http://www.angelfire.com/jazz/kalzayani/Currencies.htm
I Just ftped is...the index is with gold color...
Stupid Eur/USD Trade
- Thread starter wep56
- Start date
http://www.angelfire.com/jazz/kalzayani/Currencies.htm
I Just ftped is...the index is with gold color...
Man some of you guys are really funny. I suppose that maybe you think that your opinion is written in stone somewhere.
First of all I don't think that I tried to blame anyone for anything. I accept full responsibility for anything that I do. PERIOD!!!!
Second of all, if you read my original post and pay attention to what I actually said, you should understand that there is a discrepancy in terminology at the Forex.com dealing station in regards to STOP LOSS orders.
I have been reading this site for quite awhile and rarely posting until today. Seems to be alot of self appointed trading gurus around here that try to jump on any opportunity to try to make others look foolish. I think that is really funny as hell.
For me, trading is what really matters and I'll match any of you guys trade for trade in the FX. And yes I have been an active trader in "The Big One". So what??
I didn't come here claiming to know more than anyone else and I don't accept your insinuation that I know less.
A stop loss is a stop loss is a stop loss.
So exactly what is your issue? You don't like it because I came here and admitted that I made a stupid trade on Monday?
You don't like it because I pointed out that a stop loss order at Forex.com is really not a stop loss order but a stop order? Even though they call it a stop loss?
As far as the trade goes, no big deal. I made the 60 pips back and then some on my next trade.
Wow, such confusion over something so simple.
There are 2 types of stop orders - a plain old stop (or stop-market) or a stop-limit.
A plain stop (or as wep insists calling it stop-loss) is an order entered with a certain level, that when hit turns the order into a market order.
A stop-limit is an order entered with 2 levels - one that when it hits causes it to turn into a limit order with the limit being the second level.
Of course either one can be used no matter what your current open position or lack thereof. They can be entry orders or exit orders - your broker (real or fx <G>) doesn't really care. Thus calling them "stop-loss" orders doesn't make any sense because they don't have to offset an existing position.
There are 2 types of stop orders - a plain old stop (or stop-market) or a stop-limit.
A plain stop (or as wep insists calling it stop-loss) is an order entered with a certain level, that when hit turns the order into a market order.
A stop-limit is an order entered with 2 levels - one that when it hits causes it to turn into a limit order with the limit being the second level.
Of course either one can be used no matter what your current open position or lack thereof. They can be entry orders or exit orders - your broker (real or fx <G>) doesn't really care. Thus calling them "stop-loss" orders doesn't make any sense because they don't have to offset an existing position.
I understand what you are saying. Not that difficult. And it is not me calling it a stop loss it is FOREX.com calling a stop loss. Since they refer to it as a stop loss order, then it should be cancelled when the position is closed. Or else it is not a stop loss order but a stop limit order a (buy sell) stop or just a plain stop.
Talked to Forex.com about it and their response is that it is not the correct terminology and that the issue has been brought to management for review. They admit that it should be listed as nothing more than a stop order.
Be all that as it may, OCO is the only resting order which automatically cancels another order upon execution.
I learned this the hard way back in the early '90s as a greenhorn commodities trader.
No broker I have ever employed cancelled a stop order for me when I took a profit and went flat. If I failed to cancel my protective stop "(-loss)" order manually, it was liable to get filled and present me with a surprise (and not always a pleasant one).
The crux of the biscuit is this: Your broker works for you, but has no obligation or authority to make any trading decision for you.
Hence, you must pay attention and be precise in managing your open trades.
I'm happy it worked out for you, wep56. You were lucky -- this time.
...well, you asked for opinions.
I learned this the hard way back in the early '90s as a greenhorn commodities trader.
No broker I have ever employed cancelled a stop order for me when I took a profit and went flat. If I failed to cancel my protective stop "(-loss)" order manually, it was liable to get filled and present me with a surprise (and not always a pleasant one).
The crux of the biscuit is this: Your broker works for you, but has no obligation or authority to make any trading decision for you.
Hence, you must pay attention and be precise in managing your open trades.
I'm happy it worked out for you, wep56. You were lucky -- this time.
...well, you asked for opinions.
Don't know what kind of relationships that you guys have with your brokers but mine either deal on my terms or I don't deal with them. Never had a problem finding a competent broker willing to do so.Quote from Idoogye:
I learned this the hard way back in the early '90s as a greenhorn commodities trader.
No broker I have ever employed cancelled a stop order for me when I took a profit and went flat. If I failed to cancel my protective stop "(-loss)" order manually, it was liable to get filled and present me with a surprise (and not always a pleasant one).
The crux of the biscuit is this: Your broker works for you, but has no obligation or authority to make any trading decision for you.
For two and one half years, from 1996 until 1999 I was daytrading full size S&P contracts. There was no mini back then as I remember. Very, Very few people would dare to place an online order back then but it was possible. Too much slippage and bad fills. Margin requirements were $4500 per contract with nothing carried overnight. All positions needed to be closed by the end of the day. So you could actually controll 10 full size s&p's with a $45,000 account if you had those kind of guts.
Since I maintained a minimum $60,000 account, my typical trading day with my broker went like this:
Ring Ring: "Bob **** speaking."
"Bob this is (wep56)>>Buy 4 S&P at market> stop loss 6500"
Click>>End of conversation. Order sent to the pit. Filled within 5-10 seconds.
1-2 hours later.
Ring Ring: "Bob **** speaking."
"Bob this is (wep56)>>Sell 4 S&P at market."
Click>>End of conversation. Order sent to the pit. Filled within 5-10 seconds. Always with minimum negative slippage and sometimes with positive slippage. There is not enough time to discuss stops and stop losses. My broker knew that if my exit order contained the same number of positions as my open order, that I intended to be flat and my stop loss order was automatically cancelled by him. EVERYTIME-EVERYDAY !!!! And it required no additional conversation or OCO's and never once was I filled on a stop loss order while I was flat.
And there was definately a difference betweet a stop order and a stop loss order. If I were long 2 positions and I wanted to reverse at a certain price the order would be > "Sell 4 S&P>6480 stop. No other conversation required. If my stop were hit I would be short 2 positions. If my stop were not hit, my original position would be sold at market price a couple of minutes before the close. Automatically by my broker. And no need to call to make sure that the opriginal stop loss order had been cancelled since my broker took care of it. If there were ever any confusion, my broker would immediately call me after the fill to verify that we were on the same page.
I've never had a problem finding this type of broker. Maybe you guys have.
Your experience is EXTREMELY unusual and not in accordance with industry norms. Your thought process, terminology, and manner of placing orders was/is incorrect. Your broker was simply taking a risk and likely thought that he understood your intentions. It could have backfired on him because he was not handling your orders within generally accepted guidelines. No need to try to rebuff me with some sort of person attack. This is nothing personal, just simple right/wrong. I don't expect you to take my word of course, i am unknown to you. Let other industry experts back me up.