Alright so here it goes.
I tried a forex learning app then opened an Oanda practice account. On both the app and Oanda practice account every time I place a trade wether long or short it was placed at the price or pip I placed it at.
I then opened a live account with Oanda and every single time I place a trade either long or short it is always several pips off.
If place it long it will show on the chart several pips higher than where I placed it. So the value of the currency has to climb several pips before I start making a profit.
If I place it short it will show on the chart several pips lower than where I placed it. So the value of the currency has to go down several pips before I start making a profit.
My initial chat rep said it was slippage and I needed to put in a stop.
The second chat with another rep just gave me a link to a you tube on how to place a trade which I am already doing. Is it Oanda slippage or am I not placing my trade correctly. Per the video on how to place a trade by Oanda I select the number of units and place the trade. Yet the trade is never where I placed it.
Anybody experience this with Oanda?
This is where the brokers make their money, It’s called a spread. Most brokers do it this way rather than charging a flat fee per trade like with stocks.
Typically EURUSD has the lowest spread, usually 2 or 3 pips, but some pairs can have spreads much wider. Also, spreads will widen during times of higher volatility, such as news events. Brokers also widen spreads at the end of each trading day (5pm New York).
Thanks for the reply MattyMoney. Now it makes sense. So when placing a trade just take into account the spread and wait to place it at the highest or lowest price. Thank you for the explanation.
I gotta say as far as forums go this one gets a 10 out of 10. Everyone here seems to be available and ready help. Thanks.
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