Basic Question on Stops and Limits in EAs | Forex Factory

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Basic Question on Stops and Limits in EAs

  • #1
  • First Post: Edited 6:48pm Jan 10, 2013 1:58am | Edited 6:48pm
Pretty basic question:

On EA's that open a position that includes a Stop and Limit, are the Stop and Limit orders actually sent to the Broker when the Entry order is placed, or are they kept locally, then sent by the EA as Market orders when their prices are hit?

I suppose that if you are one of those traders who are afraid of Brokers "Stop Hunting", then you'd want to keep your Stops and Limits on your local computer, but then you run the risk of losing your connection and not being able to transmit your Close orders or having them delayed.

Thanks.
  • #2
  • Jan 10, 2013 2:19am Jan 10, 2013 2:19am
Quoting davidf515
Pretty basic question:

On EA's that open a position that includes a Stop and Limit, are the Stop and Limit orders actually sent to the Broker when the Entry order is placed, or are they kept locally, then sent by the EA as Market orders when their prices are hit?

I suppose that if you are one of those traders who are afraid of Brokers "Stop Hunting", then you'd want to keep your Stops and Limits on your local computer, but then you run the risk of losing your connection and not being able to transmit your Close orders or having them delayed....
They are held by the Broker and executed with no need for any other communication with your Broker . . . so if you lose Internet connection or your PC reboots or MT4 crashes the TP & SL are still in place.
20 pips a day isn't too much to ask . . .
  • #3
  • Last Post: Jan 10, 2013 3:50am Jan 10, 2013 3:50am
Quoting davidf515
Pretty basic question:

I suppose that if you are one of those traders who are afraid of Brokers "Stop Hunting", then you'd want to keep your Stops and Limits on your local computer, but then you run the risk of losing your connection and not being able to transmit your Close orders or having them delayed.

Thanks.
You can also code a hidden stop which is hard coded in your ea and for the case of electricity outage or whatever emergency you can place a safe stop somewhere 10 pips below your real stop.
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