Slippage in Futures?

[Lopen 10]

I would like to know if there is any slippage when trading the emini index futures. Also can anyone recommend a good emini broker? Thank you

[wsam29 10]

no such thing as slippage, what you are experiancing is called market movement if you are using market orders to enter or exit a trade.

 

if you go to sell a 5 lot of YM at the market and there are only 3 buyers at the best bid, you're pushing the price lower on yourself to the next best bid, which is 1 tick lower. If you want to avoid this "slippage" use limit orders, you may not get filled on your whole order mind you.

[torero 10]

slippage or spread is 1 tick and sometimes 2 ticks in fast markets for ES, NQ, and ER2, but YM not really sure.

[The Bear 10]

  Lopen said:

I would like to know if there is any slippage when trading the emini index futures. Also can anyone recommend a good emini broker? Thank you

 

Yes, I get slippage once and awhile trading YM..usually 1 tick at most. The cost of doing business.

[Guest cooter]

Big time slippage on the e-mini Russell ER2, especially when trading over 10 cars at a clip.

[Roughrider 10]

A good e-mini broker, would be Infinity and their DOM.

[brownsfan019 17]

The amount of slippage depends on how many contracts you are trading and what markets.

 

As for brokers, here's my suggestions - http://www.traderslaboratory.com/forums/f92/futures-trading-brokers-trading-software-1589.html

[hanz 10]

in order to avoid this "slippage" use limit order?

 

i use limit order but always got 1 tick slippage...

 

and i trade 1 contract

[brownsfan019 17]

  hanz said:

in order to avoid this "slippage" use limit order?

 

i use limit order but always got 1 tick slippage...

 

and i trade 1 contract

 

What contract(s) hanz?

 

And explain the slippage being received on a limit order. Provide an actual trade so we can see what happened.

[wiseguy 10]

Every now and then i see a sizeable transaction shown by time&sales. Even though it was larger than what was in the order book, price barely moved an inch. anyone know why?

[brownsfan019 17]

  wiseguy said:

Every now and then i see a sizeable transaction shown by time&sales. Even though it was larger than what was in the order book, price barely moved an inch. anyone know why?

 

Could be at the same time this larger order was filled that enough smaller orders hit the bid or ask at the same time to minimize the movement of the larger order. That'd be my guess.

 

Example - a 100 lot hits the YM on the bid. At the same time, 5 x 20 lot orders sell at the market at the same time and price flinches b/c there is a 100 lot bid and 100 lot sell market. In the end, those cancel each other out.

[NetTecture 10]

Slippage is lowest in the ES - obviously slippage is a functoin of order volume to market deph.

 

The YM can be really bumpy around news - I have seen jumps of 50 points there as spikes, while the ES barely moved. Mostly because while the ES gets thinner during news times, the YM market sometimes gets razor thin. Which makes stop "explosions" more likely.... I have seen the YM bid having less than 10 contracts over 5 ticks totally - that is how thin the market got. On the ES, below 100 for ONE price is really thin.