Need everyones' input on this dubious broker execution

Hi everyone,

I have been trying to research around but due to to the limited amount of information out there on the internet I was unable to find any information on what this situation is about: This is about a STP broker by the way, where they claim to be an STP broker.


I'll now describe briefly about the issue: I was short sterling to play a USD strength ahead of the September tapering expectations, where with just a very tight 11 pips stop, the trade size was large not the usual retail size so usually it'll take a bit longer to execute than the normal ones but anyways, I was short around 1.5975, and had a stop around 1.5986, however, once the news broke out and there was no tapering, cable was already at 1.6030-40, taking out all the stops at 1.6000, but my big sized short was able to actually be executed at my described 11 pips stop when prices were clearly higher.


Any idea what this is? Some suggests it's warehousing, what does that mean?


(Please dont ask me why I'm complaining about a better stop than market, I am concerned that stops are triggered at artificial prices, can be bucketing trades.)

Don't take my word for it but it might be a good start for your research. Maybe I am saying complete nonsense.

Somewhere on this forum we already discussed this "issue". Orders of different clients get bundled because the brokers LPs don't accept micro lots. Through this type of "matching" you can get your desired price for a sl. I am not sure if that directly qualifies as STP but the remaining offset will be hedged.

However, as I have stated above already, I was not trading in micro lots, I was trading standard lots which the LPs would definitely welcome and accept. So such an offset is not needed.

That definitely does not satisfy the STP requirement as then there was human and manual intervention in the nature of the trade and its' content.