Help: my broker imposed slippage on mt5 limit order, how is that even possible?

[Y C]

Hey folks,

I have encountered a werid issue. I have registered with a broker who claim to be A-book broker using STP model. I opened RAW SPREAD account supposed to have ECN access to instruments

It was trading fine until quite recently, ALL my position opened got slippage. So I made some test with limit orders. Even that has slippage! It will not be executed at price equal or better. It ALWAYS get executed at a worse price with high slippage.

In the attachment I pasted what happened to limit order: It was a sell limit order of size 0.01 (minimal size) at  2662.50, but when the bid price reached 2662.50, the open price was shifted to 2662.29.

My understanding is that Limit orders can help prevent negative slippage because they only trigger when the price reaches a specified level or better. However, if the price doesn't reach that level, the order won't be executed. 

So even for limit orders, it is as if they open position with a forced worse price. Is that what Deal Desk is doing? But I heard MT5 ECN brokers won't have deal desk. Can someone help me understand? Am I scammed?

Currently I am asking for investigation but after 4 days, still no response. I don't know whether it is allowed to name the broker here so I will hold the broker name for now. It is a pretty good broker otherwise.

Should I ask MetaQuote team what's going on?

[Vladislav Boyko]

https://www.mql5.com/en/forum/444929

[Vladislav Boyko]

Forum on trading, automated trading systems and testing trading strategies

Features of the mql4 language, subtleties and techniques

Grigori.S.B, 2020.02.09 08:38

No, not all of them. Not so long ago I was unpleasantly surprised when a Take Profit was executed with negative (against me) slippage. It was on the news. Tech support explained that this is normal and limits (take profit by definition is a limit order) are executed as MIT (Market If Touched). In other words, when the price touches a limit order level, it is executed as a market order. Unpleasant of course, but there is nothing to do.

[Y C]

Vladislav Boyko #:

thanks for the quick response. It does widen my horizon I would say.

This slippage is now always there, no matter when do the trade or whether it is limit or market, it all executed at a worse price, with certain amount of distance.

I open size of 0.01 so the market depth should be enough to take it, somehow it never executed at the price given by the quote any more.

Am I on the blocklist of LP now? lol

[Anna Baskakova]

Change your broker - no matter how good it is, A-Book is forced to increase the spread markup to cover its overhead costs. B Book is more profitable - although they also have their downsides)

[Dominik Egert]

Y C #:

thanks for the quick response. It does widen my horizon I would say.

This slippage is now always there, no matter when do the trade or whether it is limit or market, it all executed at a worse price, with certain amount of distance.

I open size of 0.01 so the market depth should be enough to take it, somehow it never executed at the price given by the quote any more.

Am I on the blocklist of LP now? lol

If you knew what brokers can do on MT Server side, you would select your broker based on jurisdiction, not on apparent "offers".

MT Server is more or less a order routing proxy, not even matching your orders, but only forwarding it. And, yes, a broker can change anything on your order, without you knowing.

My suggestion, go with heavy regulated brokers.

[Y C]

Dominik Egert #:

If you knew what brokers can do on MT Server side, you would select your broker based on jurisdiction, not on apparent "offers".

MT Server is more or less a order routing proxy, not even matching your orders, but only forwarding it. And, yes, a broker can change anything on your order, without you knowing.

My suggestion, go with heavy regulated brokers.

Thank you sir. That's the thing: I thought this level of manipulation is only possible with MT4 but not MT5? At least that propaganda is already nerratived in this way

Also I feel manipulating with such big slippage is too obvious. It also made the "limit order" a joke. I am not sure if they really intended it or it is a bug. So I am still waiting for a response. All I know is that new registered users does NOT  have this issue, I have verified that.