Retail Brokers, re quotes and slippage

Hi Guys,

I have been wondering about this lately and wanted to ask other people what they thought.

I' m using Alpari as an example as this my current broker.

Let's say that I want to buy eur/usd right at this moment, I get 3 re-quotes and decide not to trade. It is not a fast moving market when I want to trade.

Since Alpari are not the 'real market' and are providing liquidity for their clients how come there are requotes??

I can understand requotes in real markets as there needs to be someone else to take the other side at the next available price.

So shouldn't this mean that every price should be tradeable in a synthetic environment as they expect the position to lose anyway?

Cheers J

http://www.forexfactory.com/showthre...26#post3199126

The answer is embedded in your question. Since Alpari are providing the liquidity, they are not prepared to take the other side of the trade at the price you clicked, thus the requote at a new price.

Are some threads here that show the tools available to bucketshop brokers to manipulate prices and fills to traders. But bottom line, they use all kinds of "tricks" to make the situation favorable for THEM and not you. It's all included in the software package they get from Boston Technologies, so it's mostly automated. Do brokers use every trick in the book? Not really; if they did they'd lose all their clients.

But as another post just said, if it suits them to fill your order at the price you click, they will; if not, you'll get a requote, "off quotes", "trade context busy" and/or all the other BS.

This isn't to say you can't make money from a bucketshop; you can, but you do have some effort being made against you; just the way it is with market makers...