Market Orders

1. When the trader clicks on a price, he/she creates an initial order to open a position at the current market price. Before the initial order is submitted to the Dealing Desk, the trader must click yes in a confirmation window. The price sent to the Dealing Desk will be the price that was in the confirmation window at the moment the trader clicked yes.
2. The Dealing Desk receives the initial order and automatically executes it if the available price is at or within a few pips of the requested price. The opened position then appears on the client’s trading platform.
3. If no price within a few pips of the requested price is available, the Dealing Desk sends the client a requote at the most current market price. Client can either accept or reject the requote.
4. Orders will never be executed at the new price without the client’s approval of a requote unless the client is using Trader’s Range (see below). This means that there is never slippage on market orders (slippage is defined as the difference between the price approved by the client and the price at which the order is actually executed).
5. The Trader’s Range option allows clients to automatically approve requotes within a certain range. If Trader’s Range is set to 10, for example, requotes within ten pips of the requested price will be processed without requesting the client’s approval.
6. Please note that because orders placed by trading systems are classified as market orders, they are subject to requoting as per market order processing procedures.

Stop and Limit Orders

1. A definition of Stop and Limit orders may be found in the “Types of Orders” section of the website.
2. Stop orders are triggered when market price touches the price specified in the order, and Limit orders are triggered when the market price touches but does not break through the price specified in the order. When this happens, the client’s platform sends an initial order to the Dealing Desk requesting that the order be filled at the specified price. CMS has an in-house policy of honoring Stop and Limit orders of up to $1 million. Larger orders may be requoted if the market price has moved away from the specified price.
3. Please note that due to possible price gaps over the weekend, slippage on Stop and Limit orders is possible when the market opens at 5pm EST on Sunday.
4. The Stop and Limit policy, with regard to no slippage, applies only under normal market conditions. We do our best to provide execution at the trader's specified price. It is the in-house policy of CMS to try to honor all stop and limit orders up to 10 standard lots. However, during extremely fast market moves, this sometimes is not possible.
5. The minimum range between a new stop or limit order and the market price is a function of current market volatility. It is obvious that during, or immediately preceding, significant economic announcements, market volatility is greatly increased. As a consequence, most FCMs have 2 options: (1) widening the spread on currency pairs, or (2) increasing the entry stop and limit ranges. Effective immediately, the required range between a new stop or limit order and the market price will increase from 5 pips to a maximum of 35 pips approximately 15 minutes before a significant economic announcement, in order to reflect the degree of current market volatility. During extremely fast market moves, you may therefore notice that you are unable to place or move any stop or limit order to within 35 pips of the current market price. As do many FCMs, CMS offsets many orders with counterparty banks that supply price feeds. During the heavy market conditions, it is extremely difficult to get prices from these counterparties. This is another reason why CMS has adopted this policy. CMS feels that this policy is more beneficial to the client than offering a variable spread during times of peak volatility.

Please Note: Under normal market conditions. We do our best to provide execution at the trader's specified price. It is the in-house policy of CMS to try to honor all stop and limit orders up to 10 standard lots. However, during extremely fast market moves, this sometimes is not possible. Under no circumstances will a market order be executed at a price that is not approved by the trader.