Good day in general, but it’s a shame we had to cut back the size initially because of all the trade rejections and delays (and because of the fear of having another trade freeze up on us, like on Friday 11/3/06 [see 11/3/06 journal entry). Even today, there are many trade rejections. These are just some examples taken from the MT4 trade log to give you an idea what’s happening (the sections in RED were added by me):
EXAMPLE1
12:50:24 ‘1002’: request was accepted by server
12:51:00 ‘1002’: request in process12:51:00 ‘1002’: order buy 5.00 GBPUSD opening at 1.9045 sl: 0.0000 tp: 0.0000 failed [Off quotes] (order rejected 36 seconds later)
Why did the system take 36 seconds to respond? In this example, it would have been possible for the price to have plummeted from 1.9045 and for the trader to have found out 36 seconds later that he had been filled at a much higher price than the market price (see EXAMPLE4 below).
EXAMPLE2
13:31:07 ‘1002’: request was accepted by server
13:31:08 ‘1002’: request in process13:31:25 ‘1002’: order #63130 sell 5.00 GBPUSD closing at 1.9005 failed [Off quotes] (order rejected 18 seconds later)
The example above shows the trader’s attempt to close out an existing position at a profit of 2 pips that was rejected 18 seconds later. Why? One thing is waiting 18 seconds to get into a position, but it’s a totally different thing waiting 18 seconds while trying to get out of position. 18 seconds is an eternity in any market. Thank God that we have a trader with a lot of balls guts!
EXAMPLE3
13:41:58 ‘1002’: request was accepted by server
13:41:59 ‘1002’: request in process13:42:09 ‘1002’: close order #63304 buy 5.00 GBPUSD at 1.8989 sl: 0.0000 tp: 0.0000 at price 1.8990 (exit order placed at 13:42:09 UK time)13:42:10 ‘1002’: request was accepted by server13:42:23 ‘1002’: order #63304 buy 5.00 GBPUSD at 1.8989 was modified -> sl: 1.8981 tp: 0.0000 (stop loss is activated 25 seconds later)13:42:23 ‘1002’: request in process13:42:24 ‘1002’: order #63304 buy 5.00 GBPUSD closing at 1.8990 failed [Off quotes] (order rejected 15 seconds later)
The example above shows what happened after the trader bought 5 GBPUSD at 1.8989. It took the 8-pip stop loss 25 seconds to activate after the EA command was given. It took 15 seconds for the exit order to be rejected. This is too much time. We should be seeing sub-1 second executions and rejections.
EXAMPLE4
13:44:02 ‘1002’: request was accepted by server
13:44:02 ‘1002’: request in process
13:45:32 ‘1002’: order was opened : #63395 sell 5.00 GBPUSD at 1.8984 sl: 0.0000 tp: 0.0000 (order filled 1 minute and 30 seconds later!!!)
13:45:33 ‘1002’: modify order #63395 sell 5.00 GBPUSD at 1.8984 sl: 0.0000 tp: 0.0000 -> sl: 1.8992 tp: 0.0000 (EA enters 8-pip stop at 13:45:33 UK time)
13:45:33 ‘1002’: request was accepted by server13:46:09 ‘1002’: request in process13:46:10 ‘1002’: order #63395 sell 5.00 GBPUSD at 1.8984 was modified -> sl: 1.8992 tp: 0.0000 (stop loss is activated 37 seconds later)
The example above shows what happened after the trader placed an order to sell 5 GBPUSD at 1.8984. It took 1 minute and 30 seconds for the order to get filled! What would have happened if the price had shot up by 100 pips during this 1 minute and 30 seconds after a fill at 1.8984 was reported 1 minute and 30 seconds later? Would we have had to eat the loss? It also took the 8-pip stop loss 37 seconds to activate after the EA command was given.
We know that the FXLQ MT4 trading software is capable of executing and rejecting trades instantly because we have seen it in the logs, so it perplexing why the delays above are occurring).
NOTE: We received some reassuring news regarding this “delay reporting ” issue on Saturday 11/11/06 from FXLQ. See the 11/11/06 entry for more information.
