What is a Requote in Forex? A Complete Guide for Bosnia and Herzegovina Traders

What Exactly is a Requote in Forex?

A requote occurs when you place a market order but the price has moved before your broker can execute it. The broker then asks if you want to trade at the new price. This is different from slippage, where the order is automatically filled at the next available price. Requotes are common with market maker brokers and during fast-moving markets.

How Requotes Work for Bosnia Traders

When you trade forex in Bosnia and Herzegovina, you typically deposit funds via Bank Transfer, Skrill, or USDT. You open a trade on EUR/USD at 1.1050. If the market suddenly drops to 1.1045, your broker may not fill you at 1.1050. Instead, you receive a requote at 1.1045. You can accept or reject it. This delay can cost you pips, especially on larger USD positions.

Why Requotes Matter for Bosnia and Herzegovina Traders

Bosnia's retail forex market is growing, but many traders use high leverage (up to 1:500 with some brokers). A requote on a leveraged USD trade can quickly turn a small loss into a margin call. Additionally, local internet speeds can vary, which may increase requote frequency. Using a reliable broker with fast execution is critical.

Requotes vs. Slippage vs. Rejection

Requotes are not the same as slippage. Slippage is automatic execution at the next available price, while a requote gives you a choice. Rejection means your order is not filled at all. For Bosnia traders, requotes are more common with brokers that have a dealing desk, while ECN brokers typically use slippage or instant execution.

For traders in Bosnia and Herzegovina, requotes are particularly important because of the local payment landscape. Most traders deposit via Bank Transfer (which can take 1-3 business days), Skrill (instant but with fees), or USDT (cryptocurrency, fast but volatile). When you fund your account, you want to avoid requotes eating into your capital. The local financial authority (the Securities Commission of the Federation of Bosnia and Herzegovina) does not specifically regulate requote practices, but it does require brokers to disclose their order execution policies. This means you should always read the fine print before depositing. Many Bosnia traders prefer brokers that offer 'no requote' guarantees, but these often come with higher spreads. Understanding how requotes work helps you choose between a market maker (more requotes, fixed spreads) and an ECN broker (fewer requotes, variable spreads).

1. Choose the Right Broker
   Select a broker that offers ECN or STP execution to minimize requotes. Check if the broker is regulated by the local financial authority or a reputable EU regulator like CySEC or FCA. Avoid brokers with a dealing desk if you trade frequently.
2. Use Limit Orders
   Instead of market orders, use limit orders to specify the exact price you want. This eliminates requotes because your order only executes at your price. This is especially useful for Bosnia traders trading USD pairs during news events.
3. Trade During High Liquidity
   Trade when both London and New York markets are open (13:00-17:00 GMT). This reduces requotes because there are more buyers and sellers. Avoid trading during low liquidity hours like Asian session or weekends.
4. Improve Your Internet Connection
   Use a wired internet connection or a VPS (Virtual Private Server) located near your broker's servers. In Bosnia, where internet speeds can be inconsistent, this reduces the delay that causes requotes.

For Bosnia traders, requotes are similar to 'slippage' in that both affect order execution. However, requotes are more transparent because you can reject them. Slippage is automatic. Another related concept is 'order rejection,' where the broker simply cancels your order without offering a new price. Requotes are preferable to rejections because you still have a chance to trade. Compared to 'instant execution,' requotes are slower but may offer better price control. Many Bosnia traders prefer instant execution for scalping and requotes for swing trading.

When you place a market order in forex, your broker sends it to their liquidity provider. If the price changes before execution, the broker returns a requote — a new price at which they are willing to fill your order. For example, a Bosnia trader wants to sell USD/CHF at 0.9000. The market moves to 0.8995. The broker offers a requote at 0.8995. The trader can accept (sell at 0.8995) or reject (cancel the order). This process happens in milliseconds but can feel slow during high volatility. Requotes are more common with brokers that use a dealing desk, as they manually approve trades. ECN brokers typically avoid requotes by matching orders electronically.

Example 1: Miralem from Sarajevo deposits $500 via Skrill and trades EUR/USD. He places a market buy order at 1.1050. The market jumps to 1.1055. He receives a requote at 1.1055. He accepts, but now his entry is 5 pips higher. If he closes at 1.1060, his profit is only 5 pips instead of 10.

Example 2: Aida from Mostar uses USDT to fund her account. She trades GBP/USD with 1:100 leverage. She tries to sell at 1.2500, but the market drops to 1.2490. She gets a requote at 1.2490. She rejects and waits. The market drops further to 1.2480. She missed a 10-pip profit because of the requote delay.

The Securities Commission of the Federation of Bosnia and Herzegovina oversees financial markets in the country. However, forex trading is not directly regulated by this body in the same way as securities. Most Bosnia traders use offshore brokers regulated by CySEC, FCA, or FSCA. These regulators require brokers to disclose their order execution practices, including requote policies. If a broker is unregulated, you have no recourse if requotes cause losses. Always check a broker's regulatory status before depositing funds via Bank Transfer, Skrill, or USDT. The local financial authority does not offer investor compensation for forex losses, so choose your broker carefully.

• Test with a Demo Account: Before depositing real USD via Skrill or USDT, test the broker's execution speed on a demo account. Place market orders during high volatility to see if requotes occur.
• Set Maximum Slippage: In your trading platform, set a maximum slippage level (e.g., 3 pips). This can reduce requotes because the broker will automatically fill you within that range.
• Use a VPS: A VPS hosted in Europe (e.g., Frankfurt or London) reduces latency and requotes. This is especially useful for Bosnia traders using automated strategies.
• Avoid News Trading: Major news events like US jobs data or FOMC meetings cause massive requotes. If you must trade, use limit orders or stay out until volatility settles.
• Monitor Spreads: During requotes, spreads often widen. Check the spread before accepting a requote. A wider spread may make the trade unprofitable.

Requotes are a reality of forex trading, especially for Bosnia and Herzegovina traders using market maker brokers. By understanding what requotes are and how to minimize them, you can trade more efficiently and protect your USD capital. Choose an ECN broker, use limit orders, and trade during high liquidity hours. Always verify your broker's regulation and execution policy. If you're ready to start trading, compare brokers on CompareBroker.io to find one that suits your needs with Skrill, USDT, or bank transfer support. Remember: knowledge is your best defense against requotes.