What is the Difference Instant Execution and Market Execution?

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In forex trading, instant execution and market execution are two common order execution methods, each with unique characteristics affecting trade processing and pricing.

Instant Execution

With instant execution, your trade is executed at the exact price displayed when you place the order. If the broker cannot fulfill the order at that price, they issue a requote, offering a new price. You can then decide whether to accept the new price or cancel the trade.

  • Key Benefits:
    • Ensures price certainty.
    • Allows setting “Stop Loss” and “Take Profit” before execution.
    • Best for traders who prioritize precision in trade pricing.

Market Execution

Market execution processes orders at the next available market price. Since prices fluctuate constantly, the trade may be executed at a slightly different price than displayed at the time of placing the order.

  • Key Benefits:
    • No requotes, ensuring faster execution.
    • Suited for traders who prioritize speed over exact pricing.
    • Offers better access to fast-moving market opportunities.

In summary, instant execution provides more price control but may result in requotes, while market execution offers faster order fulfillment at the best available price, even if it differs slightly from the requested price.

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