Market Orders or Limit Orders?

Which do you prefer?

Personally, I have found my limit orders often hit by spikes. I would prefer it if limit orders are executed when prices close either at it, or above/below it.

smells like stop hunting...

Yea i suspect so too, my broker is interbankfx. Also, when i put a buy or sell order, it normally gets hit and reverses. Anybody else experiencing the same problem?

All your stop are belong to us!

You have to be vewy vewy quiet. we're hunting stops... LOL

JodyOng,

You are correct, the spike and reversal is probably an engineered market move at a quiet time, looking for liquidity... Usually it is not just your broker. It is a group of larger players and when those in the know see what is happening, they jump on for the ride...

Damn, I made sure that I placed my stops at weird places. Looks like you've got me this time Darkstar and Smjones...

but i'll be back. astalavista baby.

If you would like to read a good description of this, There is a chapter in Joe Ross' book Trading Ross Hooks. It goes in deapth how this can happen and how to protect your self from it...

The book is pretty good, but the chapter on this is very good.