A spread that jumps from 0.8 to 5 pips for a second is not unusual around rollover or just before a news release. Orders sent into that window tend to be rejected, or filled at a price far from the one on screen.
What makes it confusing is the screen. The chart often does not show the spike because the bid line barely moves. Only the ask line jumps, and many platforms hide it by default.
Turn on the ask line and watch it for a week. The spikes become visible, and the rejected orders start lining up with them.
Some options for dealing with it:
- Avoid sending orders in the final minute before rollover.
- Use a spread filter in the script or manual checklist so nothing is sent when the spread exceeds a threshold.
- Accept that some of the best looking setups occur right when the broker is least willing to trade.
A rejected order is annoying, but often it is a better outcome than a fill at a ridiculous price.
Do the rejections on your platform cluster around specific minutes, and have they changed since a different account type or broker?
Advertisement
Order rejected during a spread spike
Recommended broker for automated trading & scalping
