Disliked{quote} retailers trading 0.1 will not move any forex pair, not even 10,000 retailers tarding 0.1 will move a pair. it takes roughly 30mill or so to move EU 1pipIgnored
If the trade, at that instant happens to be top of the pile, price will react against. Every time. There is no requirement for a search for liquidity, not at our level or should I say my level, broker takes the opposite. Guaranteed.
Drop a trade onto a fast momentum market and the move against will be swamped but rest assured, your trade creates a reaction.
Thats why back testing a method to trading live will create a different response, your trade is missing from the data. Difficult concept to get one’s head around.
The Algo theory on which this thread is loosely based becomes more solid when accepting that the Algo immediately allocates the trade within the brokers operating parameters.
Just my own theory of course.
Cheers.
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