Latency Arbitrage is a trading strategy based on comparing 2 brokers, fast data feed one and slow data feed one, where we are getting signals from fast data feed broker to be executed on slow data feed broker. The main task for the trader who uses this strategy is to find the fastest data feed provider and set it up at your server (VPS) to get these quotes with minimal loss of speed (ping). To get fast quotes in real time, you need special software connected directly to the exchanges (liquidity providers).
WHAT IS ARBITRAGE?
LIVE FOREX QUOTES: CURRENCY ARBITRAGE EXAMPLE
Keep up-to-date on the most relevant advances in latency arbitrage technology with the following research video.
99 % of Brokers are not yet ready for this powerful tool and all the doors for work and earnings are open for you! It is a universal clicker that can be adapted to work on any terminal of a broker, be it a web platform or any other terminal for trading stocks, futures, forex, binary options or any other market you need
Today, Trade Monitor 3.7 is a powerful data feeder that supports connections to eight of the largest real time data feed providers in the world: Lmax Exchnage, Rithmic, CQG, Interactive Brokers, Gain Capital Futures, CTS T4, IQ Feed, Saxo Bank;
Software Westernpips Crypto Trader 1.7 was created with the purpose of consolidating quotes from all the largest cryptocurrency exchanges, analyzing the received quotes and automatic conclusion of transactions on these exchanges.
Now our clients have even more brokers available for trading and new features. Today available to connect and trade on the FIX protocol in many large brokers.
This unique software will allow you to make a detailed analysis of the quotes of both a fast and a slow broker and find the fastest liquidity provider.
First of all, you need to select one of the programs (product) that you will use for arbitrage according to your preferences and budget. The more expensive the tariff plan, the more arbitrage opportunities and programs you will receive.
If you plan to trade advisors only on brokers with the trading terminal 4, then the Standard minimum tariff plan is enough for you. This tariff plan is perfect for beginners and those who want to get acquainted with the strategy of latency arbitration.
If you want to use a wider set of any brokers trading terminals and cTrader, then you should purchase the Professional tariff plan. With this tariff plan, you will get all the advisers available today for arbitration at different terminals.
For those who want to use in their work additional tools for graphical analysis of quotes and spread trading, the Ultimate tariff plan will do.
It includes Westernpips Analyzer 1.3 for analyzing quotes and choosing a broker with slow quotes that is suitable for trading, as well as searching for the fastest liquidity provider.
For those who work in the cryptocurrency market, you must select the Ultimate FIX API tariff plan with a fully automatic program for interbash crypto currency arbitration Westernpips Crypto Trader 1.7.
Also, the Ultimate FIX API tariff plan should be chosen by those who plan to connect the FIX 4.4 protocol to their broker for trading. This is a rather expensive technology and it requires the presence of from 5,000 USD on your trading account.
If you want to trade completely unnoticed by a broker without the use of advisers, you need Westernpips Web Clicker 1.9, which is included in the WP PRIME V tariff plan. This tariff plan includes a completely complete set of tools and technologies for arbitration in the Forex, CFD`s, and crypto currency market, as well as binary options brokers and Web terminals brokers. You will receive absolutely the whole set of programs and advisors from the company Westernpips and you will be able to enjoy trading on a full machine.
It is also worth considering the cost of renting a VPS server (from 30 USD per month).
Some suppliers of fast quotes require a monthly fee for using the connection API (from 60 USD per month). When using quotes from our servers, the fee is not charged.
To work with Westernpips FIX Trader, you will need at least 10,000 USD, since opening an account to work under the FIX protocol requires a large initial deposit.
To work in the cryptocurrency market, you will need to replenish each exchange with a minimum of 0.1 BTC. At least 5 exchanges should participate in the trade. So you need 0.5 BTC to get started.
Also, brokers with the type of execution of Instant Execution transactions or STP brokers are considered the most suitable brokers. If you are looking for a broker among ECN brokers, then you should pay attention to the slippage value when opening transactions. If the broker is dishonest and uses the plugin, the adviser will inform you about it.
Order execution time also plays an important role in the work of arbitration. Order execution from 1-100 MS is considered ideal. If your broker uses a plugin and executes orders longer than 1000 MS, then arbitration will not work and you need to look for another broker.
You should pay attention to the location of the broker servers and check the ping. Minimal ping to the broker will provide you with faster execution of orders.
The fastest supplier of quotes today is Lmax Exchnage. It is perfect for working with brokers located in LD4 (London). Also, you will suit such suppliers of quotations as CQG, Saxo Bank, IQ Feed, Gain Futurses. To work with brokers whose servers are located in America (NY4), the fastest suppliers are Rithmic, CTS T4, Interactive Brokers. Choosing a fast supplier of quotations depends on your country of residence and opportunities for the initial deposit. You can always take advantage of fast and free quotes from our servers, but we should not forget that we always recommend opening your own account to get the fastest quotes without additional connections.
– Rithmic $ 500;
– CQG $ 500;
– IQ FEED $ 500;
– Lmax Exchange from $ 1000-10000;
– CTS T4 $ 2000;
– Gain Futurses $ 2000;
– Saxo Bank $ 10,000;
– Interactive Brokers $ 10,000.
Also, for connection to the data channel, Lmax Exchange debits $ 60 per month, Rithmic $ 100 per month, CQG $ 500 per month, Saxo Bank, Interactive Brokers can be used free of charge, while other providers have individual fees depending on the set of connected accounts. exchanges.
RAM: 2 GB and higher (the more RAM, the more trading terminals you can run).
HARD DISK 50 GB And above.
INTERNET high speed unlimited.
OS (operating system) Windows Server 2008 SP 2 is the most optimal for advisor work.
The average cost of such a VPS is $ 60 per month.