The trading idea is to buy and sell the same asset at 2 brokers if the price difference is higher than spreads and comissions in the hope that
a) you really get the assets for the prices you calculated b) the price difference will disappear so the price at the broker where you bought the asset cheaper will rise and the other will fall.
Theoretically.
Re: Arbitrage System
[Re: Sphin]
#472336 04/21/1817:2804/21/1817:28
Ok but if I know that the for example broker B is slow and I read from broker A a price mismatch I buy or sell only at broker slow to obtain the real advantage from arbitrage.
From my few experiments I only can say that speed (both execution and signal transfer) as well as the missing ability in Zorro to set 'real' limit orders at most brokers to prevent from slippage are the determinants that bring more or less probability to a really simple trading approach.
Re: Arbitrage System
[Re: Sphin]
#472345 04/22/1810:1704/22/1810:17
the missing ability in Zorro to set 'real' limit orders at most brokers to prevent from slippage
For MT4 broker doesn't exists limit order but only market orders, the limit is converted in market order when touched. The key of success on arbitrage is low latency and dicover slow broker. But my question above was different