oussama94
05-28-2017, 19:05
In addition, the futures market typically operates under a “next best
order” system, under which traders frequently do not get executed at the
initial market order price, but rather at the next best price available. For
example, let’s say a client is long five March Dow Jones futures contracts
at 8800 with a stop order at 8700; if the price falls to this level, the order
will most likely be executed at 8690. This 10-point difference would be attributed
to slippage, which is very common in the futures market
order” system, under which traders frequently do not get executed at the
initial market order price, but rather at the next best price available. For
example, let’s say a client is long five March Dow Jones futures contracts
at 8800 with a stop order at 8700; if the price falls to this level, the order
will most likely be executed at 8690. This 10-point difference would be attributed
to slippage, which is very common in the futures market