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IC Markets VPS Hosting for Low Latency Trading

In the world of Forex and CFD trading, the distance between your trading platform and the broker’s execution server (latency) can directly impact the profitability of your strategy. A Virtual Private Server (VPS) is the essential tool that solves this problem.

Furthermore, for those running high-volume, automated systems, maximizing efficiency is key—strategic cost-saving solutions, such as a Cashback IC Markets program, can significantly boost the net returns of your low-latency setup.

The Necessity of Low Latency Trading​

Low latency refers to the minimal delay between an order being sent from your terminal and its reception by the broker's server. For automated trading, latency is a performance killer.

Why Your Home PC Fails​

• Internet Reliability: Your home or office internet connection can suffer from frequent outages, slowdowns, and reboots, which interrupt continuous trading.
• Power Failures: A simple power outage will shut down your trading terminal, halting your EAs and leaving positions exposed.
• High Latency: Your computer is geographically far from the broker’s server, meaning data packets take longer to travel, resulting in delayed execution and increased slippage, especially during volatile market periods.

The VPS Solution​

A VPS is a virtual desktop hosted in a professional, secure data center with redundant power and internet. Crucially, IC Markets’ recommended VPS providers are co-located near the broker's primary trading servers.

IC Markets and the Equinix NY4 Data Center​

IC Markets strategically places its execution servers in the Equinix NY4 data center in New York, which is the global hub for institutional Forex trading.

Co-Location Advantage:

• Server Proximity: By using a VPS hosted within or extremely close to the Equinix NY4 ecosystem, the physical distance between your EA and the IC Markets server is reduced to a few feet.
• Milliseconds Matter: This proximity drastically reduces latency to the lowest possible level, often below 1 millisecond (ms). This speed ensures your market orders are filled with minimal slippage and that your EAs can react faster than the rest of the market.
• Reliability: The VPS runs on professional-grade hardware with guaranteed uptime, eliminating the risks associated with your home computer.

Read more:

• https://www.nicovideo.jp/user/142579162
• https://trio.vn/dich-vu-27/ic-markets-commission-structure-explained-clearly-18937

How to Utilize VPS Hosting with IC Markets​

IC Markets works with several trusted third-party VPS providers (such as ForexVPS, BeeksFX, etc.) and often offers subsidized or free access to VPS hosting for high-volume traders.

1. Meet Criteria (Optional): Check if you meet the volume or deposit criteria for a subsidized or free VPS offer from IC Markets. Typically, this involves trading a minimum number of lots per month.
2. Purchase/Request: Sign up for the VPS service through a recommended provider. Ensure you specify the location as close as possible to the IC Markets trading servers (NY4).
3. Connect: You will receive remote desktop credentials (IP address, username, password). Use your computer’s Remote Desktop Connection tool to log into your virtual server.
4. Install Platforms: Once logged into the VPS, download and install the IC Markets MT4, MT5, or cTrader terminal directly onto the virtual server.
5. Run EAs: Log into your trading account on the VPS platform. Load your Expert Advisors and custom indicators, and leave the Remote Desktop Connection open or minimized. Your EAs will now run continuously, 24/7, with ultra-low latency.

VPS and Algorithmic Profit Optimization​

For EAs to be profitable, they need low trading costs to accompany low latency.

The Cost-Efficiency Equation​

An algorithmic strategy that executes hundreds of trades a month can quickly see its profits eroded by transaction costs. The benefit of a fast, low-latency VPS setup is amplified when paired with IC Markets’ Raw Spread Account, which offers near-zero spreads and low commission.

Strategic Cost Reduction​

Even with the best execution environment, the commissions add up. This is where strategic expense management comes in. For high-volume automated systems, utilizing a solution like a Cashback IC Markets program returns a percentage of the commission paid directly to the trader.

This rebate systematically reduces the overall cost of running the high-frequency strategy, making the entire automated operation more profitable and resilient.

Conclusion​

In conclusion, VPS hosting is a non-negotiable professional necessity for serious algorithmic traders using IC Markets.By ensuring your trading systems are co-located near the Equinix NY4 server, you achieve the ultra-low latency required for precision execution and minimal slippage.

Author: Backcom App