What is a Requote in Forex
What Exactly is a Requote?
When you place a market order in forex, you expect it to fill at the current price. However, if the market moves quickly or liquidity is thin, the broker may not be able to fill your order at that price. Instead, the broker sends you a ‘requote’ — a new price at which they are willing to execute your trade. You then have the choice to accept the new price or cancel the order. This is different from slippage, where the order is automatically filled at the next available price.
How Requotes Work in Practice
Imagine you are trading EUR/USD in Afghanistan. You see a quote of 1.1050 and click ‘Buy’. The broker’s server, possibly located in Europe or the Middle East, takes a moment to process your request. During that split second, the price moves to 1.1052. The broker then sends you a requote: “Price is now 1.1052. Do you want to buy at this price?” You must decide quickly. If you accept, your trade opens at 1.1052, costing you 2 pips more than expected. If you cancel, you may miss the move.
Why Requotes Matter for Afghanistan Traders
For traders in Afghanistan, requotes are especially relevant because many retail brokers operate offshore and may have slower execution speeds. Additionally, during the Asian session (which overlaps with Afghanistan’s daytime), liquidity can be lower, increasing requote frequency. Requotes can eat into profits quickly, especially for scalpers or day traders using small timeframes. They also affect traders who fund their accounts via USDT or Skrill, as these methods may involve additional conversion steps that delay order placement.
Requotes vs. Slippage vs. Rejection
It is important to distinguish requotes from slippage and rejection. Slippage is when your order is executed at a different price without asking you — common in fast markets. Rejection is when the broker simply cancels your order. A requote gives you control, but it also slows down your trading. In Afghanistan, where internet stability can vary, requotes can be frustrating. Using a broker with ‘Instant Execution’ or ‘Market Execution’ can help reduce requotes, but may increase slippage instead.