Tag: forex broker

Evaluating A Forex Broker

Evaluating A Forex Broker

Trading Articles
For many people who may be considering forex trading for the first time, one of the benefits is that it's considered to be a simpler process than, say, delving into the stock market. The ease of entry into the forex market is sometimes cited as one of its most alluring features. To an extent, this means you can set up an account to trade forex with a relatively small sum, particularly compared to other markets. But it also refers to the relative ease of setting up a portfolio. The misconception, however, is that many interpret "ease of entry" to mean that they can simply go online and buy and sell currencies the way they might do when purchasing a commodity like gold or silver (or even Bitcoin). While some experienced forex traders would argue that trades can be executed in a more hassl...
LMAX Exchange Review

LMAX Exchange Review

Forex Broker Reviews
For traders who are looking for institutional quality, no dealing desk execution, LMAX exchange offers a perfect trading environment. LMAX Exchange is registered with the FCA (Registration number 509778) with its offices registered in England and Wales. LMAX Exchange is the first one of its kind true MTF (Multilateral Trading Facility) and is a liquidity provider for many retail forex brokers, thus ensuring tight spreads even during early Asian sessions. LMAX Exchange is listed in 'The Sunday Times Tech Track 100' and has won many awards including 2013 Best Margin Sector Platform - Profit & Loss Readers' Choice Awards 2013 Best FX Trading Platform - ECN/MTF - WSL Institutional Trading Awards 2011 Best Trading System - Financial Sector Technology Awards 2011 Oracle'...

So, what’s the Big Deal about ECNs?

Trading Articles
If the answer is Yes and No, then what’s the big deal?  Simply put:  Transparency. Alternatively, perhaps more aptly put the promise of transparency.  Some investors may initially be attracted by the spreads, but the real reason that so many traders like ECN is the chance to see how a real market operates.  There’s no lying or cheating; what you see is what you get.  For a lot of us, that’s all we really want:  A fair trade. Bear in mind, though, your old retail trader wasn’t necessarily out to cheat or lie to you.  It’s just that their business model doesn’t actually inspire confidence.  Add to that the frequent and numerous media reports of brokers who practiced all sorts of the illegal doings, and you’ve got a market full of traders and investors just begging for transparency. Tha

Forex Spreads Explained

Trading Articles
The difference between the bid and the ask price of a security or asset is known as a spread. In other words, the difference between bid and ask price is known as a spread. In the forex markets investors trade one currency for another. Therefore, currencies are quoted in terms of their price in another currency. Currencies are always quoted in pairs (e.g. USD/EUR). The first currency is called the base currency and the second currency is called the counter or quote currency (base/quote). For example, if it took EUR1.20 to buy US$1, the expression USD/EUR would equal 1.2/1 or 1.2. The USD would be the base currency and the EUR would be the quote or counter currency. Forex quotes are always provided with bid and ask prices, similar to what you see in the equity markets. The bid represe...

Which forex spreads is right for you

Trading Articles
When looking for a prospective broker a prospective trader/investor should research how the forex broker price their spreads. Most often it's not easy to miss as it's advertised quite visibly. There are basically two kinds of spreads. Fixed Spreads Variable Spreads In order to understand these two, we need to first know what spreads mean in forex trading terminology. Why should I be bothered by spreads. Over a period of time, the spreads that a trader pays to the forex broker while executing the trades ends up costing a significant amount, and should be a key consideration when choosing a Forex broker. Every forex trader pays a spread. A spread is the difference between the ask and bid price. It is the spread that earns market markers, or in other words the forex broker you trad...