Advice - FX or Futures (RE: spreads)?

[johnstontrav]

Hi,

I have a system which requires a tight spread (for GBPUSD & USDCHF). Can you get tighter spread in futures than what Oanda is offering? If so, would you mind providing a link to such firms?

Many thanks.

 

[dcraig1]

Hi,

I have a system which requires a tight spread (for GBPUSD & USDCHF). Can you get tighter spread in futures than what Oanda is offering? If so, would you mind providing a link to such firms?

Many thanks.

Here is a snapshot of GLOBEX futures taken at around 16:10 Australian EST. Data feed is from Interactive Brokers into some custom software I have developed.

http://www.interactivebrokers.com

I don't trade forex futures, but I believe that it's often possible to split the spread.

 

[dcraig1]

Hi,

I have a system which requires a tight spread (for GBPUSD & USDCHF). Can you get tighter spread in futures than what Oanda is offering? If so, would you mind providing a link to such firms?

Many thanks.

I forgot to add that Interactive Brokers also offer forex cash. They run a kind of ECN where the liquidity is provided by large banks in the interbank market. As such it is more transparent than the forex bucket shops. I think the spreads are competative. In other words the broker is not taking the other side of your trade. Their only interest is commission. You can probably split the spread on the cash also.

They also have a free API supporting a number of development environments.

 

[JonnyT]

The following is generally true:

CME Futures:
EUR generally 1 pip fills not normally a problem
GBP generally 3 pips but thin so prone to slippage

IdealPro:
EUR generally 1 pip lots of liquidity
GBP generally 3 pips lots of liquidity

Both these offerings are certainly better than any Forex Broker as they are fair market prices.

JonnyT

 

[johnstontrav]

Thanks guys. Interactive Brokers seem to be the way to go.

IB have spreads + commissions?

 

[johnstontrav]

Guys,

Do IB offer any historical data? Or realtime feed?

Cheers.

 

[JonnyT]

The spreads on futures are purely what they are on the market. It wouldn't matter which broker you dealt with. Currency futures are provided by CME www.cme.com

IBs commissions are low.

IB do provide a realtime data feed and some historical data for futures.

I use the IB datafeed with Seirrachart www.seirrachart.com

The data feed is free.

JonnyT

 

[dcraig1]

Guys,

Do IB offer any historical data? Or realtime feed?

Cheers.

Yes on both counts. Free if you do >= $30 commissions in a month. $10 per month otherwise. Historical data is limited to 6 months. Historical tick data not provided.

 

[johnstontrav]

thanks.