Admiral Markets, one of the leading forex brokers, which is regulated by the UK financial regulator, will apply a new price error parameter, this innovation is aimed at helping investors avoid significant losses in volatility. Also, the quality of service should improve considerably.
So, how will it all work? Let’s say you are a client of this broker. Then you will be able to set the allowable price deviation for the limit order. And if the price fluctuation exceeds this limit, the transaction simply will not be opened.
What does it give?
This is a kind of guarantee that you will not become a victim of price slippage, which means that you will not incur a loss with price gaps, because the transaction will not be opened.
But that’s not all. The risk associated with stop orders is also significantly reduced.
But if the account was not executed due to low liquidity, then in some cases you can even execute the order at the nearest available price. So now there can be no question of automatically opening positions with high volatility, as well as closing them due to an increase in the spread just when important news comes out and you can make good money.
Moreover, clients can also take advantage of partial execution of the transaction, when the broker does not reject the entire large transaction, but does not execute it in full.
