Slippage is a common occurrence in trading and refers to the difference between the price you expect for a trade and the actual price at which it gets executed. It typically happens in fast-moving or illiquid markets, where prices can shift in milliseconds.
Imagine placing a buy order at a certain price, but just before it's filled, the market moves. As a result, your order gets executed at a slightly higher price. That’s negative slippage. On the other hand, if the market shifts in your favor and your trade is executed at a better price, that’s known as positive slippage.
Slippage is most common during periods of high volatility—such as major news releases—or in markets with low liquidity, where fewer orders are available to match your trade instantly.
Understanding slippage is crucial because it can directly affect your trading outcomes. While small in many cases, repeated negative slippage can reduce your profits or increase losses over time. It can also interfere with the precision of your entries and exits, especially for scalpers or short-term traders.
By using tools like limit orders, avoiding trading during major economic events, and choosing brokers with fast execution and deep liquidity—like Bullwaves—you can reduce the impact of slippage on your strategy.
Navigate the trading markets and Discover a world of opportunities.
Bullwaves is a trading name of Equitex Capital Limited (Registration No. 8434948-1), a company authorized and regulated by the Financial Services Authority (the "FSA", licence no. SD185) with legal registered address in CT House, office number 9A, Providence, Mahe, Seychelles and physical address in Office No. Al9C, Providence Complex, Providence, Mahe, Seychelles.
ETX Services Limited with company registration number HE455407, a company registered in Cyprus with registered address Archiepiskopou Makariou lll 160, 3026 Limassol is appointed as Independent Representative and Distributor.
ETX Services Ltd is not the Licensed Entity in the EU but only acts as the Service entity for Equitex Capital Ltd.
Risk Disclaimer:
Over-the-counter derivatives are complex instruments and come with a high risk of losing your initial capital rapidly due to leverage. You should consider whether you understand how over-the-counter derivatives work and whether you can afford to take the high level of risk to your capital. Investing in over-the-counter derivatives carries significant risks and is not suitable for all investors.
When acquiring our derivative products you have no entitlement, right or obligation to the underlying financial asset. Equitex is not a financial advisor and all services are provided on an execution only basis. Information is of a general nature only and does not consider your financial objectives, needs or personal circumstances. Important legal documents in relation to our products and services are available on our website. You should read and understand these documents before applying for any Bullwaves products or services and obtain independent professional advice as necessary.
Regional Restrictions:
The information or services described on this website is not directed at or offered to residents of Belgium, North Korea, United States, Afghanistan, Belarus, Central African Republic, China, Iran, Russia, Cuba, Libya, Nicaragua, Palestinian Authority/Gaza/West Bank, Venezuela and to jurisdictions on the FATF and EU/UN sanctions lists or any other person in any jurisdiction where such distribution or use would be contrary to local laws or regulations. For more information please contact our support. Clients who onboarded via www.bullwaves.com can contact our support team at support@bullwaves.com.For complaints please email us at compliance@bullwaves.com
For complaints please email us at compliance@bullwaves.com