FIFO rule and StopLoss

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eduardo fiuza
261
eduardo fiuza  

With FIFO rule (first-in, first-out) that will be implemented by NFA won't be possible to use StopLoss because if the SL of the second trade is reached, for example, the system won't accept the CloseOrder because is not the first trade opened.


How can we protect the account? Is this the END of SL?


What happens if I lost internet connection???!!!

Tovan Adams
168
Tovan Adams  
edfiuza wrote >>

How can we protect the account? Is this the END of SL?

Find a broker in a country with less stupid rules.
Bogdan Caramalac
761
Bogdan Caramalac  
Joao Rosas
391
Joao Rosas  

I've seen your profiles, and Toven is member of Ieee; TheEconomist owns both computer programming and financial skills.

You know that a solution is half made the moment we make the right questions.

Therefore, my contribution is with this:


Don't you guys know how to solve these NFA issues inside your very EAs?



ps: this is a rare moment, which I needed to bug someone. :-) sorry.

Bogdan Caramalac
761
Bogdan Caramalac  
Take Profit, Stop Loss and pending order types are after all market conventions. At the beginning of the markets, they didn't have an existence per se . I'm sure a that a stock trader in the early 20s, when he meant Buy Stop, his broker would have start buying market when the market would have reached that price. Same was on markets also with Take Profit and Stop Loss. At first, they were details in strategies. Later, they became automations in market systems. Of course it's not the end now. Some steps will be made backward. Some order servers will retain pending orders and will send them market at the time. Of course, given their new, market nature, these orders will be slipped. Same their closures, as take profits or stop losses. But what it matters, is that reports to the NFA will contain only market orders, no matter these were originally market, pending, stop losses or take profits, thereby disregarding the looks of the order in trader's terminal. It's only an implementation detail. So basically, this is a job for MetaQuotes, as it involves working around the server implementation.
rr
35
rr  
TheEconomist:
Take Profit, Stop Loss and pending order types are after all market conventions. At the beginning of the markets, they didn't have an existence per se . I'm sure a that a stock trader in the early 20s, when he meant Buy Stop, his broker would have start buying market when the market would have reached that price. Same was on markets also with Take Profit and Stop Loss. At first, they were details in strategies. Later, they became automations in market systems. Of course it's not the end now. Some steps will be made backward. Some order servers will retain pending orders and will send them market at the time. Of course, given their new, market nature, these orders will be slipped. Same their closures, as take profits or stop losses. But what it matters, is that reports to the NFA will contain only market orders, no matter these were originally market, pending, stop losses or take profits, thereby disregarding the looks of the order in trader's terminal. It's only an implementation detail. So basically, this is a job for MetaQuotes, as it involves working around the server implementation.

so why not just implement the feature to change the reports in the buy stop or buylimit to reflect as Buy orders and sell orders if it only concerns is to report to NFA rather than changing the whole structure.

now mt5 is stepped down and kinda weird and stupid though, as some countries still allows hedging and no crazy rules to follow cant use MT5 now? (if other countries broker uses mt4 and only NFA affected uses mt5, wouldnt that create some "communication" problem somewhere?)

i wonder why mt5 didn't make it "as an additional" option for the broker so they can prevent hedging if they follow the new rule while other broker not affected can. rather than 1 rule kills all.

Bogdan Caramalac
761
Bogdan Caramalac  
rollover:

[1] so why not just implement the feature to change the reports in the buy stop or buylimit to reflect as Buy orders and sell orders if it only concerns is to report to NFA rather than changing the whole structure.

now mt5 is stepped down and kinda weird and stupid though, as some countries still allows hedging and no crazy rules to follow cant use MT5 now? (if other countries broker uses mt4 and only NFA affected uses mt5, wouldnt that create some "communication" problem somewhere?)

[2] i wonder why mt5 didn't make it "as an additional" option for the broker so they can prevent hedging if they follow the new rule while other broker not affected can. rather than 1 rule kills all.

For [1] I think this probably the way it will be done. Pending orders become MIT (Market If Touched). However, event firing will be more latent. If orders are pending, and their execution is a simple broker accounting record, then as soon as the market touches their price, the event is fired from the server, with a supportable latency, probably under one second. Now, if orders are MIT and they have to be executed like market orders, exposed to slippage, then order fill events are fired with the same latency as the market order confirmations, after the orders are market executed. Rather, it might be better to trigger an Order In Execution event as soon as the price is touched, prior to the Order Filled. But I think there might be some work to be done to the MT5 for these modifications. 

For [2] yup, I don't really why this was not added as an option. 

Joao Rosas
391
Joao Rosas  

Well,

it seems I could make business offering to change your EAs, so that they can still use hedging, remain transparent to FIFO, and working with NFA brokers.

Tovan Adams
168
Tovan Adams  
abstract_mind wrote >>

Don't you guys know how to solve these NFA issues inside your very EAs?

Some things in the new rules are "fixable", others are not. Either way, it makes me mad that I even have to bother. I liked my US based broker and I'm sad that I can no longer do business with them. Thanks a lot to Obama and friends...

As a side note. I have noticed lately that many brokers, particularly in the UK are blocking US persons from opening accounts. Not sure if this is an old thing or if it just started as these new rules came along.. Haven't seen this problem in Russia or most other places - yet.

Another side note - now you got me going and I can't stop :)

I noticed that the new rules never seem to have been implemented in the strategy tester as it still lets me do all the old stuff. But when you try it live things are much different. What's up with that?

eduardo fiuza
261
eduardo fiuza  
I think that soon the europeans brokers will have the same rules of north american brokers.
BR
449
BR  

No Hedge....No Stoploss, No Limit Orders., FIFO...at this rate it'll be no MARKET ORDERS.... Thanks OBAMA.....

SEND COMPLANTS TO

THE NFA at

jsunu@nfa.futures.org

spendleton@nfa.futures.org

squallo@nfa.futures.org

edasso@nfa.futures.org

lbrinati@nfa.futures.org

forex@nfa.futures.org

information@nfa.futures.org

We still need an email for the wacko.... Thomas Sexton who authored this insanity....

Does anyone have email addresses for the CFTC??

They are the nut jobs who actually IMPLEMENTED these rules at the beckoning of the nuts at the NFA!!!

These are the idiots responsible for killing off Forex in the US

FILL UP THEIR EMAIL BOXES as we close our US accounts....

12
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