Thread: trading with 10 millions VS 1 million ??

Ive done 10 mill order size with interbankfx using immediate implementation, I did notice my order wrapped for seconds but it got fill.

Originally Posted by ;

yes, always. If you're trading with a account, its good practice to break your orders . Not only does it spread out the implementation risk (eg your broker screwing you or a clerical mistake), but it also gives you the ideal implementation.

You mean if you want to place a 10 lot order, place five two lot orders or two five lot orders. . .that type of thing?

Originally Posted by ;

yeah sorry I wasnt clear on this... narafa already gave the answer over - the buyer of the situation would like to acquire the cheapest possible price. When the buyer begins buying, the price will move up, which makes it expensive to increase the position. The worst part is, the price is artificially inflated as a result of the buyer herself. Yes, the motion is in favor of their current position, but the buyer doesnt need that to happen until AFTER the position on.

Thanx Merlin, I've always wondered this. I understand this is the reason why the COT isn't used as an immediate indior only because they move places in and out over time, i.e, they still buy while everyone is selling and vice versa.

What would be contemplated figures large enough to do that?

One other thing, just how much does it take to move a pair? How is that determined? I've read where half a billion from an MA or whatever will move a pair then and a particular percentage less after that but how can that work? I'm convinced it differs at various times of day and such but I've been really curious how that is set up.

Originally Posted by ;

Thanx Merlin, I've always wondered about this. I understand this is why the COT isn't used as an immediate indior because they move places in and out over time, i.e, they buy while everyone is selling and vice versa.

What would be considered amounts large enough to do this?

One other thing, just how far does it take to move a pair? How is that determined? I've read where half a billion in an MA or whatever will move a pair a percent and then less then but how can that work? I've been really, really curious how that is set up although I am convinced it differs at various times of day and such.

On a market, the ask price is coupled with an amount/volume the seller may give one of the currency you're buying. When you fill that sum together with your long order, the next best price (always greater ) becomes the new ask price, and the bid moves onto it. No magic involved, just supply and demand. To see a graphic example, go back to darkstar sticky in the brokers forum.

Originally Posted by ;

ive completed 10 mill order size with interbankfx using immediate implementation, I did detect sometime my order hung for sereval moments but it obtained fill.

10 million USD could be handled by means of a bucket shop's book keepers. 3 billion can't, I think. Your retail broker is a trade, not a one, in the sense your orders are filled contrary to the broker's orders, not on the market. The broker generally has sufficient liquidity to get this done for these amounts. Your activity is invisible to the Earth, and that's the reason why I love dealing with these guys and being little. I do not work for a brokerage and this advice should be taken with a grain of sodium chloride.

Originally Posted by ;

10 million USD could be handled by means of a bucket store's book keepers. 3 billion can't, I believe. Your retail broker is a trade, not a real one, in the feeling that your orders are filled contrary to the broker's orders, not to the market. The broker usually has enough liquidity. Your personal activity is invisible to the Earth, and that's the reason why I love being little and coping with these guys. I don't work for a brokerage and this advice should be taken with a grain of sodium chloride.

Don't matter as long as I get arranged.

Originally Posted by ;

does anyone know if there's difference on forex when you exchange news with 10 millions or with 1 million. I mean when u have 100k in account and use 10:1 leverage u operate with 1 million....trades are executed immediately. . .all OK.

So if you use leverage 100:1 than operate with 10 million. Are the trades executed slower?? Or it ought to be around rate?

The fill you get comes to the following variables:

1. The currency pair which you're trading (If you are trading EUR/USD you will be more inclined to get 1 M off as fast as you're 10 M compared to if you're trading USD/CAD such as )

2. The liquidity in that pair in the interbank market at the time you place the transaction ( This will depend on number 1 and just how big the news event which you're trading is and just how near expectations the news comes in. The bigger the news event and the further away from expectations that the news comes in the less likely you'll have the ability to get 1 off M as easily as 10 M)

3. The access the broker which you're trading with has into the liquidity in the interbank market or their willingness to choose and hold the opposite side of the transaction if they're a market maker. (In general the bigger the broker the greater access they will get into the liquidity available in the interbank market)

Hope that helps.

FXTrader1979

Originally Posted by ;

yeah sorry I wasnt clear on this... narafa already gave the answer above - the buyer of the situation wants to obtain the cheapest possible price. After the buyer begins buying, the price will move up, which makes it expensive to add to the position. The worst part isthe price is artificially inflated as a result of the buyer . Yes, the movement is in favor of the current position, but the buyer doesnt need that to happen until AFTER the position that is full on.

Originally Posted by ;

Since a buyer wants to establish his standing at the cheapest possible price, so if he is buying big fast, he will wind up buying his entire standing at much higher prices rather than amassing his entire standing slowly at more attractive prices. . .So he is moving the market contrary to his intention not contrary to his current standing...


Thanks,

Nader

Originally Posted by ;

10 million USD can be handled by a bucket store's book keepers. 3 billion can't, I think. Your retail broker is a trade, not a real one, in the feeling your orders are simply filled contrary to the broker's orders, not to the market. The broker usually has enough liquidity to get this done for all these amounts. Your personal activity is invisible to the Earth, and that's why I love dealing with these men and being small. I don't work for a brokerage and this advice ought to be taken with a grain of sodium chloride.

Thank you all

Originally Posted by ;

You mean if you want to put a 10 lot order, set five lot orders or two five lot orders. . .that kind of thing?

yep! But on a 10-lot order, I will break it down into 10 1-lot orders. Not that a 10-lot order would find a bad fill or move the market (1mil order is considered rather small), its just good practice to distribute the execution risk.

Originally Posted by ;

does anyone know whether there is gap on forex once you exchange news with 10 millions or with 1 million. I mean when u have 100k in account and use 10:1 leverage u operate using 1 million....trades are implemented instantly. . .all OK.

So if you use leverage 100:1 than u operate with 10 million. Are the trades executed Or it ought to be around same speed?

Hey,

My broker, Oanda, offers garanteed fill around 20M, or maybe 10M, can't remember. I'm sure most market manufacturers offer the exact same type of liquidity so I would presume that the 100M would be instantly executable if you reach 10 brokers. Since they state that they do it will be up to the home to locate the liquidity if they garantee.

Not sure about this though, what if someone hit every market manufacturer for maximum permitted lots - if the liquidity is not in there then somebody must supply it, the home in this case. But Oanda assert that they hedge every position, so how can this be? How can they claim to hedge and fill both aren't possible.