Market Conditions

2 min. readlast update: 06.19.2025

QT Funded provides a demo trading environment that closely mirrors real-world market conditions, including key factors like slippage and execution delays. This setup ensures that traders’ performance accurately reflects their ability to operate under real trading circumstances, rather than in a perfect, frictionless simulation


Why QT Funded Simulates Real Market Conditions

Although QT Funded is not a broker and does not place trades in the live market, it offers demo accounts that run on partner broker infrastructure. These accounts provide live data feeds, variable interbank spreads, and fixed commissions—creating a trading experience that replicates real market dynamics. Executions are subject to realistic factors such as slippage and delay, especially during high volatility or when large order sizes are involved.


What is Slippage?

Slippage happens when an order is filled at a price different from the one expected. It can be:

  • Negative Slippage – when execution occurs at a worse price than requested

  • Positive Slippage – when execution occurs at a better price than requested

Slippage is typically caused by two main factors:

  1. Execution Delay – Even brief delays in processing can cause price differences, particularly in volatile markets.

  2. Market Depth – If an order is large and exhausts liquidity at the best price level, the remaining volume may be filled at less favorable prices.


How to Reduce Slippage

While slippage is a normal part of trading, there are several strategies to reduce its impact:

  • Avoid Trading During Major News Events – These periods often involve extreme volatility, leading to larger price swings.

  • Split Large Orders – Breaking large trades into smaller chunks can help achieve better pricing.

  • Use Limit Orders – These allow you to set specific prices at which you are willing to buy or sell, helping to prevent negative slippage. However, they come with the risk that your trade might not be executed if the market doesn’t reach your set price.

 


Final Thoughts

QT Funded is designed for traders who want to prove their skills in an environment that reflects real-world trading conditions. By including elements like execution delay and slippage, the platform offers a truer measure of a trader’s abilities. If you're looking to test or improve your trading strategies in a real-market-like setting, QT Funded provides the right tools and environment to do so.

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