MB Trading Futures - Introduction

hi wannatradefx
yes good advice, will trade micros live,
thanks

wannatradefx,

You trying to put me out of work?

Thanks for the post - well said.

Did no one from MBT suggest opening a small account to test the live when you were talking with support? I would have, but I thought it would have been redundant.

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How long before we hear the "big announcement"? I'm rather excited.

I agree with you to an extent. The main problem though is that it's quite a hassle to open live accounts and then fund them. It can also be costly to fund (e.g. via international wire transfers). So there isn't really any other practical way but to open and try a demo account.

I have personally experienced large disparity between demo and live environment at many brokers, with live environment being worse. I wish the demo environment always reflected the live environment exactly, but, as you said, the reality is that it's not, and I continue to use demo accounts accepting this reality. If demo works well and my expert advisor is profitable, then I may progress to do as you said: open a live account and deposit a small amount and trade small sizes. Now the problem with the MBT MetaTrader demo environment is that I can't progress to such a stage because demo still does not work well ("off quotes"), and it has been this way for a long time. I don't think I'm the only one who is reluctant to start trading in the live environment because of all the problems encountered in the demo environment.

MBT really need to take their demo environment much more seriously, as it is an important sales tool, far more so than flashy and colorful advertising.

Hello Justin, two of my trades just took profit but I have a few concerns. I netted 70 pips from GBP/JPY and 32 pips from EUR/JPY, both on two mini-lots (1.8 volume).

Why is that my profits in dollars drastically lower? It can't be all commission or am I missing something? Here is a picture with the red parts highlighted to show what I'm talking about:

Y2a,

Here is a great example of how demo and live differ. In the live environment, of course, you can receive partial fills. In other words, if you go to buy 50 lots, you might get an improved fill from a retail client on 10 at one price and then the other 40 at another price. Partial fills are, of course, expected in an ECN environment where any order size is lined up in the quote. In other words, let’s say that the GBPUSD quote is 1.5010 by 1.5012 and those are banks worth many millions of size on either side. A customer comes in a places a sell on the GBPUSD for 10 lots at 1.50119 (one tenth of a pip under the current ask). The quote immediately goes to 1.5010 by 1.50119. The spread has narrowed from 2 pips to 1.9 pips. You then place an order to buy 50 GBPUSD at the market. You get the 10 at 1.50119 from the customer selling, then the rest at 1.5012. That’s a true market, and that’s what makes ECN trading appealing for traders.

The MetaTrader Client (nor the entire MT4 system) was not designed with this in mind. It was designed at a time when deal desks were all that existed and you either got a total fill or no fill. So we have had to work with our execution “bridge” if you will to allow MT4 to work on an ECN. In some cases where you get the fill that I described above within a second or two, you simply end up with one trade ID with the average price (you as the buyer of 50 lots). In other cases where the partial is filled on a limit and the rest doesn’t fill immediately, your trade can be separated into two order IDs. The same is true when you close a position. If you have 50 lots and you place a T/P to close and get hit for 10 by another customer, it results in the bridge initially…follow me on this…showing the profit for the original order ID based on the 10 that sold (even though 50 is the total size). After a short time, either the entire order is filled or not. If it is filled, then a simple refresh of the screen (run an Account History tab with a custom report with today’s data only, for example) will update the profit/loss to show the total PnL (also happens if you close MT4 and reopen). If the rest is not filled, the rest of the order splinters into separate trades.

Obviously, there is no way to exactly replicate a live fill in a demo environment, especially on an ECN. There are too many variables, including the partial discussion that I just described. However, so that people can test partials, our DEMO environment takes any order where the size is divisible by 3 and gives a high percentage chance of a partial fill so developers can simulate partials. In the case of both of the trades on your screenshot, you had 1.8 lot positions. These are both divisible by 3 (you get 0.6). Thus, you ended up with demo simulated partial fills, which means you only had part of the profit so far. My guess is that the rest of the fill occurred almost immediately, and had you just refreshed the History tab, you would see the proper total PnL on those trades. Please note that based on how the MT4 client works, THIS IS NOT SOMETHING THAT CAN UPDATE DYNAMICALLY. When you get a partial fill, the screen will show the profit of the first part that filled for the total trade until you refresh. However, the fills are always there and correct if you run end of day statement. Also, please note that our statements on-line, which are the FIFO statements that the NFA requires, will show exact fills and commissions for each partial immediately.

What you are seeing there is simply a limitation of MT4 client combined with the realities of ECN trading with a forced simulation of the partials in the DEMO environment based on the fact that you selected a trade size divisible by 3. For example, if you had sent an order for 1.6 in DEMO, it would not get a partial fill.

Hope that helps.

Justin,

I have a question about MB Trading's server time.

I understand that your servers are in EST but I'm wondering if you adjust the server time to DST when summer comes.

Thanks for the long and detailed reply Justin, I just opened up MT4 right now and it appeared just as you said, all my profits are shown as they should. Guess I gotta get used to using an ECN broker

You're welcome.

Hi,

Justin

There is a tutorial to set up Metatrader VPS Hosting? Because I did the registration and do not know how to do this.


Thanks

Photon VPS should be assisting with this process - do you have their contact info?

http://photonvps.com/mbt

I've been Infornativo my vps account is already active and already has pre-installed metatrader, but I enter the page of my vps account and do not understand anything because there is no information on the server for metatrader

Hi Justin
Any chance you would offer historical data on Ninja Trader platform? Thanks.

Margquinhos,

You need to contact PhotonVPS for support on your VPS. However, if you are saying that they forgot to install MT4 on your slice of the cloud, you can do it yourself from our website. Is that the issue?

I completely agree with wannatradefx, my experience with MBT so far has been fantastic...much better than the demo (and I didn't really have too much trouble with the demo either, aside from occasional disconnects).

MetaTrader have installed on my computer,
My question is VPS server what is the use?, Not I have to keep my computer working, because I'm using an EA, because that's why I signed up for VPS

Justin,

I recently asked MBT support why China accounts does not have the new commission rates. Here is what I got back from you guys:

"Hello and good day. The reason why the new low commissions does not apply to China accounts is because the regulatory requirements and that it cost us more to do business in China then it does for US accounts. I hope this answers your question."

The I asked this to them:

"Can I ask what regulatory requirements and between which parties?

It makes no sense to me, I open a MBT account and my funds go into an American bank. So can you see my point, why would fees be more expensive if I use MBT to trade online.

If I had my account in China then I might understand but since I pay fees to transfer funds out of my local account and fees for withdrawing funds from MBT account (American) then it's not really a China account, and certainly not cheap."

It has been a week since I posted this question and I've as yet got any reply back.

I'm trying not to assume anything but can I have a response from you please?

Any traders from China please PM me and lets discuss.

What is mini account and minimum deposit needed for it?
How other brokers are offering free commission and free brokerage?
How the above brokers are getting money from their customers?
What is your minimum payout request and when do you pay after receiving request from trading member?
What is meta trader?
Do you accept paypal?