Here’s an interesting peccadillo for you to solve: what happens when your currency broker waits a bit too long to make a transaction that results in a loss for the trader, but which may, in the long run, may end up making the broker a little more on the back end. How can you find out if that happens?
If the foreign exchange trader (forex trader) and the foreign exchange broker (forex broker) are using the same basic suite of tools, you can look at some of the administrative features provided for traders to ensure that their orders are being placed in a timely manner (virtual dealer plugin).
Let’s face it, brokers are fully online nowadays so if a trade is delayed because broker ran down to the coffee shop in the lobby and delayed a trade then that’s a pretty awkward reason a trade may be delayed, right?
It would be nice to think that, but, let’s be honest, people are people and have their needs to eat, head home, use restrooms and all the rest.
There are times, though, where you may suspect that your forex broker has delayed a transaction just a a little so that someone else may benefit a bit more, but, how can you find that out? Metatrader4 (MT4) has certain built-in tools that allow you to look at such items as:
Execution and latency times (how long does a order need to get executed after it is sent. If you send a buy order and your order isn’t put through in a timely manner then there might be something wrong, if your forex broker doesn’t have a good reason.
Ping times (how far in milliseconds the broker is away (connection wise) to be honest there are many parts of internal internets that are separated from the main Internet highway by slower routers and longer runs of cable. If the ping return from your forex broker remains the same through a standard cycle, then you should talk with your IT department about a different route to the internet, or possibly an upgraded router, or, maybe even fiber optic cable
Spread tracking (tracks spread…