Trading Forex via Intreactive Brokers

Is anyone trading forex via Interactive Brokers?
If so would you mind listing the adavantages/disadvantages over say a forex only broker (e.g., Alpari).

Also can some please how I determine position sizing via IB. Im used to calculating via mini lots ($1) but I dont see that option. I already have an IB account.

Thanks,
Steve

Advantages:
Narrower spreads, comparable to Currenex connected brokers.
Can use for real currency conversions if you want to.
Can use to trade other markets if you want to (stocks and futures etc.)

Disadvantages:
Rather difficult to use order entry system (book trader is better than FX trader if you can master it).
P + L accrue in different currencies unless you offset a position using a slightly different size.
Margin requirements higher than other places, typically 2.5%

For order size choose any number >= the minimum accepted for that currency pair.
Minimum and maximum order sizes: http://www.interactivebrokers.com/e...?exch=ibfxpro&showcategories=FX&ib_entity=llc

Steve,
To add to GC1s reply you have the choice of trading spot using 'idealpro' or the CME currency futures, although liquidity not great in these. If you use volume in trading you could of course chart the CME futs but trade the spot.

As GC says BookTrader tricky to master but does allow forex, futs, and stocks to be traded from a single platform. You can have multiple Booktrader windows open and either tile them according to screen size or minimise and recall as required.

FX Trader in TWS is quite convenient.

Can you join the bid and offer at IB? ie. If the market is 80/82, and you bid at 81, does the market become 81/82?

Yes, you can.

Hi GC1,
thanks for your summary. It's very useful.
In particular can you elaborate on"P + L accrue in different currencies unless you offset a position using a slightly different size.". I find this thing - accrue in different currencies - a bit annoying, how can I manage this? Are you able to produce an example?

Thank you

A_cats