Fxcm Spreads

[brettus]

If you are looking for ECN broker, I think you would like FXCBS Forex Online Trading, Low Spread, Trading Software, Free Signals professional account option, they have MT4 ECN platform. Spreads are low and reasonable, you can run EA, or scalping. I have been trading with them for a while and I like it.

Leverage: 100:1
Min. deposit: $10k
Min. lot size: 0.5

These guys are shocking.

 

[brettus]

If you are talking about FXCM, their spreads change "dramatically" once you start making money. See this screenshot of two (actually three) trading accounts. The account on the left has been making money for about 9 months, the accounts on the right are new.

I read a great article on this ---> http://www.tradingmarkets.com/forex/trading-lessons/how-your-forex-broker-makes-money-839961.html

All brokers do this, not just FXCM. Although they won't own up to it. For me it is no big deal since the spread cuts into my trades very little, since I trade daily charts, for relatively big chunks, but for the scalper it can mean the death of a profitable system.

Is one of those accounts micro and one normal. I noticed their normal spreads differ. They have the choice of throwing your trading to a bank or taking it on. I'm sure when you're in profit they throw you onto a widened bank feed and stop taking your flow on, hence you have bigger spreads.

 

[brettus]

Oanda's a market maker so the liquidity and pricing available is directly dependent on what they are willing to offer since they are making the market. The same goes for the spreads. Every US broker registered by the NFA/CFTC is required to disclose in their trading agreement how their forex execution works, so you can verify this as well.

I find this paradox from traders such as yourself interesting since on the one hand traders want a trading environment free of the conflict of interest posed by trading directly against your broker acting as the market maker which can control pricing, liquidity etc over the trading environment. Yet when you're trading with NDD forex execution in which pricing, liquidity, spreads, etc is determined on a competitive basis and you're trading in an anonymous environment, you think it is being controlled by FXCM.

The sugar coated market you seek is only available through a market maker which controls the complete trading environment, but you also have to live with the conflict of interest posed by your broker potentially profiting from your trading losses and having the ability to employ trading restrictions and re-quotes.

I know for a fact that not all your clients see multi bank streams, and that one provider wants to see both sides of the trade, and in return you receive a dollar/million incentive.

 

[Jason Rogers]

Is one of those accounts micro and one normal. I noticed their normal spreads differ. They have the choice of throwing your trading to a bank or taking it on. I'm sure when you're in profit they throw you onto a widened bank feed and stop taking your flow on, hence you have bigger spreads.

Hi brettus,

You can continue reading through the post to see that the picture was doctored by Jake to be obviously misleading. I'm sure Jake isn't the only one on the forum trying to spread misinformation so you have to be careful what information anonymous traders are feeding you.

-Jason