OANDA vs IB

[swingerdan]

Quote from TradingWise:

Press the two icons at the top of the chart to show the bid/ask price.

I see what you mean. I clicked the show average price and the candle now follows the price. But the average price at the time is still different (higher in the case of a sell trade) than the other brokers who are using the bid to follow the candles. This 1/2 spred (especially in wide spread, high volatile periods) seems to be to Oanda's benefit. Seems to me, tell me if I'm wrong, that Oanda stands to profit by the spread and then again by 1/2 the spread.

Wow, I just used around $50,000.00 of Oandas play money and took profit of $1,100.00 on a $1,500,000.00 AUD/JPY buy trade from 22:29 to 4:16, Aug-16,17. Wish I had that kind of real money.

 

[TradingWise]

Quote from swingerdan:

I see what you mean. I clicked the show average price and the candle now follows the price. But the average price at the time is still different (higher in the case of a sell trade) than the other brokers who are using the bid to follow the candles. This 1/2 spred (especially in wide spread, high volatile periods) seems to be to Oanda's benefit. Seems to me, tell me if I'm wrong, that Oanda stands to profit by the spread and then again by 1/2 the spread.

Wow, I just used around $50,000.00 of Oandas play money and took profit of $1,100.00 on a $1,500,000.00 AUD/JPY buy trade from 22:29 to 4:16, Aug-16,17. Wish I had that kind of real money.

I believe the candle is fixed on the average price. You can show the bid, ask and/or average price on your chart to accommodate for orders triggering off the bid/ask price. If you want to look back in history to see if for example your limit order should have been triggered while it did not, you should switch to the min/max chart to get accurate results.

I do not see how Oanda can profit from this as it's merely a graphical display preference. The stops, take profit or limit orders are triggered off the bid/ask.

Also, Oanda hedges net exposure, so Oanda does not have any stake in the opposite of your position.

 

[Remiraz]

Quote from taboni:

Just curious why you would want a buy stop for instance to be triggered when ask price=stop price.
Personally I prefer my stops to be done when, on a buy stop for instance, bid price=stop price. In my 18 years of trading in FX, I have witnessed far too many instances where the market raced to a stop level and then backed off. I put alot of thought into where my stops should be placed and I want to make sure my technical points are truly broken in order to stop out a position, not just touch and retrace.
So it costs an extra 2 pips, for my money it is well worth it.

Also say spreads aren't 1 pip wide as after figures, etc as the interbank market goes a bit wider. Say the spread jumps to
5 pips, even for a second. Say you have a stop at 60 to buy and the market goes 52-54, then 55-60, then 52-54 again. You are executed under the ask=stop rules. No thanks. Correct me if I am wrong but this is how I see it.

if you don't want your stop to get "hit & run" and don't mind costing an extra 2 pips, just set your stops 2 pips larger.

 

[Remiraz]

Quote from TradingWise:


Also, Oanda hedges net exposure, so Oanda does not have any stake in the opposite of your position.

how can we know for sure?

why would there be banks willing to deal for 1 unit of exotic pairs?

 

[pipscooper]

Quote from Remiraz:

how can we know for sure?

why would there be banks willing to deal for 1 unit of exotic pairs?

If you're worrying about a 1 unit trade, you got problems, and it has nothing to do with your market maker.

 

[sakimonohito]

opening minimum lots at IBforex are 25k. what about closing? can you scale out of a 25k lot?

 

[TradingWise]

Quote from Remiraz:

how can we know for sure?

why would there be banks willing to deal for 1 unit of exotic pairs?

Nothing in life is for sure, you've got to trust people at some point. Oanda offers a great deal of transparancy, responds to all inquiries with helpful replies and resolves matters fairly. Their overall integrity is not matched by many.

Also, net exposure is only hedged over a certain threshold(minimum size at interbank level probably). There is no need to hedge every $1.

 

[Kicking]

Quote from sakimonohito:

opening minimum lots at IBforex are 25k. what about closing? can you scale out of a 25k lot?

No you can't.
To reply to Steve IB, the example you describe is just what should not happen 20 pip spread should not happen even at 8:30 am NFP release. Other platforms can offer smaller spread, I am sure IB can as well, 10-15pip spread at the exact time of the release should be the max. Anyway I 'd much rather take a chance and have my stop triggered for no reason other than the MM ripping me off than see a stop executed 50 pips further away because of the current stop logic. That said I sense that will happen too often on IB IDEAL that is why I prefer OANDA. I haven't traded with them during big econ. releases yet and there could be problems as well but I feel confident that the executions will be fair/

I am not a programmer , IB should offer the option to set trigger method to bid ask for cash products as well.

 

[virgin]

When is Oanda going to offer buy and sell stop entry orders ?
And trailing stops ?

Those are the things I am missing to have a perfect platform.

Anybody has news on this ?

 

[TradingWise]

Quote from virgin:

When is Oanda going to offer buy and sell stop entry orders ?
And trailing stops ?

Those are the things I am missing to have a perfect platform.

Anybody has news on this ?

The Oanda limit orders trigger on both sides of the market. Your limit order will be executed as soon as the market reaches the specified level. I think this is what you mean by buy and sell stop entry orders.

The trailing stop is not going to be implemented as far as I can see - at least not any time soon.