Anyone using IB for forex trading?

[BroadSword]

So how is this better than, say, Oanda where you get instant execution and no slippage ever (imo)?

 

[JumpOff]

My understanding is that IB allows you to use 3rd party addons like 'bracket trader.' One click opens a position, sets an absolute stop, a trailing stop, 2-3 target exits. Wouln't I love a trailing stop on Oanda! Also, IB has consisitant spreads. None of this waiting 5-10 minutes after an announcement for the spreads to go back to 1.8-2.0 on the eur/usd. The only downside I see is that you must trade at least 1/4 contract at one time.


Oanda lets you trade as mini or micro as you want, so I think it is still the platform of choice for micro traders or someone who is doing 'proof of concept testing.'

 

[a_gnome]

The other good thing is that you will not get filled on quotes, you only get filled if the market as actually traded at the quotes.

JonnyT

That's unusual for forex isn't it? There's a downside to this too: if the pair that you're trading is relatively lightly traded then you may find that there are no actual trades until well beyond your stop level.

This brings me back to an earlier question, wondering what sort of trade frequency there is with IB forex. Is there a way to tell when an actual trade has gone through on IB ?

 

[JonnyT]

You can look at the market depth at any given moment.

JonnyT

 

[josbarr]

I understand they quote indicative or composite prices. Who's on the other side of the executable prices?

That's unusual for forex isn't it? There's a downside to this too: if the pair that you're trading is relatively lightly traded then you may find that there are no actual trades until well beyond your stop level.

This brings me back to an earlier question, wondering what sort of trade frequency there is with IB forex. Is there a way to tell when an actual trade has gone through on IB ?

 

[sccz97]

I understand they quote indicative or composite prices. Who's on the other side of the executable prices?

the entity on the other side of the trade will be either another customer on ib or one of the liquidity providers. To my knowledge ... if another ib customer is providing the quote, you will get that price, if the order needs to be routed to one of the liquidity providers, thne it may or may not get filled at that quote

 

[nine]

.... if the pair that you're trading is relatively lightly traded then you may find that there are no actual trades until well beyond your stop level....

When I started trading futures I was advised to avoid very lightly traded contracts (lumber etc). You would be well advised to do the same with forex - surely there are enough opportunities in well supported pairs?

Edit: In fact I dont think IB carry many of the odd pairs (you know, NZD against the polish zlotty) so the real strategy might be to use IB for the high volume pairs and a bucketshop for the oddities if you have a strategy that you think works in that space.

 

[tiago]

Ib

hey johnnyt,

just wondering what the spread is for the gbp/jpy with interactive brokers, thanks, tiago

 

[Moneycat]

I do have a question for the experienced IB users. Can I get my forex positions and their P/L to show up on my Portfolio page? If so, how.

There have been plenty of complaints on other boards about the above: unfortunately it appears not to be possible.

 

[Moneycat]

One more thing... IB have recently gone to half pips, so the spread might be occasionally as low as 0.00005.

 

[JonnyT]

My little Java App will give current Profit/Loss for Forex on IB

It only supports market entry and exits as well as an exit all panic button.

If any one wants a copy then drop me a PM

 

[sccz97]

My little Java App will give current Profit/Loss for Forex on IB

It only supports market entry and exits as well as an exit all panic button.

If any one wants a copy then drop me a PM

exit all panic button!!! I like that .... I have something similar just in case things go tits up! I hope you've made sure you can't click on it twice and reverse your current exposure!

 

[JonnyT]

That would be nasty!

The App also has a simulator mode so you can play with strategies etc.

Any takers?

 

[Moneycat]

Things keep coming on my mind as far as the discussion goes on. IB has now a paper trading account: its use is allowed to all those who have opened and funfed a trading account. It allows trading all US tradables as well as Fx on Ideal Pro.

 

[Charlton]

Advice wanted on forex brokers' platforms

Does anyone use the charting facility in IB's TWS for forex. I am trying out various forex brokers and their trading software at present. I have opened a demo account with Oanda and IB so far. Oanda's charting is not too bad. I am finding IBs doesn't seem to suit forex well or maybe I am not setting it up correctly or not finding the right user help.

Putting to one side for the moment all the other factors such as spreads, stops etc, which brokers and their software would you recommend for the user interface - both placing orders and charting.

Or do you interface from the broker's platform to other software ?



Charlton

 

[JonnyT]

What is it you want from IBs charts?

I use them for Forex without an hitch.

JonnyT

 

[BroadSword]

What is the smallest trade size you can trade with IB using the API interface on cable and dollar-yen?

Are these the Globex futures?

I have a strat that is really suited to using an API, and whilst at the minute I'm using a handheld PDA for alerts, and API would sure be interesting?

Thanks guys,

 

[JonnyT]

IB offer Globex futures $6.25 per tick/pip for Cable

They also offer spot Forex under the guise of IdealPro. Minimum stake is $25000 which is akin to 1/4 of a full lot or 2.5 mini lots with a Forex bucket shop.

JonnyT

 

[BroadSword]

Thanks, Jonny.

The 'IdealPro' is a synthetic derivative market as per forex brokers / SB shops?

Can you trade this through the API?

 

[sccz97]

That would be nasty!

The App also has a simulator mode so you can play with strategies etc.

Any takers?

I tihnk it's great that you're offering something you've developed to some of the ppl here who are more used to the retail trading process rather than pure ccy exposures. You got my thumbs up.