Greetings from Alpari (UK)

Hello Babypips traders,

My name is Alexander Chadwick and I shall be acting as your representative on this forum.

I look forward to answering any questions and supporting any queries you may have.

If you are not familiar with us, Alpari (UK) is one of the leading global Forex brokers and is authorised and regulated by the Financial Services Authority (FSA) in the United Kingdom.

Alpari (UK) is part of the group of Alpari companies which combined look after over 170,000 active trading accounts worldwide.

Feel free to visit our website to learn more about us.

Cheers,

Alex

Thanks, Alex. I just installed an Alpari demo account tonight. What would you say is the best way to learn your Metratrader 4 software?

Hi Holden,

Thanks for registering with us.

The easiest way to learn to use MetaTrader 4 is to view our MT4 Video Tutorial.

Alternatively, you can also check out our Metratrader 4 user guide.

Cheers,

Alex


Alexander Chadwick
Alpari (UK) Representative

Hi what it’s different alpari uk with another alpari like nzd alpari , russian alpari , us alpari … ?

Hi Acangz,

Happy to help.

Each of our associated companies form a separate legal entity.

Should you want more details about any specific entity in a region, please click on the link below:
Alpari Global Homepage

Cheers,

Alex


Alexander Chadwick
Alpari (UK) Representative

Alexander - can you confirm the following:

  1. What is protection limit for UK account holders, is it £50k as you are regulated by FSA
  2. Are you ECN?
  3. What are your rollover charges?

Thanks

Hi MrChilled,

Thanks for your questions. Glad to be of assistance.

1) What is protection limit for UK account holders, is it £50k as you are regulated by FSA?

Yes, you are correct. We are regulated by the Financial Services Authority (FSA). This gives our clients assurance that any funds held with us are secure and that our resources are adequately managed at all times.

Our clients may be eligible to put a claim into the Financial Services Compensation Scheme (FSCS) in the event that Alpari (UK) is unable to meet its financial obligations. Eligibility depends on the status and the nature of the claim.

Further details are available below:
Regulation

2) Are you ECN?

Alpari (UK) Pro accounts offer direct market access to the liquidity of some of the largest banking institutions in the world.

3) What are your rollover charges?

Our rollover charges are available on our website.

Link below:
Rollover/Interest Policy

Cheers,

Alex


Alexander Chadwick
Alpari (UK) Representative

Hi Alexander,
Is there some work being done currently on your demo platform?
My charts aren’t updating this morning & are stuck at Friday’s close.

Hi Laine,

We’ll be happy to take a look at your account. Please email your demo account number to <[email protected]>

Alex


Alexander Chadwick
Alpari (UK) Representative

Greetings Alpari
Some very quick questions;
Why were you fined £200 000 pounds by the UKs FSA?
Do you use Metatrader’s Virtual Dealer Plug-In?
Do you provide statistical info on percentage of orders filled/ rejected?
Many Thanks

Hi BBYD,

Thanks for your post.

With regards to your queries:

1. FSA

Alpari was fined as a result of an FSA audit in 2010 in relation to administrative failings in checks undertaken during the Account Opening process. No client money was at risk.

This is a matter of public record: The Law Gazette

2. Plug-In

The fact is all retail FX brokers use some kind of risk-management software - it’s just that it goes by different names. At Alpari we use a proprietary tailored solution to the problem of risk-management and simultaneous multi-currency execution.

3. Statistical info.

No, we do not provide statistical information on the percentage of orders filled/rejected. Since many rejections will occur at the client terminal accurate figures are impossible to quantify.

If an order is rejected it will either be because the price at which you are requesting to trade is not available, or if you do not have enough funds to support the transaction.

Fills or rejections are nothing more than the physical enactment of the Laws of Supply and Demand. Both have been a feature of the FX market since before the retail FX market in its present form was even conceived, and of course, the reality is that Alpari do not control either the market or the prices of the Market Makers.

Alex


Alexander Chadwick
Alpari (UK) Representative

Thank you very much for your reply Alex
In response to the following answers;
2. Plug-In
The fact is all retail FX brokers use some kind of risk-management software - it’s just that it goes by different names. At Alpari we use a proprietary tailored solution to the problem of risk-management and simultaneous multi-currency execution’.
I understand Alpari US uses the FX technologies bridge to STP to liquidity providers.
Q1. Does Alpari UK use the same bridge?
There’s a lot of talk about plug-ins that not only ‘manage risk’ for the broker but also adversely impinge on client accounts.
Did you read about Gain FX’s NFA fine for using plug- ins that more than just 'managed risk’?
Forex market manipulation and how to spot it ‹ Forex Trading Tools – MT4 Indicators – MT4 Experts – Metatrader Tools
Q2. Does Alpari’s computerised non dealing desk plug- in conflict with client orders in any way? If so is it an FSA requirement to announce such conflicts to its clients?


'3. Statistical info

‘No, we do not provide statistical information on the percentage of orders filled/rejected. Since many rejections will occur at the client terminal accurate figures are impossible to quantify.’
Can I ask you Alex…
Q3. Is order filling information critical transaction information? Firstly as transactions (filled or not) are a regulated activity and second this information is important for FSA complaints procedures?
Q4. Alpari promotes its brilliant order filling what statistical info does it keep proving this?
So…
Q5. So you can confirm to me that Alpari does not have statistical knowledge on the orders it fills as described above; i.e. it could be a fill percentage of 20% or 5%.

Q6. So then how do you justify the following statement if you don’t know your fill stats?

'Best execution

Alpari believes that the best way to deliver high quality services and an efficient trading experience is through agency execution. Our strong Prime Broker relationships allow multiple tier 1 banks to compete in providing our trading platforms with the best spreads and liquidity.'
Q7. How does Alpari define liquidity (many definitions). Remember Coca Cola claimed its drink was ‘good for your health’ until trading standards requested a definition of how it was ‘good for your health’.
Q8. How does Alpari measure it’s liquidity to make such a statement?
If I was a broker I would like such info such as
When I need to sell how often does the particular tier 1 bank connect me with a buyer?
Always, often or never?
Q9. With transactions being electronic surely it is extremely easy to find out these stats?
I use 4xsentinel which gathers all such info for me on my own account.


‘Fills or rejections are nothing more than the physical enactment of the Laws of Supply and Demand. Both have been a feature of the FX market since before the retail FX market in its present form was even conceived, and of course, the reality is that Alpari do not control either the market or the prices of the Market Makers’.

Q10. So if I trade microlots a tier 1 bank will always fill my micro order and that’s who you are connecting me with right? If tier 1 banks do provide deep liquidity then surely why does Alpari not guarantee fills in non volatile markets on microlots?

Q11. Does Alpari guarantee to fill microlot orders in non volatile markets and if not why?
Q12. Why does Alpari guarantee ‘no re-quotes’ on some account types and not others?
Q13. Are there any disadvantages of having your orders matched in- house compared to matched on the open market via banks say via a pro account?
Q14. Do micro and classic accounts enter Alpari’s own in- house market making process or are orders amalgamated for STP to tier 1 banks?
Q15. If so then shouldn’t Alpari clearly state this to the investor?
Q16. Why does the micro account have a max position size of 2 lots? Surely if I’m a small time high frequency trader Alpari would earn a lot on spreads when I open hundreds of positions per day (of course margin requirements being met).
Q17. Is it because these multiple small trades can only be matched in- house; as Alpari IS the market maker thus I could be creating liquidity issues in- house?
Q18. Some brokers offer depth of market information to clients (MB trading for example). FX is not centralised but a group of tier 1 banks will give you a very good idea of the amalgamated volumes. (Depth of Market Application, real time FX prices and quantities - Boston Technologies). Why does Alpari not offer this info to retail clients as you must agree it would be very helpful for the trader and does not create a conflict of interest for Alpari’s profit creation from spreads?

Thanks Alex I really appreciate your time on this.

Hi BBYD,

Thanks for your post.

With regards to your queries:

  1. FSA

Alpari was fined as a result of an FSA audit in 2010 in relation to administrative failings in checks undertaken during the Account Opening process. No client money was at risk.

This is a matter of public record: The Law Gazette

  1. Plug-In

The fact is all retail FX brokers use some kind of risk-management software - it’s just that it goes by different names. At Alpari we use a proprietary tailored solution to the problem of risk-management and simultaneous multi-currency execution.

  1. Statistical info.

No, we do not provide statistical information on the percentage of orders filled/rejected. Since many rejections will occur at the client terminal accurate figures are impossible to quantify.

If an order is rejected it will either be because the price at which you are requesting to trade is not available, or if you do not have enough funds to support the transaction.

Fills or rejections are nothing more than the physical enactment of the Laws of Supply and Demand. Both have been a feature of the FX market since before the retail FX market in its present form was even conceived, and of course, the reality is that Alpari do not control either the market or the prices of the Market Makers.

Alex

Read more: 301 Moved Permanently

Thank you very much for your reply Alex

Pleasure to be of help BBYD.

You will find that in many cases the answers are the same, as you have asked the same questions. Please do correct me if I have misunderstood. I have replied in green.

In response to the following answers;
2. Plug-In
The fact is all retail FX brokers use some kind of risk-management software - it’s just that it goes by different names. At Alpari we use a proprietary tailored solution to the problem of risk-management and simultaneous multi-currency execution’.
I understand Alpari US uses the FX technologies bridge to STP to liquidity providers.
Q1. Does Alpari UK use the same bridge?
Really not sure about Alpari US to be honest. Therefore I cannot comment on that.
The question is really only relevant to Pro accounts, and Pro accounts feed directly into the market with Currenex.

There’s a lot of talk about plug-ins that not only ‘manage risk’ for the broker but also adversely impinge on client accounts.
Did you read about Gain FX’s NFA fine for using plug- ins that more than just 'managed risk’?
Forex market manipulation and how to spot it ‹ Forex Trading Tools – MT4 Indicators – MT4 Experts – Metatrader Tools
Virtual Dealer received an awful lot of negative publicity after the Gain Capital case, but that is because it possesses the capability of being manipulated in a very negative way by unscrupulous brokerages. There seems to be a widespread belief among amateur traders, propagated, it must be said, by uninformed and mostly anonymous comment, that tarnishes all brokers equally with the same accusations, which is patently not the case. If it was as widespread as gossip would have you believe, there would have been many further successful prosecutions following the Gain capital case. The fact that there was not should answer your question.

Q2. Does Alpari’s computerised non dealing desk plug- in conflict with client orders in any way? If so is it an FSA requirement to announce such conflicts to its clients?
There is no conflict between the NDD plug-in and client orders.

'3. Statistical info
‘No, we do not provide statistical information on the percentage of orders filled/rejected. Since many rejections will occur at the client terminal accurate figures are impossible to quantify.’
Can I ask you Alex…
Q3. Is order filling information critical transaction information? Firstly as transactions (filled or not) are a regulated activity and second this information is important for FSA complaints procedures?
You are correct. Transactions (those that are received) are a regulated activity. Since many rejections will occur at the client terminal accurate figures at all levels are impossible to quantify.

Q4. Alpari promotes its brilliant order filling what statistical info does it keep proving this?
So…
See answer 3 We regularly review fill rates to ensure that they do not fall below the advertised level.

Q5. So you can confirm to me that Alpari does not have statistical knowledge on the orders it fills as described above; i.e. it could be a fill percentage of 20% or 5%.
See answer 3

Q6. So then how do you justify the following statement if you don’t know your fill stats?

'Best execution

Alpari believes that the best way to deliver high quality services and an efficient trading experience is through agency execution. Our strong Prime Broker relationships allow multiple tier 1 banks to compete in providing our trading platforms with the best spreads and liquidity.'
See answer 3

Q7. How does Alpari define liquidity (many definitions). Remember Coca Cola claimed its drink was ‘good for your health’ until trading standards requested a definition of how it was ‘good for your health’.
Click on the link below:
Liquidity Definition | Investopedia
I think an objective definition is in order here. It’s a common enough market term. The equation with vague health claims by Coca Cola is disingenuous.

Q8. How does Alpari measure it’s liquidity to make such a statement?
If I was a broker I would like such info such as
When I need to sell how often does the particular tier 1 bank connect me with a buyer?
Always, often or never?
It’s a pool of liquidity. Alpari hedges your trades with more than 10 top-tier banks that stream their tradable prices onto our platforms. We receive thousands of quotes per second from our liquidity providers and it is not practical to send all these quotes to our clients as it would generate substantial traffic. We stream the best Bid and Offer to you. You cannot make any assumptions regarding quantity of trades being completed by any particular counterparty, which is, after all, representing its own prime brokerage counterparties.

Q9. With transactions being electronic surely it is extremely easy to find out these stats?
I use 4xsentinel which gathers all such info for me on my own account.
We will not break this information down by account unless there is a considerable and pressing commercial requirement to do so.

Q10. So if I trade microlots a tier 1 bank will always fill my micro order and that’s who you are connecting me with right? If tier 1 banks do provide deep liquidity then surely why does Alpari not guarantee fills in non volatile markets on microlots?
Tier 1 banks will not entertain the thought of providing liquidity directly to such tiny amounts.
Banks prefer to deal with commercial counterparties (such as ourselves) in marketable amounts, usually 5-10m at a time.
What we do is package unmatched risk and only offset with our trading partners when we have accumulated sufficient volume to do so.

Q11. Does Alpari guarantee to fill microlot orders in non volatile markets and if not why?
Of course we do guarantee fills on microlots in non volatile markets.
I have never heard of high liquidity causing issues with fills, and don’t expect to.

Q12. Why does Alpari guarantee ‘no re-quotes’ on some account types and not others?
Requotes have been around ever since markets were allowed to float and are a natural consequence of that.
If you are trading with the momentum of the market, and therefore by definition in the direction of least liquidity, then requotes are an inescapable fact of life that everyone has to deal with, from the busiest InterBank desks to the smallest retail trader.
The only current alternatives are DMA Pro accounts in which orders are sent on a Fill or Kill basis where although you can avoid requotes,
the risk is not getting a trade in (or out) at your preferred price at all.

Q13. Are there any disadvantages of having your orders matched in- house compared to matched on the open market via banks say via a pro account?
It will not impact the customer in any way.

Q14. Do micro and classic accounts enter Alpari’s own in- house market making process or are orders amalgamated for STP to tier 1 banks?
See answer 10
Due to the large size of our client base we often find that natural buyers are met by natural sellers, and we can therefore frequently match these trades off with no risk.

Q15. If so then shouldn’t Alpari clearly state this to the investor?
We do state this - ‘Instant Execution’
Details below:
Spread Betting, FX & CFD Trading Platforms

Q16. Why does the micro account have a max position size of 2 lots? Surely if I’m a small time high frequency trader Alpari would earn a lot on spreads when I open hundreds of positions per day (of course margin requirements being met).
Obviously we would earn the same amount on one trade of 2.0 lots as we would earn on 200 trades of 0.1 lots.
The limit has been set for commercial reasons.

Q17. Is it because these multiple small trades can only be matched in- house; as Alpari IS the market maker thus I could be creating liquidity issues in- house?
See answer 10/14

Q18. Some brokers offer depth of market information to clients (MB trading for example). FX is not centralised but a group of tier 1 banks will give you a very good idea of the amalgamated volumes. (Depth of Market Application, real time FX prices and quantities - Boston Technologies). Why does Alpari not offer this info to retail clients as you must agree it would be very helpful for the trader and does not create a conflict of interest for Alpari’s profit creation from spreads?
Metatrader 5 offers dept of market. We are in the process of testing the live version. Feel free to try a demo.
Link below:
MetaTrader 5 Platform - Alpari (UK)

Alex


Alexander Chadwick
Alpari (UK) Representative

Thanks Alex. Just to clarify.

Q4. Alpari promotes its brilliant order filling what statistical info does it keep proving this?
‘See answer 3 We regularly review fill rates to ensure that they do not fall below the advertised level.’

With EAs requiring rapid execution in ranging markets these fill rates are paramount to the EAs success, as with any black box system.
If the regularly reviewed fill rates are really good are you not compelled to reveal these stats as a marketing tool to clients, as many other brokers do not. Publish those review figures!


Q12. Why does Alpari guarantee ‘no re-quotes’ on some account types and not others?
Requotes have been around ever since markets were allowed to float and are a natural consequence of that.
If you are trading with the momentum of the market, and therefore by definition in the direction of least liquidity, then requotes are an inescapable fact of life that everyone has to deal with, from the busiest InterBank desks to the smallest retail trader.
The only current alternatives are DMA Pro accounts in which orders are sent on a Fill or Kill basis where although you can avoid requotes,the risk is not getting a trade in (or out) at your preferred price at all.

I understand the concept of re quotes but I believe you have not answered the question of why do some account types have a ‘no-requote’ promise and others not (if the in house market making for small volumes is as good as the interbank market making for large volumes).
So again why do some account types have a ‘no re-quote’ promise and others not?


Q14. Do micro and classic accounts enter Alpari’s own in- house market making process or are orders amalgamated for STP to tier 1 banks?
See answer 10
Due to the large size of our client base we often find that natural buyers are met by natural sellers, and we can therefore frequently match these trades off with no risk.

How frequently? Again do have any stats on these - it would provide a really good marketing edge if those figures were above par? Liquidity is fundamental in forex brokerages, especially where algorithmic trading is concerned. Has no financial engineer formulated a method to measure a brokerages liquidity? Or is the issue of liquidity that advantageous grey area of a brokerage?
How about;
Liquidity as a percentage in 24hours = Number of first time fills/ total number of orders x 100
For example a figure of 95% in 24 hours represents a more liquid environment than 16% in 24 hours.
Can I have some statistical analysis as liquidity is the ‘name of the game’ for algo trading. I dont believe it would affect Alpari adversely to do this; and transparency would attract clients.
Surely Alpari keeps figures for risk analysis?


Q14. Do micro and classic accounts enter Alpari’s own in- house market making process or are orders amalgamated for STP to tier 1 banks?
See answer 10
Due to the large size of our client base we often find that natural buyers are met by natural sellers, and we can therefore frequently match these trades off with no risk.

Q15. If so then shouldn’t Alpari clearly state this to the investor?
We do state this - ‘Instant Execution’

Can you please define ‘instant execution’ please with reference to slippage and guaranteed fills in context of liquidity?

The contract specifies
Instruments quoted in the Instant Execution mode
3.2. In order to open a position via the Client Terminal without using an Advisor, the Customer shall press the “Buy” or “Sell” button the moment the Customer is satisfied with the prices in the Quotes Flow.
3.3. In order to open a position via the Client Terminal using an Advisor, the Instruction must be generated at the current Quote.

How is your reference to ‘instant quote’ in context to liquidity questions.
All instant quote means is that if client wants to trade they can press a button - it may not or may not be filled depending on market volatility.
In volatile markets prices quoted are not necessarily tradable thus ‘instant execution’ is not guaranteed in volatile markets. True?


Q16. Why does the micro account have a max position size of 2 lots? Surely if I’m a small time high frequency trader Alpari would earn a lot on spreads when I open hundreds of positions per day (of course margin requirements being met).
Obviously we would earn the same amount on one trade of 2.0 lots as we would earn on 200 trades of 0.1 lots.
The limit has been set for commercial reasons.

What are those commercial reasons?


Thanks Alex for clarifying things

Thanks Alex.

Happy to help.

Just to clarify.

Answers in green BBYD.

Q4. Alpari promotes its brilliant order filling what statistical info does it keep proving this?
‘See answer 3 We regularly review fill rates to ensure that they do not fall below the advertised level.’

With EAs requiring rapid execution in ranging markets these fill rates are paramount to the EAs success, as with any black box system.
If the regularly reviewed fill rates are really good are you not compelled to reveal these stats as a marketing tool to clients, as many other brokers do not. Publish those review figures!


Q12. Why does Alpari guarantee ‘no re-quotes’ on some account types and not others?
Requotes have been around ever since markets were allowed to float and are a natural consequence of that.
[I]If you are trading with the momentum of the market, and therefore by definition in the direction of least liquidity, then requotes are an inescapable fact of life that everyone has to deal with, from the busiest InterBank desks to the smallest retail trader.
The only current alternatives are DMA Pro accounts in which orders are sent on a Fill or Kill basis where although you can avoid requotes,the risk is not getting a trade in (or out) at your preferred price at all.
[/I]
I understand the concept of re quotes but I believe you have not answered the question of why do some account types have a ‘no-requote’ promise and others not (if the in house market making for small volumes is as good as the interbank market making for large volumes).
So again why do some account types have a ‘no re-quote’ promise and others not?

This has been answered fully.


Q14. Do micro and classic accounts enter Alpari’s own in- house market making process or are orders amalgamated for STP to tier 1 banks?
See answer 10
Due to the large size of our client base we often find that natural buyers are met by natural sellers, and we can therefore frequently match these trades off with no risk.

How frequently? Again do have any stats on these - it would provide a really good marketing edge if those figures were above par? Liquidity is fundamental in forex brokerages, especially where algorithmic trading is concerned. Has no financial engineer formulated a method to measure a brokerages liquidity? Or is the issue of liquidity that advantageous grey area of a brokerage?
How about;
Liquidity as a percentage in 24hours = Number of first time fills/ total number of orders x 100
For example a figure of 95% in 24 hours represents a more liquid environment than 16% in 24 hours.
Can I have some statistical analysis as liquidity is the ‘name of the game’ for algo trading. I dont believe it would affect Alpari adversely to do this; and transparency would attract clients.
Surely Alpari keeps figures for risk analysis?


Q15. If so then shouldn’t Alpari clearly state this to the investor?
We do state this - ‘Instant Execution’

Can you please define ‘instant execution’ please with reference to slippage and guaranteed fills in context of liquidity?

The contract specifies
Instruments quoted in the Instant Execution mode
3.2. In order to open a position via the Client Terminal without using an Advisor, the Customer shall press the “Buy” or “Sell” button the moment the Customer is satisfied with the prices in the Quotes Flow.
3.3. In order to open a position via the Client Terminal using an Advisor, the Instruction must be generated at the current Quote.

Instant Execution means that you do not have to request quotes, as you see real-time dealable prices in the ‘Order’ window and in the ‘Market Watch’ window.

Further details below:
MT4 User guide - Alpari (UK)

How is your reference to ‘instant quote’ in context to liquidity questions.
All instant quote means is that if client wants to trade they can press a button - it may not or may not be filled depending on market volatility.
In volatile markets prices quoted are not necessarily tradable thus ‘instant execution’ is not guaranteed in volatile markets. True?

Again, if you are trading with the momentum of the market, and therefore by definition in the direction of least liquidity, then requotes are an inescapable fact of life that everyone has to deal with, from the busiest InterBank desks to the smallest retail trader.


Q16. Why does the micro account have a max position size of 2 lots? Surely if I’m a small time high frequency trader Alpari would earn a lot on spreads when I open hundreds of positions per day (of course margin requirements being met).
Obviously we would earn the same amount on one trade of 2.0 lots as we would earn on 200 trades of 0.1 lots.
The limit has been set for commercial reasons.

What are those commercial reasons?


Thanks Alex for clarifying things

Answers to Q.4, Q.14 & Q16: We will not break this information down unless there is a considerable and pressing commercial requirement to do so.

Alex


Alexander Chadwick
Alpari (UK) Representative

Thanks for your quick reply Alex.

Conclusion

Original customer question:
Do you provide statistical info on percentage of orders filled/ rejected?

Alpari answered
No, we do not provide statistical information on the percentage of orders filled/rejected. Since many rejections will occur at the client terminal accurate figures are impossible to quantify.

Customer then asked:
Is order filling information critical transaction information? Firstly as transactions (filled or not) are a regulated activity and second this information is important for FSA complaints procedures?

Alpari answered
You are correct. Transactions (those that are received) are a regulated activity. Since many rejections will occur at the client terminal accurate figures at all levels are impossible to quantify.

Customer asked
Alpari promotes its brilliant order filling what statistical info does it keep proving this?

Alpari answered
We regularly review fill rates to ensure that they do not fall below the advertised level.

So Alapri does review fill rates (somehow) after asking the same question 3 times.


Conclusion; How does Alpari review fill rates if ‘accurate figures are impossible to quantify’


The question is of transparency and whether it’s important in trading.
The brokerages boast ‘high liquidity with tier 1 banks’ but refuses to prove statistically its 'liquidity’
It is speculated that 90% (if not more) of retail traders lose, that is they are betting the wrong way, that is when the market trends, 90% of retail traders will provide liquidity for winning traders.

Example;
Point 1
The market breaks out and trends long.
Statistically most amateur traders lose thus they will sell when they should be buying thus providing liquidity for buyers.

Point 2
Most amateur traders have small accounts that tier 1 banks would never entertain
Thus these trades are naturally matched in-house by Alpari (as their agent has told me see above)
So all the amateur traders being matched in house are selling (losing) providing excellent liquidity for buyers

Point 3
Logically then the in-house matching should look something like this
Percentage of buy orders matched in house first time = 90%
Percentage of sell orders matched in house first time = 10% (all the losing amateurs are selling - no in house buyers)

Point 4
But imagine if the stats actually looked like this
Percentage of buy orders matched in house first time= 10% ('the market’s too volatile, latency too high!)
Percentage of sell orders matched in house first time = 90%

Do the amateur traders feel like it’s easy to sell unwittingly into a bull market and difficult to buy into a bull market when markets are volatile? When actually in house it should be the other way round.

Point 5
Could an explanation be that brokerages are accumulating all those amateur sell positions in house (Alpari has apparently more than 180 000 customers) then off-loading them as one big packet onto the interbank market as liquidity for institutional buyers? Wrapping up profits on the spread instead of matching them in house and providing that famed liquidity?
But they don’t need to match them in house because no amateur trader can BUY (re quote…re quote…re quote)
Now imagine a dealer plug in provided by metatrader for the brokerage that stops customers entering the market correctly i.e. to buy in this case.


On the requote issue - this is the info a terminal sends when opening a position

Account number:X
Currency Pair:XXX/XXX
Price: X
Volume:X
Account balance:X
Margin available:X
Order: Buy or Sell (limit stop etc)

Does this info really transmit slower than it takes billion pound orders to move the market (with today’s technology) Maybe?

It does take skill and experience for the brokerage to hold orders like this ready to offload them but this is probably one strategy used to make profits.
If they hold orders in the wrong direction then customers make money and the brokerage has to hold its hedges for longer but spread profiteering is still on until the next swing.

Why not make the fill rate statistics live and public? I have a niggle about this.

Maybe banks see all the retail brokerages just as liquidity providers for interbank dealing in fast volatile markets.

Hi Alex,

Hope you are still here…
The candles you provide you customers with, do they close at UK or US market close?
If UK by default, is there a way to switch to US in some settings menu?

Fil.

Hi Fil,

Happy to help.

With Alpari (UK) you may trade Forex from 22:00 (UK time) Sunday to 22:00 (UK time) Friday.

Our MT4 trading platform server time zone is Eastern European Time (EET) or UK time +2. The first candle in the chart starts on Monday at 00:00:00 EET and the last candle will close on Friday at 23: 59:59 EET.

The time zone cannot be changed. Having times in EET avoids having small candlesticks on Sundays and therefore allows the running of technical analysis and backtesting to be straightforward.

Alex


Alexander Chadwick
Alpari (UK) Representative

Thanks Alex,

  1. So the simple answer is, the close of a daily candle on your platform is not a NY close time, correct? I’m new here, so no idea what are server times or trading times. Just interested in candlestick close time, sorry. Can you confirm?
  2. Do you have any browser based software as well or rather only MT4? I’m asking as I can not install any software on business PC and would like to check my trades from work via browser interface from time to time.

Fil.

Hi Fil,

Our candles are based on Eastern European Time (EET) or UK time +2. The first candle in the chart starts on Monday at 00:00:00 EET and the last candle closes on Friday at 23: 59:59 EET, which coincidentally does coincide with the NY close time of 17:00 Eastern Standard Time (EST). As long as the time difference between the UK and US is five hours this will be the case. However, there are a couple of days in the year when this is out of sync.

Alpari UK does offer multiple trading platforms, however these are not browser based. If you would like to check your trades while at work, why not give one of our mobile apps a go? It’s available on the iPhone and Android.

Alex


Alexander Chadwick
Alpari (UK) Representative