Forex, Precious Metals, Energies, Index CFDs
In brokerage, there are two different execution types, namely instant execution and market execution.
- Instant execution is a type of execution when a client is placing an order and specifies both volume and price, the order should be processed instantly. If the price changes at that moment, broker cannot change the execution price. However, broker can reject the execution and reply with a requote, which can be accepted or not by the client. This execution type is usually used by market maker brokers.
- Market execution is a type of execution in which the client places an order and specifies only the volume. The bid/ask price of an asset is generated during the process of execution. The main distinction from instant execution is that a broker does not reject client’s request in case of price change, but fills the order with the current available price.
All the major LPs and majority of A-book brokers are working by market execution types. Same here at UAGTRADE, we implement market execution as STP broker.
At UAGTRADE, currently we have a 5+1 daily candle week for all clients, as this is related to the data feed for pricing and GMT timing is depending to our liquidity provider. The 5 daily candle is per usual weekly candle from Monday to Friday, however we have 1 extra daily candle due to Sunday candle, containing 2-3 candle of H1 time-frame candle from 21:05 to 24:00 as our server time is GMT+0.
- Market opens for Sunday is 21:05, for Monday to Friday market opens from 00:00 per server time.
- Market closes for Sunday to Thursday is 24:00, while on Friday market closes at 20:55 per server time.
Margin & Leverage
Forex, precious metals, energies, and index CFDs are leveraged product. Leverage provides trader with the ability to control large amounts of capital using less money. In order to open a buy or sell position in trading, certain minimum margin is required. Higher leverage allows lesser margin needed to open a position, so with higher leverage trader can open more position. Thus, the higher the leverage, the higher the level of risk and that is why we offer our clients proper trading conditions as per below.
- Our maximum leverage offered is up to 1:200 (0.5% margin requirement).
- Our margin call level is 150%.
- Our margin stop out level is 50%.
It is advised that you should trade with suitable risk and money management, take great care of your margin level as it is the sign of your account’s health. Once reaching a margin call level, you should either close off positions to free up margin or add additional funds to increase available margin.
Swap Rate & Financing Fees
A swap or financing fees is interest paid or received for a holding a position over end of day called as rollover. Swap, is for anything related with forex currency pair interest rate, which is paid on the currency sold and received on the currency bought, driven by interbank spread. On the other hand, financing fees is for CFDs, reflecting the cost of borrowing and lending the assets, related to dividends being paid out.
- UAGTRADE offers swap-free account for clients who follows the Islamic faith.
- Kindly note that Wednesday is a triple swap day for all trading instruments due to markets being closed on Saturday and Sunday.
A spread is the difference between bid price and the ask price. In trading, when you want to sell you will get the bid price, whereas when you want to buy you will get the ask price. Kindly download and install our MT4 platform in order to see the live spread for Pro, Supreme, and ECN account as the spread differ according to account types.
- UAGTRADE offers variable spread for all trading instruments, so the spread may be widen or tighten based on the overall market volatility.
- We are true STP broker with no dealing desk, the pricing from our liquidity provider thus eliminating requotes and transparent pricing.
- In case of slippage occurs, it is either due to a delay between action and execution or due to lack of liquidity depth.
- Our spread starts from 0.3 pips for Pro and ECN accounts, 1.3 pips for Supreme accounts.