socrates
Your articulate conjugation techniques are sometimes placed on the wrong threads, be kind to the newbies.
My advice is to buy your own dedicated forex data feed from an "outside" source, you will usually find this beneficial regarding the accuracy, and compare it with your brokers feed. However, you must remember, that depending on who is supplying the data, the charts will differ accordingly. The "excuse" the data vendors give for this, is that there is no central point at which forex transactions take place, so therefore whomever is collecting data may "miss" the odd global transaction or 2.... Also, I believe it is common knowledge not to rely on FXCM data, having done the GTS demo, I found them no better.... I hope you found my reply helpful.
Your articulate conjugation techniques are sometimes placed on the wrong threads, be kind to the newbies.
My advice is to buy your own dedicated forex data feed from an "outside" source, you will usually find this beneficial regarding the accuracy, and compare it with your brokers feed. However, you must remember, that depending on who is supplying the data, the charts will differ accordingly. The "excuse" the data vendors give for this, is that there is no central point at which forex transactions take place, so therefore whomever is collecting data may "miss" the odd global transaction or 2.... Also, I believe it is common knowledge not to rely on FXCM data, having done the GTS demo, I found them no better.... I hope you found my reply helpful.
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SOCRATES
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Hello Macro, I am very kind to the newbies and do my very best to point them in the right direction. But before we can point them in the correct direction they have to explain in clear language what exactly the nature of the problem that they face is in reality.MacroDog said:socrates
Your articulate conjugation techniques are sometimes placed on the wrong threads, be kind to the newbies.
My advice is to buy your own dedicated forex data feed from an "outside" source, you will usually find this beneficial regarding the accuracy, and compare it with your brokers feed. However, you must remember, that depending on who is supplying the data, the charts will differ accordingly. The "excuse" the data vendors give for this, is that there is no central point at which forex transactions take place, so therefore whomever is collecting data may "miss" the odd global transaction or 2.... Also, I believe it is common knowledge not to rely on FXCM data, having done the GTS demo, I found them no better.... I hope you found my reply helpful.
For example, the foreign exchange real time price data that I use is the same used by the Bundesbank, so I know, also becuase I have cross checked it with other data, to be absolutely razor sharp and fast.
FXCM are making their own book alongside the real market. Because they are making their own book, the spreads and prices are out against the real market. The difficulty for newbies is to factor in this wandering discrepancy. The skill required is to assess via price development where it is going, and to act accordingly. My guess is that is what is troubling the aspirant, but I cannot be sure, because my guess is according to my frame of reference, and not his. It is for him to establish a frame of reference that is understandable and leaves no room for doubt so that he can be helped.
We are already very busy trading to have to unscramble riddles, but are here to help. But in order to be helped, newbies must cooperate in stating things clearly, then we have a basis on which to help. I have finished for the day and now the rest of the day is free. I am happy to lend a hand to anyone who needs help for the rest of today.
Kind Regards,
JTrader
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Hi SOCRATES
But isn't the real problem that there is no official REAL market? e.g. While FXCM's prices may be individually out against GFT, CMS, ACM, RJOFX, etc, at any one moment - whose to say whether this is FXCM skewing their prices - or the other data source? With no official/real price - no brokers price can be said to be out against the REAL market........
Or are you talking about comparing FXCM etc. to a more "official" data source such as EBS or Reuters?
Cheers
jtrader.
SOCRATES
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No, there is a real market, and this real market is governed by its own liquidity, because it involves a turnover of more than three trillion dollars every day. The fact that a central exchange does not exist is inconsequential.
What I am saying is that any entity making prices outside this liquidity is going to show discrepancies, against this super huge, super liquid, super fast market.
These discrepancies are going to be more marked in terms of spread, and of course lagging. This is to be expected and has to be factored in.
What I am saying is that any entity making prices outside this liquidity is going to show discrepancies, against this super huge, super liquid, super fast market.
These discrepancies are going to be more marked in terms of spread, and of course lagging. This is to be expected and has to be factored in.
c6ackp
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I've been trying different data feeds recently, as I was beginning to wonder whether using the FXCM trading platform with FXCM based charts was really the best way to go. To a certain extent I think your choice of data feed may reflect the nature of your trading.
Take an indicative feed for longer timeframes as this will provide a broader snapshot of the market and indicator based signals may be more reliable. e.g. the GTIS feed, which eSignal uses is indicative but it's very noisy and not ideal for intraday trading.
The FXCM price is the opposite - it's *very* smooth as it's simply the price that FXCM are prepared to execute at. They can quote whatever they like, although they wouldn't want to be too far off market or for very long.
I've been testing out XTick (xtick.com) which seems to have a price feed which is in between eSignal and FXCM. I've found it tends to hit my indicators better and can produce clearer patterns on short timeframes. I tried to get details of the data feed, but all I could get from XTick was "mixed data from some banks". I wonder if it's actually from RefCo as RefCo is mentioned on the XTick website.
I would recommend trying out several price feeds to find the one that best suits you, but bear in mind there will always be minor discrepancies between feeds.
Steve
Take an indicative feed for longer timeframes as this will provide a broader snapshot of the market and indicator based signals may be more reliable. e.g. the GTIS feed, which eSignal uses is indicative but it's very noisy and not ideal for intraday trading.
The FXCM price is the opposite - it's *very* smooth as it's simply the price that FXCM are prepared to execute at. They can quote whatever they like, although they wouldn't want to be too far off market or for very long.
I've been testing out XTick (xtick.com) which seems to have a price feed which is in between eSignal and FXCM. I've found it tends to hit my indicators better and can produce clearer patterns on short timeframes. I tried to get details of the data feed, but all I could get from XTick was "mixed data from some banks". I wonder if it's actually from RefCo as RefCo is mentioned on the XTick website.
I would recommend trying out several price feeds to find the one that best suits you, but bear in mind there will always be minor discrepancies between feeds.
Steve
JTrader
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Thanks SOCRATES - I did think that you were referring to the underlying interbank market - and the "most official like" price sources that exist within the interbank forex market of EBS and Reuters, upon which retail forex brokers seem to base their forex prices - but just wanted to check!
Cheers
jtrader.
Cheers
jtrader.
MacroDog said:socrates
Your articulate conjugation techniques are sometimes placed on the wrong threads, be kind to the newbies.
My advice is to buy your own dedicated forex data feed from an "outside" source, you will usually find this beneficial regarding the accuracy, and compare it with your brokers feed. However, you must remember, that depending on who is supplying the data, the charts will differ accordingly. The "excuse" the data vendors give for this, is that there is no central point at which forex transactions take place, so therefore whomever is collecting data may "miss" the odd global transaction or 2.... Also, I believe it is common knowledge not to rely on FXCM data, having done the GTS demo, I found them no better.... I hope you found my reply helpful.
Thanks, that answer makes sense. My thoughts are that while quoted prices are different, there remans the opportunity to buy wholesale from the banks while retailing prices to the consumer (the forex trader). This may explain some of the sharp spikes seen the market at odd times. That speculation aside, a suspicion arises that use of indicators based on price activity outside of FXCM will produce false results. This can be seen when looking at FXCM power charts compared to MarketScope. Price discrepency = indicator discrepency = flase signals. Also, if the big players are using one song sheet and we are using another, well we loose...
You remind me that that every central bank and FXCM type forex broker makes their own book. So, just like a wholesale and retail market, players all operate on different Open/high low prices. This explains why prices do not always trade on fib lines, resist lines, Gann lines etc. The CME is a large world class exchange with publicly quoted streaming prices, but I havn't studied it against FXCM prices for lead or lag pricing or pricing alignment. The question arises whether FXCM is trading more forex than the CME
SOCRATES
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Whether FXCM is trading more than CME will not, in principle make any difference. What does make a difference is what you say above, because this is like trying to play a game of football on a constantly shifting and tilting ground, wandering boundary lines, and shifting goalposts.
Havind said that, if you can kick fast and accurately nothing stops you from scoring goals.
Havind said that, if you can kick fast and accurately nothing stops you from scoring goals.
I think we are talking about trust, and a good reminder to have limited trust in everything you see (indicators and prices and fib lines). When a trade goes wrong from the start, trust yourself, youv'e been had. If you think prices reach for a stop, then you have to think while prices reach for a fib, stoch on FXCM but not on interbank or maybe not the CME. The one case of a 10pip differnce in opening prices at 0300, 0900 EST may be an alert, if your indicators are not working it may be the reported price action rather than real action that is the cause. Of course, just like when setting a compass, one must compensate for the magnetic signiture of the boat, so too compensate your FXCM indicator values till they fit the price action and do so daily. (like using a RSI @ 9 instead of 14) same for stoch, etc. Howver I am new to this game so I may be talking through my hat, so criticism will be taken without offence
SOCRATES
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I had not thought of it in terms of magnetic signature (deviation caused by horizontal vertical longtiudonal and transverse soft iron) but it is a valid concept.
With regard to a trade being wrong, you have to pounce upon it immediately and act, not let it get worse.
The trade may turn out to be wrong. This does not necessarily mean you were wrong when you put it on, it may be due to the fact conditions have suddenly changed and the result you are gettting is the opposite one you expected, for this reason.
Or, your trade may turn out to be wrong because your assessment or judgement were wrong in the first place.
In either case do not hang about and hope it will get better. Get out, and fast.
Other opportunities will come along which will be satisfactory.
This is why I strongly recommend the use of stops for anyone unltil they, as a consequence of trading maturity, which takes a long time and a lot of effort, are able to carry the stop in their heads and to execute it ruthlessly and fast if the occasion merits it in order to limit losses and maximise gains.
With regard to a trade being wrong, you have to pounce upon it immediately and act, not let it get worse.
The trade may turn out to be wrong. This does not necessarily mean you were wrong when you put it on, it may be due to the fact conditions have suddenly changed and the result you are gettting is the opposite one you expected, for this reason.
Or, your trade may turn out to be wrong because your assessment or judgement were wrong in the first place.
In either case do not hang about and hope it will get better. Get out, and fast.
Other opportunities will come along which will be satisfactory.
This is why I strongly recommend the use of stops for anyone unltil they, as a consequence of trading maturity, which takes a long time and a lot of effort, are able to carry the stop in their heads and to execute it ruthlessly and fast if the occasion merits it in order to limit losses and maximise gains.
