I shorted Eur/USD at GMT+1 on 28 Dec at 03:49 with a SL at 1.30712 and at 03:59 i was closed out on MT4 demo at 1.30712. Yet, on the 1 Minute candlestick at 03:59 and for the next 90 minutes the Eur/USD price never showed more than 1.30708. Can anyone tell me why the tick ask price of 1.30712 (my SL point and close out) never showed up in the candlestick show / high price point on the chart? Thanks in advance for anyone’s help.
John
How much was the spread at that time?
I do not have specific information nor can I find it on MT4 but my recollection is that the spread was at the time less than 2 pips and probably on the order of 17 pipettes (1.7 pips). I saved the history M1 at the 03:59 GMT and the High was 1.30697 which is 1.5 pips below my SL of 1.30712. So your question is along the lines i was thinking that the Close on my SL was within the spread. That said, i do not understand why the Candlestick (and my M1 History data) does not show the price as 1.30712 as a high in the relevant time frame. Thank you for your interest and reply, which i find helpful.
Good, you’ve thought it out, so many newbies around here expect everything on a plate, if you expect that in Forex you will never succeed, so congratulations, you have the right attitude to start with, a good work ethic.
Now the answer! On MT4, not all brokers are the same, but on MT4 the candlestick shows the bid price, there is nothing to show the ask price, which I’m nearly certain that will have stopped you out, i.e. 1.30697 + spread.
I found the answer and your question helped. i am using Alpari (US) as broker and the MT4 platform and the User Guide says that the bars in the terminal are built and shown only for bid prices but closing of shorts uses the ask price. If one goes onto the chart showing the bid and ask lines, one can see the bid price as drawing the candlestick, and the ask price is not used in building the candlestick. So your question helped me find the answer --it is bid price for the candlestick but the ask price is used to close out the SL on short positions. I thank you.
My last crossed with yours in cyberspace. We were thinking along the same lines. Best.
Cool, now let me give you a great piece of advice, Ok I repeat this time and time again, look out for the most popular and enduring threads on this forum, they are such for a very good reason, stick to them, don’t get sidetracked, and you will learn the ropes and it’s one of the best chances you have of making a successful trading career.
Unfortunately, this week will be dead so some of those threads will have fallen off the front page, so look further than the front page and look out for the ones that spring back up next week, but it could well be Wednesday.
Got it; will do. Thanks.