incurring losses when the client gains.

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Such brokers usually lead to execution delays, and as a result, requotes, which can cause a trader to miss out on a great trading opportunity. Some of the other causes of requotes include;

  • Poor internet connection
  • Technical issues with the platform
  • When the market is moving too fast or is volatile, especially during news releases

How can you avoid requotes?

Fortunately, there are a few ways in which traders can protect themselves against requotes;

Opt for an ECN/STP broker

Traders can opt for No dealing desk brokers who display the most competitive prices quoted by the market or their Electronic Communication Network (ECN).

When using such a broker, the order is automatically executed in the shortest time possible, and at the best price available. This reduces their chances of getting a requote.

ECN/STP (Straight Through Processing) brokerage firms operate in a market execution basis as opposed to an instant execution basis.

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This means that instead of the trader being presented with a requote, the trade is placed at the best available price in the market at the time the order is being processed. Although it might not be the price the trader had seen on their platform, they will not receive a requote.

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Their trades are usually processed much more quickly.

However, in case of a price change, it is important for the trader to understand that although they might be negatively affected, they can also potentially benefit if the price becomes more favorable.

You can also prevent yourself from getting a requote by setting deviation parameters. This way, these parameters will authorize the broker to accept a higher price of the market moves without needing to consult with you on whether to place the trade or not.

If you are dealing with a dealing desk, you can also set a take profit (TP)and stop loss (SL) level before entering a trade.

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A TP ensures that a position is closed if a trade reaches a target price, whereas an SL ensures that a position is closed before the price goes down past a particular level. Since both of these levels predetermine the selling price of an order, requotes will not be necessary.

3 Best forex brokers that offer no requotes

XM is a FCA UK regulated broker that offers 100% execution of orders with no requotes since 2010.

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It offers real-time execution of guaranteeing its clients no requotes or slippage, even during high impact news.

This is a regulated forex broker that aims to process client orders within milliseconds. As a result, they offer no requotes to traders.

FXDD is a regulated broker with no requotes. This broker also doesn’t charge commissions, and the traders are only asked to pay for the spread.

[ratings]

Spread: From 0 Pips

Leverage: 500:1

Min Deposit: $5

Regulated: ASIC, CySEC, FCA (UK), IFSC Belize

Forex brokers brokers offer