Demi's spread is fixed

Written by Forex Automaton   
Friday, 11 February 2011 09:21

I discovered that Demi had been effectively using a spread twice as large as one could obtain in the market (two times 7.5e-05 times the price for EUR/USD). This resulted from a confusion about what was actually used as a spread; in the code, the price used is midway between bid and ask price; to that, a quantity called spread is applied, depending on the direction of the trade (buy or sell) to obtain the ask or bid price. Therefore this 'spread' is effectively half the spread between bid and ask, everything else being equal. It is applied twice, when entering and when exiting the trade. Correspondingly, the quantity modeling it has been lowered from 7.5e-05 to 3.75e-05.

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Last Updated ( Friday, 11 February 2011 09:32 )

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