How is TickValue calculated?

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Guillermo
98
Guillermo  
Hello,

I would like to know how the Tick value is calculated for pairs in which the account currency is not present. My understanding is that there is an implicit conversion from your account currency to the base currency of the pair first. Is this correct?

Best regards.
whroeder1
17943
whroeder1  
Guillermo Is this correct?
  1. Yes
    • You place the stop where it needs to be - where the reason for the trade is no longer valid. E.g. trading a support bounce the stop goes below the support.
    • Account Balance * percent/100 = RISK = OrderLots * (|OrderOpenPrice - OrderStopLoss| * DeltaPerLot + CommissionPerLot) (Note OOP-OSL includes the SPREAD, and DeltaPerLot is usually around $10/pip but it takes account of the exchange rates of the pair vs. your account currency.)
    • Do NOT use TickValue by itself - DeltaPerLot
    • You must normalize lots properly and check against min and max.
    • You must also check FreeMargin to avoid stop out
Alain Verleyen
36058
Alain Verleyen  
whroeder1:
  1. Yes

    No.

    My understanding is that there is an implicit conversion from your account currency to the base currency of the pair first. Is this correct?

    It's a conversion from profit currency (and not base currency) to your account currency (and not the reverse).

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