I know that spreads getting wider in news time and facing a loss and negative balance let’s say 8 pips but is it mean that after pass the news time the account balance get back to being positive and spreads getting tight ?
How if you have put SL and the spreads touch the sl because of wide spreads is it close the position My another question is we open position and buy eur/usd and price go up and we get slippage due to late execution , is it always negative ?
What’s your experience about these two and how to avoid them playing on longer TF 1H and keeping the position over nights for few days
Spreads are something that you will always have. And on big news events they czn increase a lot. There van be a big difference in spreads between brokers especially during big news evens broker A could have a 8 pip spread while broker B has a 32pip spread.
If the spread tightens again your P/L adjusts. But rarely does the price stay perfectly flat after big news so you will either go positive or negative.
The higer timeframe you trade, the wider stops you generally have (in pips) and thus the less the spread matters.
Slippage can be borh positive and negative. In your case if you go lomg and you get filled later (higher) than planned you would have a negative slippage as you have less pips left to your profit target.
If your SL gets hit due to high slippage or spread, you are just stopped out. It happens. Don’t get frustrated about it.
You can never completely avoid spread and slippage.
Try to look at the spread/slippage as a percentage of your SL (and keep it al less than 10% or whatever you wish)
[QUOTE=“Dutchtrader1;736532”]Hi Markaria, Spreads are something that you will always have. And on big news events they czn increase a lot. There van be a big difference in spreads between brokers especially during big news evens broker A could have a 8 pip spread while broker B has a 32pip spread. If the spread tightens again your P/L adjusts. But rarely does the price stay perfectly flat after big news so you will either go positive or negative. The higer timeframe you trade, the wider stops you generally have (in pips) and thus the less the spread matters. Slippage can be borh positive and negative. In your case if you go lomg and you get filled later (higher) than planned you would have a negative slippage as you have less pips left to your profit target. If your SL gets hit due to high slippage or spread, you are just stopped out. It happens. Don’t get frustrated about it. You can never completely avoid spread and slippage. Try to look at the spread/slippage as a percentage of your SL (and keep it al less than 10% or whatever you wish) Good luck[/QUOTE]
Hi Dutch trader
Nice explanation thank you
What is (P/L) stands for ,is it pip value
How exactly my pip value get affected after passed major news trends if I trade 5 lot volume