Number of ticks to use for "Fill limit order when trade price goes beyond limit price by"

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AnotherTrader
Posts: 4
Joined: 14 Mar 2023

Number of ticks to use for "Fill limit order when trade price goes beyond limit price by"

Postby AnotherTrader » 07 Apr 2023

Hi all,

I'm working on a strategy that trades Forex and utilizes limit orders.

My question is, what is the appropriate number of ticks to use for the setting "Fill limit order when trade price goes beyond limit price by." Should this be set to the spread of the currency pair? For example, if EurUsd has a spread of 3 ticks then set that parameter to 3 to account for the spread? If the spread is 3 ticks, and I have the parameter set to 1, I'm worried that it won't account for the bid price hitting a sell limit or the ask price hitting a buy limit.

Any help is appreciated.
Thanks

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Kate MultiCharts
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Re: Number of ticks to use for "Fill limit order when trade price goes beyond limit price by"

Postby Kate MultiCharts » 11 Apr 2023

Hi AnotherTrader,

For spread emulation we'd recommend using Precise Backtesting.
Backtesting Assumptions are not intended for that purpose, this tool can be used for illiquid market emulation.


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