Order Execution Speed

Order Execution Speed - The time it takes for an order request to be processed and filled by the broker. It’s often measured in milliseconds. High execution speed is critical in automated strategies, especially scalping or high-frequency trading. Execution speed is defined as the time between when a broker receives your trade order and when the trade is completed. Low latency connections, fast gateways, and co-location improve this speed. Robots may log round-trip latency and execution time to ensure the strategy assumptions (e.g. arbitrage timings) are valid. A slow execution speed can lead to missed opportunities or increased slippage.