Requote

Last verified 5 Nov 2025·How we review

A Requote in the forex market occurs when a broker is unable to execute a trade at the originally requested price and offers a new quote for the trade. This typically happens in fast-moving markets, where prices can change rapidly before a trade is executed.

What it Means

In forex trading, speed and price accuracy are crucial. Traders request quotes, which are the prices at which they are willing to buy or sell a currency pair. However, due to the volatile nature of the forex market, the available price can change in the brief period between when a trade is requested and when it is executed. When such a discrepancy occurs, the broker cannot honor the original price and must offer a new one. This new quote is known as a Requote.

Why it Matters

Requotes are significant for traders for several reasons:

• They can impact the profitability of trades. If the market moves against the trader’s position in the time taken to requote, the new quote may be less favorable.
• Frequent requotes can indicate high market volatility or issues with a broker’s execution system.
• They affect the speed of trade execution, potentially leading to missed opportunities.

Understanding how and why requotes occur can help traders choose the right brokers and develop strategies to minimize their impact.

How it Works

When a trader initiates a trade, the broker attempts to execute it at the requested quote. If the market price changes before the execution, the broker, depending on the trading platform and its settings, may either:

• Execute the trade at the next available price without informing the trader, risking a slippage.
• Issue a requote, offering the trader the opportunity to accept or reject the new price.

Common Use Cases or Examples

• During major economic announcements: Prices can become particularly volatile during events like central bank decisions or employment reports, leading to requotes.
• In fast-moving markets: When prices for a currency pair change rapidly, traders may frequently receive requotes before being able to execute a trade.

Benefits and Potential Risks

Benefits:

• Transparency: Requotes ensure that traders are aware of price changes before a trade is executed, allowing for informed decision-making.
• Control: By requiring trader approval for the new price, requotes prevent trades from being executed at unwanted prices.

Potential Risks:

• Missed Opportunities: Waiting for a requote and deciding whether to accept it can delay trading, potentially causing traders to miss profitable opportunities.
• Worsened Execution Prices: If markets move quickly, the new quoted price may be substantially worse than the original requested price.

Conclusion

Understanding Requote is crucial for forex traders, as it directly impacts trade execution and profitability. While they can be frustrating, requotes are a reality of trading in a volatile market. By selecting brokers with robust execution policies and strategically managing trading during volatile periods, traders can mitigate the impact of requotes on their trading activities.