CHDMs main goal is to maintain performance and transparency. We are known for our offering as the most competitive trading platform and conditions available for trading. In This section we try to explaining the intricacies of the Forex market and regarding that market our policies execution of trading. Our prime suggestion to all our clients is to read this section carefully and attentively so as to be conscious and well aware of all the following conditions and then trade within a fully transparent environment .We CHDM regards execution and transparency as paramount.
Trading during open hours:
Our uninterrupted Forex trading hours opens from 23:00 CET Sunday to 23:00 CET Friday. During these times you can do trading using our platforms and the Problem handling desk (+41 58 226 22 02) is open. For Further information there is a 24 hour customer support desk redy to help you on hand regarding your any platform related issues.
Normal market conditions:
In normal market circumstances as when the market is Liquid and in low volatility. There will be spot orders executed upon the price at the time o clicking on (WYCIWYG) it means there is no slippage.
Close at market there will be best orders executed and the client will trade at the best market price possible at that time. This can be in the favor or against the client.
Spreads quoted are kept as low as 0.9 pip. CHDM lights-out into 70% of global Foreign Exchange liquidity with the help of its numerous Liquidity providers. Those providers are among the worlds largest financial institutions.
Stop and Limit orders will be available to be executed when once the market has reached the client's desired price which can also be called as the "trigger" (means Ask on a Buy and Bid on a Sell). At a best market price you can stop and execute your orders. This can be result in two ways it can be in the client's favor or against.
Volatile Markets:
In conditions of a volatile market (when news relating market moving, events or particularly activities) then there will be a spot order execution at a market price if prices has not changed during the accepted latency times. Then the client will not be entertained at a different price than the client clicked, keeping the normal market conditions intact (trade rejection).
The Stopping and Limiting of orders will be executed only once when the market has reached the client's assigned price which can also be called the "trigger" (Ask on a Buy and Bid on a Sell). At a best market price you can stop and execute your orders. This can be result in two ways it can be in the client's favor or against.
Spreads during volatile markets are vulnerable to expansion as financial institutions are hedged against the elevated risk and there exposure in these instances. CHDM endeavors to keep these expansions as low and fugacious as possible, thereby our partnerships with multiple liquidity providers that allow our systems to select from the bids the best bid there and ask for the prices amongst our provider banks.
Illiquid or thin markets:
Illiquid markets usually occurs when markets activities are low or during the times of important economical and political announcements by the Government. This is mainly due to a deficiency of buyers and sellers on the global currency markets and this is usually seen just after Sunday opening and on closing on Fridays. Usually after Tokyo opening at 01:00 - 02:00 CET there is a spread enlargement and liquidity freeze usually subsides. In these unusual circumstances spreads may be slightly wider than the normal.
These market conditions can also be faced in exceptional cases , such happens in the case of global economic slowdown or interbank credit squeeze are few names of these cases. Spreads during these markets which can be enlarged (as a result of the liquidity providers covering their risk).
Guaranteed fills:
Guaranteed fills on all market orders placed.
Trade mechanics and large ticket sizes:
CHDM has been constantly on the forefront of executing and providing a professional approach to pricing is the for most priorities of our business developments. In any financial market within its roots are the individual traders which are buying and selling a particular security, as the supply and demand is and will always remain be the fundamental reason behind the price shift. When ever an order is larger than the open interest upon it on the market then that will allow for it to be transacted; price moves until the supply equals the demand in market.
This same phenomenon applies for transactions at CHDM. Spreads from the moment tends out to be widen that a transaction size starts to heavily tap the liquidity that is available in the market upon the time of initial trade. This practice basically follows market convention and allows for trades of larger size to be priced according to the liquidity available and to that supplied by our liquidity providers. The foremost advantage of this institutionalized execution that the trading done on large scale becomes seamless and intervention free but does not makes any adverse effects on clients trading even if its smaller bands which are under 5 million.
Holiday/Weekend execution:
The foreign exchange markets close on the weekends results as liquidity downfall to untradeable levels. Basically the weekend which starts at 23:00 CET Friday and ends at 23:00 CET Sunday (please make it clear in your mind that Gold and Silver trading is only available from 7.30 CET till 22.30 CET). During these times all CHDM trading platforms closed for trading and can only be seen by you on a "view-only" basis. Furthermore, the dealing desk and customer support services are also closed.
No spot order can be placed into the market during the weekends and hence the price will be frozen on the platform as there is no price to be quoted n weekends.
There is no alerts given to existing positions or the orders which are pending are possible during the weekend period.
The Pending Limit (limit, stop, trailing stop, OCO, IF-DONE, IF-DONE OCO included) will be separated at "Market Best" on the Sunday open, hence making the stop or limit order becomes a "spot at market best" and then makes order at the opening price.
Be aware of those market gaps arising from the Friday close to the Sunday opening. This price gap can result in an open position being liquated at the first available price on the market opening for the preselected position size.