Thread: Has anyone noticed negative spreads before?

I have lately seen some unwanted spreads and really acted on them that means the bid is greater than the ask. Basically you start the trade at a profit.

When I have noticed the spread do so it just lasts momentarily so that you do need to be marginally quick/lucky in order to pinpoint an entry like this. Anyone else have this happen? If so, what platform?

I wrote a tiny indior to track spreads on MT4, since I was curious if MT4 traders have these changes in spreads too. Astonishingly, on IBFX the disperse dropped down to zero on many pairs on 02/25/08 in 08:58:02 GMT

I know this happens on ECNs, but was shocked to see it happen in a dealer. I'm still confused as to the reason why. It only lasted of about a second, no actual time to acquire an order in on it, however.

Cool! Who is your broker?

MB trading

Originally Posted by ;

Cool! Who is your broker?

FXCM think it or not.





Mbqb11,

Are you really saying you've noticed this as well?

It happens all of the time on ECN brokers, however whether it poses a valid arbitrage opportunity is another matter.

I think I want to add that I do NOT think it is a good idea to put in a trade simply because you may start off a pip.

Have you seen adverse spreads on other brokers? Sounds like an interesting concept.

This morning / last night only after the German IFO came out, I had been visiting this occurring for a few momemts and it was 10-15 pips gap. I wished to take advantage of it but it freaked me out that I didn't (I just recently moved from MM to ECN and was not sure if I was really seeing what I was visiting).

I understand the concept, but has anybody actually taken advantage of this on a live account with MBT and what has been the consequence?
- do you actually end up pips up whenever the trade opens?
- does the fill actually occur anywhere NEAR the displayed price?

Thanks,
Bear

Accurate interbank pricing has variable spreads, tight, and large, inverted....that is the brutality of the true market. Market makers don't show accurate pricing, ECNs do, why I select ECNs anyday.