Ok guys I have been trading in forex for almost a year now (including demo). I want to give my examples in Eur/Usd for the problem and questions I have.
Questions first. How many digits do you have after the point in Eur/Usd?
For example at the moment that I am typing this message EurUsd is 1.3665... The broker I just switched whom also installed their new internet trading system, has 5 digits after the dat... The price is 1.36654 in their program. When I used to make 1 lot trade in Eurusd, every pip would be 10 dollars and in each pip raise i would gain an additional 10 dollars... In other words the profit or loss would be a multiple number of 10. However in my new trader the pair raises like this. 1.36654 to 1.36657 with a difference of 0.00003 pips which is 3/10 of a regular pip... and such a raise is 3 dollars because it is .3 of 1 pip.
My broker said the forex market will be like this in the future. 1 pip rise would mean a raise from 1.36654 to 1.36664 which is like 1.3665 to 1.3666.. which is the regular... But is this also true for other brokers as well?
a raise from 1.36654 to 1.36655 is .1 of a pip raise.
Also the problem I had was a weird one... when the price was at 1.37039 I bought 1 lot of the pair... (which is around 1.3704) though when i bought the pair, the computer set my buying price at 1.3741 and in a second, i was around 380 dollars in debt
I am thinking since the spread is +2 in Eurusd... and since i bought when the pair was 1.37039, my buying with the spread became 1.37041 and than the computer (server) somehow made it 1.3741...
My broker is an EXCELLENT one, They have great customer service and they will be even better in the future.. However this internet system is through another broker. And at one point they claimed that the pair HIT 1.3741 and than came to 1.3703... Which is extremely funny since this move doesn't show even in their M1 charts. Though the pair only managed to hit 1.3741 2 hours before the incident...
I just wanted to share this experience and wanted people to be VERY careful...
By the way my broker of course canceled this transaction and I got my loss back so I am thankful to that.
Questions first. How many digits do you have after the point in Eur/Usd?
For example at the moment that I am typing this message EurUsd is 1.3665... The broker I just switched whom also installed their new internet trading system, has 5 digits after the dat... The price is 1.36654 in their program. When I used to make 1 lot trade in Eurusd, every pip would be 10 dollars and in each pip raise i would gain an additional 10 dollars... In other words the profit or loss would be a multiple number of 10. However in my new trader the pair raises like this. 1.36654 to 1.36657 with a difference of 0.00003 pips which is 3/10 of a regular pip... and such a raise is 3 dollars because it is .3 of 1 pip.
My broker said the forex market will be like this in the future. 1 pip rise would mean a raise from 1.36654 to 1.36664 which is like 1.3665 to 1.3666.. which is the regular... But is this also true for other brokers as well?
a raise from 1.36654 to 1.36655 is .1 of a pip raise.
Also the problem I had was a weird one... when the price was at 1.37039 I bought 1 lot of the pair... (which is around 1.3704) though when i bought the pair, the computer set my buying price at 1.3741 and in a second, i was around 380 dollars in debt
I am thinking since the spread is +2 in Eurusd... and since i bought when the pair was 1.37039, my buying with the spread became 1.37041 and than the computer (server) somehow made it 1.3741...
My broker is an EXCELLENT one, They have great customer service and they will be even better in the future.. However this internet system is through another broker. And at one point they claimed that the pair HIT 1.3741 and than came to 1.3703... Which is extremely funny since this move doesn't show even in their M1 charts. Though the pair only managed to hit 1.3741 2 hours before the incident...
I just wanted to share this experience and wanted people to be VERY careful...
By the way my broker of course canceled this transaction and I got my loss back so I am thankful to that.