Sure, but 80 -> 28,000 -> 54,000 is a hell of a lot of slippage.

Trading platforms can guarantee a maximum slippage on stops, and often even offer guaranteed stops (with an attached premium), so I don’t see why Google and Firebase can’t do similar.

The way it works at present is ridiculous.

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zbentley 8 hours ago | parent | next [-]

Yep. And cloud providers could eat any slippage cost (enforcing, say, every 5 minutes by stopping service) without even a rounding error on their balance sheets.

The fact that they don’t indicates that there’s no market reason to support small spenders who get mad about runaway overages, not that it’s technically or financially hard to do so.

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nurettin 7 hours ago | parent | prev [-]

> Trading platforms can guarantee a maximum slippage on stops

Yeah no, physically impossible. If nobody is selling at that price, there is no guarantee your sell stop will execute near that price. They can sweep the market, find the best seller price and execute.

There might be a costly way to do it with microservices as I indicated, but your example easily falls apart.

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dmurray 5 hours ago | parent | next [-]

They can take the other side of your other themselves, lose money sometimes, but make it up in the premium they charged you in the first place (or in the old days, from your other trading fees or your monthly subscription payment).

Cloud providers would be taking way less risk interacting with their own services than a broker does interacting with the market. Perhaps they would be more at risk from bad actors, but it shouldn't be significant: they could reserve this behaviour for people who have already spent, say, $100 with them so you can't abuse it at scale.

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projektfu 7 hours ago | parent | prev | next [-]

If they are a market maker, they can buy/sell at or near your stop. It might be a bad idea for them, but if they have a guarantee, this is how they will do it. Or, it will be like the Amazon guarantee (refunding free shipping on your late order).

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bartread 7 hours ago | parent | prev [-]

Not impossible to do: they can hedge and/or absorb the cost, hence the premium. They usually also specify a (fairly large) minimum distance for such stops.

	▲	nurettin 6 hours ago \| parent [-]
		That's exactly what I proposed in my response. Big corp can waiver the extra costs to match your limit. Glad we finally got to that part of my response. The question is: will they? Probably not. Do brokers do it? I haven't seen any. Maybe you know more.