of your trading like I did. Oct :27:09, jonathan Smith in, market, the Financial Conduct Authority (FCA) has updated its warning list with unregulated broker FX Merchants on Tuesday. This is the best possible feature for high frequency traders who use EAs as you can trade in the best possible conditions 24/7 without having to keep your computer powered. Since s STP broker gives you Direct Market Access (DMA) and makes money from the volumes traded, not from your loses, it will always be on your side. A good ECN broker uses many liquidity providers in order to have lower spreads for its customers, since the system will connect the trader with the best" available in the system. The liquidity provider will win 101 pips (100 plus its 1 pip spread).
All trading strategies are allowed, since you are trading directly against liquidity providers, not against your broker. XMs VPS is located just.5 km from their data center in London and uses a high speed internet connection. This transforms your transaction into a bet against your broker on how the currencies will fluctuate. This results in a conflict of interest between trader and broker when the broker is a market maker.
The FCA stated that these companies are not authorized to offer its services in the country, but are illegally targeting UK investors. Figure 1: Forex Account Sizes, i believe that anyone wishing to invest a large amount in forex trading should read further because the next part of this article will explain why it is very important to have the right broker when it comes to large. There are many other reasons why XM Group is one of the best forex brokers, but I will let you check their website for additional information about their trading conditions: M Conclusion Trading forex with a large account requires a qualified broker that connects you. FSA Mauritius (Financial Services Commission Mauritius). According to the UK Financial watchdog, this entity are not licensed to offer its services in the country, but has been illegally targeting local investors. High leverage of up to 1:300 that can be adjusted lower when the account size is over 400,000 dollars. 2) The broker may decide to charge a commission for your trading and let you trade directly on the liquidity providers' spreads.