How to work out Broker Latency for Forex EAs
It is common for brokers demo accounts to perform differently from their live accounts. There can be a digit of reasons for this, like, spread, slippage, requotes and connection speed to name a few.
Today I want to focus on broker connection speed, which is also known as “latency”. This is how long it takes your PC to connect to the brokers servers via your Meta Trader 4 account.
Depending on the trading style your system or EA uses, the latency can be very valuable e.g. if you are scalping the market then every second and every price movement is vital to capatilize on, while if you’re a posistion trader then you can guess to be in the trade for a while which means you don’t need to worry so much about the smaller schedule in price or execution time.
So, how do you work out your brokers latency?