Basic knowledge of foreign exchange: what is the sliding point?

Foreign exchange platform
Sliding point, generally refers to the deviation between the real trading volume price and the preset trading volume price. This kind of deviation generally moves to the position of unfavorable traders, causing additional damage to the trading. It's a situation that many new traders don't want to encounter, but it's the normalization of the real financial system.

Slip point, the key appears in the entrance and stop loss of the two practical operations, not easy to appear in the stage after profit. When the price rises rapidly, investors expect to enter immediately and follow the sales market position to do more, resulting in many

Orders are congested in the direction of doing long, while the enemy side is covering the plate, it is not easy to casually look short or sell many orders in hand. Therefore, in the rapidly rising price trend, the price of long entry usually shows a significant sliding point, because the price of the previous second of the trader's entry has been rapidly rising. At this time, the short or sold multiple orders will immediately trade volume, and the price of the trading volume can be on the preset positioning point.

If there is a price slip point when entering the market, all traders can accept it. However, if there is a price slip point in the stop loss, the damage and the psychological burden of the trader will be more serious. Stop loss sliding point means that the real stop loss price is not opened at the set stop loss positioning point, but there is an offset, resulting in the real stop loss strength exceeding the original stop loss strength, thus increasing the loss.

In fact, in the real financial system, this kind of situation can be said to be often seen, but in many cases, the decline point is very small, only 1-2 benchmark points or even less, which are ignored by investors. Sometimes the sliding point is more significant, five or even 10 basis points away from the preset price.

There are two key reasons for stop loss
1. Overnight after the next week caused by the jump high open new house open
When the sales market is closed, some key economic indicators or key news hot spots are announced. After the opening of new houses, the sales market must record the harm caused by this vicious event into the price quotation, which will lead to the rise or fall of short jump. If the investor's stop loss price is just right in the middle of the vacancy, then the real stop loss may be shifted to the other side of the vacancy.
2. Sales market ups and downs, liquidity is not enough
When the key economic indicators are released or news hot spots are generated, the sales market will fluctuate strongly in a short period of time, resulting in the deviation of stop loss price, especially in the case of the original text.

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