My stops have been hit by Oanda several times due to widening of their spreads. Here's what I've experienced:
1. The spread on GBP/USD going from 3 pips to 300+ pips around GBP news.
2. Spreads widening 5-6 times during daily session rollover (e.g. GBP/NZD spread increasing from 10 pips to 60 pips)
3. Spreads widening upto 15 times during news times in pairs unrelated to the news (e.g. GBP/NZD spread going from 10 pips to 150+ pips for 1 second on US news .. when interestingly the spread on USD pairs such as EUR/USD. USD/CAD and GBP/USD didn't widen much).
I will be leaving Oanda shortly. This post is simply to warn other naive traders (like myself). If you email Oanda demanding the trade be reverted, you will get a reply like one below (that I received today):
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Dear xxx,
Thank you very much for your e-mail.
The widen of the spread was totally within boundaries, even if there were no major news announcements for GBP or NZD; there were major announcement for USD which reflects on a big liquidity drop in the market. Due to the liquidity change in the market we are forced to widen the spreads on all our currency pairs, some might be wider than others.
Thank you very much for your understanding.
If you have any further questions or concerns please do not hesitate to contact us again.
Regards,
Our client experience team is here to help 24 hours a day from Sunday at 1 p.m. EST to Friday at 6 p.m. EST. If you have any questions, please do not hesitate to contact us.
It is my pleasure to assist you,
------------------------------------
Good luck in your trading! Trade safe ..
1. The spread on GBP/USD going from 3 pips to 300+ pips around GBP news.
2. Spreads widening 5-6 times during daily session rollover (e.g. GBP/NZD spread increasing from 10 pips to 60 pips)
3. Spreads widening upto 15 times during news times in pairs unrelated to the news (e.g. GBP/NZD spread going from 10 pips to 150+ pips for 1 second on US news .. when interestingly the spread on USD pairs such as EUR/USD. USD/CAD and GBP/USD didn't widen much).
I will be leaving Oanda shortly. This post is simply to warn other naive traders (like myself). If you email Oanda demanding the trade be reverted, you will get a reply like one below (that I received today):
------------------------------------
Dear xxx,
Thank you very much for your e-mail.
The widen of the spread was totally within boundaries, even if there were no major news announcements for GBP or NZD; there were major announcement for USD which reflects on a big liquidity drop in the market. Due to the liquidity change in the market we are forced to widen the spreads on all our currency pairs, some might be wider than others.
Thank you very much for your understanding.
If you have any further questions or concerns please do not hesitate to contact us again.
Regards,
Our client experience team is here to help 24 hours a day from Sunday at 1 p.m. EST to Friday at 6 p.m. EST. If you have any questions, please do not hesitate to contact us.
It is my pleasure to assist you,
------------------------------------
Good luck in your trading! Trade safe ..