GBP/EUR spike

[Halo]

In the last hour or so had a GBP/EUR trade stopped out because the rate suddenly  spiked to circa 1.192, and then reversed almost instantaneously. I have looked at other currency sites to verify this, but can’t see any similar movement’s.
 

Can anyone recommend a way / independent site for me to verify this, or is something IG did to stop people out

[Caseynotes]

2 minutes ago, Halo said:

In the last hour or so had a GBP/EUR trade stopped out because the rate suddenly  spiked to circa 1.192, and then reversed almost instantaneously. I have looked at other currency sites to verify this, but can’t see any similar movement’s.
 

Can anyone recommend a way / independent site for me to verify this, or is something IG did to stop people out

Hi, can you screen shot and post the chart to make it easier for anyone to check?

[CharlotteIG]

If you were holding a short position, you would have been close out at 9:30 GMT time as the price high at the time was 1.19245. 

The price was legitimate there with the 12 price providers we use. 

[Halo]

Sorry, don’t know how to do a screen shot and put on the community, but I’m assuming the movement I am questioning would jump out at you if you don’t mind looking at a standard IG GPB/EUR chart for the last few hours. 
 

Thank you for taking an interest in my query, and for anything you can advise 

[Caseynotes]

3 minutes ago, Halo said:

Sorry, don’t know how to do a screen shot and put on the community, but I’m assuming the movement I am questioning would jump out at you if you don’t mind looking at a standard IG GPB/EUR chart for the last few hours. 
 

Thank you for taking an interest in my query, and for anything you can advise 

To save a chart right click and then click export chart, a copy will be placed in your download folder and you can add it to a post from there.

The recent spike also showed up on Tradingview though seen as a spike up and a gap down, see pic below.

[CharlotteIG]

12 minutes ago, Halo said:

Sorry, don’t know how to do a screen shot and put on the community, but I’m assuming the movement I am questioning would jump out at you if you don’t mind looking at a standard IG GPB/EUR chart for the last few hours. 
 

Thank you for taking an interest in my query, and for anything you can advise 

I just spoke with the desk and the price move was legitimate. We use 12 currency providers to provide the best bid and offer for clients. 

I wouldn't be able to comment on any other FX brokers pricing but that's how we price our FX markets. 

 

The was some volatility because UK PMI numbers were out at 9:30 GMT. 

[Halo]

Hello Charlotte,

Thank you for your response.

 As I am assuming you are an IG employee, I would be grateful if you could provide a list of your price providers, and if possible the price each one was quoting at the time. The movement seems strange based on the sites I have looked at.

This is not the first time I have experienced strange spike movements 

Does the IG platform use an automated algorithm to create its prices or is there human intervention?

thank you

[Halo]

7 minutes ago, CharlotteIG said:

I just spoke with the desk and the price move was legitimate. We use 12 currency providers to provide the best bid and offer for clients. 

I wouldn't be able to comment on any other FX brokers pricing but that's how we price our FX markets. 

 

The was some volatility because UK PMI numbers were out at 9:30 GMT. 

Thank you Charlotte, 

I would still be interested to know where your prices come from please. If your pricing is legitimate, I just want to understanding/see the data used for IG to quote a price of over 1.192

thank you

[dmedin]

This kind of thing happens all the time buddy.  Haven't you noticed it in other brokers' platforms?  (I haven't used anything but IG)

[dmedin]

Check Reuters or something similar:

 

[Mercury]

2 hours ago, Halo said:

This is not the first time I have experienced strange spike movements 

It isn't strange at all Halo, check out my GBPUSD thread for my take.  I also have an EURGBP (the more usual way of looking at that pair) thread.  The price spike occurred when the UK PMI data was released at 9.30am today.  The data was slightly better than consensus but manufacturing was still below 50 (i.e. contraction).  I discuss the possible fundamentals picture in the other threads, just my opinion, no one really knows. The technicals picture suggest bearishness for GBPUSD and bullishness for EURGBP (that would be bearishness if you are looking at the obverse GBPEUR).  Basically I am suggesting the data release marked the end of the short term rally in GBPUSD and now we will enter a phase where GBP drops faster and further than EUR but both will still drop.  The 9.30 price action may result in a daily pin bar price candle, which is bearish, but lets see when the day is done...

[CharlotteIG]

5 hours ago, Halo said:

Hello Charlotte,

Thank you for your response.

 As I am assuming you are an IG employee, I would be grateful if you could provide a list of your price providers, and if possible the price each one was quoting at the time. The movement seems strange based on the sites I have looked at.

This is not the first time I have experienced strange spike movements 

Does the IG platform use an automated algorithm to create its prices or is there human intervention?

thank you

You can find a list of the providers we use by following this link: https://www.ig.com/usermanagement/customeragreements?igCompany=iggb&agreementType=execution_venues&locale=en_GB

 

Depending on how others price their markets they may have slightly different pricing. 

 

[dmedin]

Apropos:

https://uk.reuters.com/article/us-britain-sterling-boe/british-regulators-scrutiny-to-fall-on-futures-order-after-mystery-spike-in-sterling-idUKKBN1ZU2QX

[Caseynotes]

10 hours ago, dmedin said:

Apropos:

https://uk.reuters.com/article/us-britain-sterling-boe/british-regulators-scrutiny-to-fall-on-futures-order-after-mystery-spike-in-sterling-idUKKBN1ZU2QX

lol around 2012-15 this use to happen every UK release, there was clearly a leak but suddenly stopped and nothing ever heard about it. 

[CharlotteIG]

GBP/EUR: Impact of Furlough Ending

 

Here's a small snip of the detailed article but is worth a little read and let me know what you think. 

Fully article here: https://www.ig.com/uk/news-and-trade-ideas/--how-will-the-end-of-the-uk-furlough-scheme-impact-gbp-eur--200917

[dmedin]

I think we're f*cked.

But at least toffs will still be able to hunt foxes