Hi, is there anybody here in C2 can tell me which systems are using market on open to enter and exit their trades? I believe this type of order entry method would reflect the true system performance since this would omit most of the slippages.
Thanks very much
Regardless of whether strategies use limit orders or market orders, the system performance stats you see on C2 automatically do reflect real-life slippage. Here’s why.
C2 automatically changes the trade execution prices you see on the performance stats so that they match the Volume Weighted Average Price (VWAP) of all real-life AutoTraders who are following the strategy. So for example if a strategy tries to trade illiquid stocks, or tries to pick off limit orders that are “just-touched” (but that don’t have enough liquidity to trade through and clear the market) then the performance stats on C2will be degraded to match the stats of the real-life traders following the strategy.
Matthew is correct only for those trading strategies that have autotraders, as he indicated in his comment.
However, not all trading strategies have autotraders. Therefore, potential subscribers should be aware that for those trading strategies that do not have any autotraders, their executions are based on the bid or ask prices in effect at the times of the trade alerts, whether or not all subscribers could have actually received those prices.
Therefore, in my opinion, potential subscribers should place more weight on trading strategies that have many autotraders (as does ETF VOLATILITY TIMER), because you know that those trades actually were executed in subscribers’ accounts.