I just received an email from InterbankFx (also on their site), saying that they are changing their MT4 trade servers from“Instant Execution” to the “Market Execution” type. I’ve written a detailed article about the differences between these 2 types of MT4 market order execution (see HERE).
I thought the media release was “interesting” because it seemed to be spinning the changes as a “benefit to traders”, whereas it’s actually more of a benefit to the broker IMO.
Below are some of the extracts from that media release:
“With Core in place, Interbank FX has changed how orders are carried out within the MetaTrader 4 platform, moving from instant orders to market orders….”
Throughout the statement they keep referring to it as their “Core technology”, when in actual fact it’s just the standard STP set-up that many MT4 brokers have been using for the past 1-2 years. Nothing special.
“Interbank FX has changed how orders are carried out within the MetaTrader 4 platform, moving from instant orders to market orders. Using market orders, executing trades will be improved by reducing rejection rates, latency and furthering customer experience”
They go to great lengths to convince us that the performance will be better because of “reduced rejection rates”. Well, when you remove any slippage control,you’re not going to get any requotes, so the “rejection rates” are obviously going to drop. However, this does not necessarily mean improved performance for traders. If the orders slip a few pips on entry and exit then the performance will actually be worse.
How will this impact Forex Megadroid performance?
The only way to determine the impact these changes will have is by measuring the trade results over the next few months. As you can see from my monthly results, up to this point InterbankFx has been one of the better performing Megadroid brokers. It’s hard to predict what will happen with these changes. The performance could deteriorate substantially. Time will tell.