forex-scalping.com

A re-quote occurs when the price changes between the moment an order is sent and the moment the broker processes it. The platform asks whether the new price is acceptable.

Re-quotes suggest either a dealing-desk style execution or latency between the platform and price source. Fast markets trigger them most.

For scalpers, the effect is bad. By the time the new price is accepted, the move may have gone, and each re-quote cuts into the setup's edge.

Some brokers offer a maximum deviation setting, allowing the trader to accept slippage within a range, which reduces re-quote frequency at the cost of fills that may be a pip off.

Persistent re-quotes in normal conditions suggest a different broker may be needed.

Logging each occurrence with time, pair and price difference builds the evidence to compare brokers fairly.

How often do re-quotes occur on the account here, and what deviation setting is used?

I had a broker a few years ago where re-quotes were almost routine during the London open on GBPUSD. Some mornings I got three or four in a row on a single entry, and by the time a price was accepted the setup was gone. Out of curiosity I kept a log for a month and counted forty-one re-quotes, nearly all in the first half hour of London and around data releases.

I tried increasing the allowed deviation to two pips. The re-quotes mostly stopped, but my average fill got worse by close to a pip, which for my scalps was a large share of the expected profit per trade. So it was really the same cost moved to a different place.

In the end the log was what made the decision easy. I opened a small account with an ECN style broker, ran the same entries for a few weeks, and saw not a single re-quote and noticeably better fills. Without the record I would probably have kept blaming bad luck.