Does DMA allow you to avoid being destroyed by market gaps?

Bakez

Junior member
27 0
It seems like every spread betting account I have ends up with huge gaps at opening when news is released at 7am, making it pretty much a casino game with the way I trade. You literally cannot place and order until about 8.10.

Does a real broker or DMA solve this problem? Being able to actually have an order executed between 8am - 8.10am would be a god send.
 

tar

Legendary member
10,443 1,313
It seems like every spread betting account I have ends up with huge gaps at opening when news is released at 7am, making it pretty much a casino game with the way I trade. You literally cannot place and order until about 8.10.

Does a real broker or DMA solve this problem? Being able to actually have an order executed between 8am - 8.10am would be a god send.
r we talking UK shares ? Igindex lets u trade from 8:00am ...
 

Shanghai

Well-known member
325 54
Depends. Are you really seeing gaps or wider spread at the open? If it is gaps then DMA should show similar action otherwise it would be an arbitrage opportunity. If it is the wider spreads causing the problem then wait until after the first 20 minutes before you place a trade. I make it a rule to do this even with DMA as the market can spike early in the day.

Compare what you are seeing on your SB charts to what the actual market has done.
 

Bakez

Junior member
27 0
Yes its UK shares, but on some days when a share has released an RNS, it won't let you trade for sometimes 10mins after opening, by then opportunity has completely gone or you are left with no clue what to do. I certainly don't remember this happening when i physically traded shares with barclays about 6 years ago...
 

tar

Legendary member
10,443 1,313
Yes its UK shares, but on some days when a share has released an RNS, it won't let you trade for sometimes 10mins after opening, by then opportunity has completely gone or you are left with no clue what to do. I certainly don't remember this happening when i physically traded shares with barclays about 6 years ago...
If u r talking about IGindex then u could traded on the phone ....
 
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