A couple of times now I have been caught out with my stop loss not being placed due to insufficient funds to cover the liability of lay bet.
My question is this. If I am placing a B2L with a stop loss. The back bet is matched and the lay bet is offset. Should the price drift out to my stop loss, do I require enough funds to place the stop BEFORE the offset lay bet is cancelled?
I hope this makes sense to someone.
Thanks. u
Question about stop loss and liability.
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CallumPerry
- Posts: 575
- Joined: Wed Apr 19, 2017 5:12 pm
I may have misunderstood the question but if you are Backing first then you shouldn't have a problem.
For example, say you have £100 in your account and you place a back order for £100 on a single bet (very bad bank management but hey ho), well if you wanted to close a trade you could close for a stake up to and including the £100 you already have on the selection you have backed without worrying about having no money in your account.
If you had your full £100 on a back bet on selection 1, the only time you would see anything to do with not having sufficient funds would be if you were trying to close (Lay) using a stake larger than £100 or trying to open a new trade on a different selection in the market. Therefore you can use a stop loss for £100 on the same selection in this market no problem.
For example, say you have £100 in your account and you place a back order for £100 on a single bet (very bad bank management but hey ho), well if you wanted to close a trade you could close for a stake up to and including the £100 you already have on the selection you have backed without worrying about having no money in your account.
If you had your full £100 on a back bet on selection 1, the only time you would see anything to do with not having sufficient funds would be if you were trying to close (Lay) using a stake larger than £100 or trying to open a new trade on a different selection in the market. Therefore you can use a stop loss for £100 on the same selection in this market no problem.
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iambic_pentameter
- Posts: 450
- Joined: Wed May 18, 2016 1:24 pm
Although the OP hasn't said what sport they are trading on, if it is horse racing, you need to be aware that there is no guarantee that the stop loss will get taken.
The prices can move so quickly that it could fly past your stop and never return again.
Iambic
The prices can move so quickly that it could fly past your stop and never return again.
Iambic