Arbitrage Trading is a trading system where we get the BUY or SELL signal from fast feed broker, where price quotes occur split seconds faster than the slow feed broker where the quotes are delayed (lag). We will enter the market in split second before it moves on the slow broker, this way we will always have an accurate entry signal, because price WILL move to the direction of our trade.
This lag CAN and ALWAYS occur due to the delay or hanging of data feed. This is a POWERFUL TRADING STRATEGY that brokers don’t like. They will kick us out eventually, but not before we make BIG PROFIT there and make a withdrawal.
For successful work with this strategy, you need a fast data feed provider and a slow broker where the quotes are delayed (lag).
HOW DOES BROKER’S QUOTES DELAY BENEFIT OUR ARBITRAGE SOFTWARE?
Delay quotes arise from errors in the software of the broker or problems on its server. Also, it’s very common for brokers to use a bridge to connect to a liquidity provider. Thus, the quotes have delays or lag. The differences of quotes in data feed is obvious during high volatility of the market, such as during important news announcements, the publication of analysts of rating agencies, changes in economic data, and so on.
The data feed lags occurs mostly at brokers who use trading terminals or cTrader. These terminals are not perfect, therefore we connect the fast quotes broker with our Forex Expert Advisor directly from the exchange (via the Trade Monitor 3.7 program), thus we get the advantage of getting the data feed 100-300 milliseconds earlier before it appears in the slow broker’s terminal.
OUR HIGH FREQUENCY TRADING SOFTWARE CONNECTS TO FAST FEED DATA PROVIDER
Software Trade Monitor 3.7 is connected to the fastest data feed providers like Rithmic, CQG, Interactive Brokers, Lmax Exchange, Saxo Bank. Simply connect to their demo account or better a real account.
Our Newest PRO Forex EA gets fast data feed from the Trade Monitor 3.7 program every millisecond and compares them with price quotes at the slow broker’s terminal. When there’s a backlog (delay) of data feed, the trading algorithm of our arbitrage software will pick it up and make the trades automatically.
WE REGULARLY UPDATE OUR ARBITRAGE FOREX EA
With the recent update, now user can choose which fast data feed provider to use. We added new liquidity providers such as Interactive Brokers and Ninja Trader, also developed a unique Multi Connectors technology, through which you can get fast quotes from any brokers terminals, cTrader, or Ninja Trader etc.
