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The Forex Edge by James Dicks

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CHAPTER 14SLIPPAGE AND STOP HUNTING

SLIPPAGE

Let’s talk about one of our favorites, slippage. I think all of us who trade find that at some point during our trading we experience slippage. Well, the forex market is certainly ripe for this practice. With the big movements in the forex market, it is easy for the brokers to create slippage. So you need to keep an eye on the unscrupulous brokers out there.

There have been some substantial investigations under way by the NFA on its member retail forex firms. You can visit the NFA’s Web site for a current list of registered forex firms. The NFA wants to see whether firms take advantage of small price movements that occur between the time when a customer orders a trade and the time when that trade is ...

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