Disliked[list=1][*]The broker's prices are refreshed immediately before sent from the slave to the master. By the time the prices are decided on for a trade, about 3 + 2 * # of brokers miliseconds have passed. By the time it's displayed on the chart, it's closer to 11 + 7 * # of brokers miliseconds. The prices are fresh, and there is a significantly small window before they are refreshed.[*]I short the broker with the high bid, and long the broker with the low ask. Close the trades when the resulting spread (short broker's ask and long broker's bid)...Ignored
I have been waiting to see if this has produced any decent results before looking at it more closely myself - yours and my approach is comparable - i am just not sure the retail arb opportunities exist and whether any income from it is sustainable/drawable. The fact that the opportunities are likely to be a MISfunction of the broker rather than the market make is sooooo eas for brokers to pull any winnings back from you
LMAX might be an exception - they allow passive orders so you can try to "make the arb" happen
BTW you could reduce brokerage/transfer costs by setting up a hedged position between the brokers and closing it when it enters profitability (meaning the direction you desire) - the most you can lose is that you transfer the equity in the opposite direction