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Oanda FXTrade

High rating by Brokerchooser Oanda review

I almost opened an account with them but eventually didn't. However, I do follow the company and they introduced an interesting development for their 21st Anniversary, core pricing.

Would agree with the bottom line of the Oanda review written by Brokerchooser:
http://brokerchooser.com/broker-reviews/oanda-review

"Out of the tremendous amount of Forex and CFD brokers Oanda stands out from the crowd by truly placing regulatory compliance - therefore safety - and customer satisfaction in the frontline"
Bad

Unreliable broker. News trading cant be done , scalping cant be done , wide spreads during volatility and news , sluggish execution during volatility , slippage , platform hangups during volatility .. etc . So whats the point exactly ? This broker is best suited for grid trading at size 1 or 10 units but thats it . Customer support is not there , unprofessional to say the least .
Used to be good - now their spreads are a joke

Oanda used to be excellent. However recently (2013) their spreads are a joke - there is no good reason for this.

I would advise moving to another broker.
Great for New Traders

Oanda are great for real low deposit trading for new traders. Don't demo as demo platforms let you win.

Thats when you have worked out how to get funds on which can be mission at first.

You start to profit MOVE broker ! Withdrawals 10+ charge

You need to use a broker with DMA (Direct Market Access) platform and not spread betting.
depositing funds

they dont accept credit cards
Checks

I Withdrew some money March 15, 2007 I still havent received my check, I talk to them they told me, that they had my check that it was returned to them, they told me to verify my address, that if my address was current, I told them it was, April 4 they told me that they sent my check, and it's April 15. They said that it would take 7 days for my check to get to my house, I just talked to them again, they told me to wait until tomorrow (monday). That's a long wait. Dont you think? one month! We will see if I get my check tomorrow if not I will let all of you know...
My view on Oanda

Haven't found a perfect SB / Broker. Things I like about Oanda 1) NO delay in price fills (fully automated, no herbert on the other end delaying your trade. 2) Reliable platform 3) Can set defaults on position size, stop, take profit. 4) Easiest I've come across to close orders, take part profit, reverse, move stop.Can do all of this from the chart. 5) NO minimum position size Thinngs I don't like 1) Spread stays wide Sunday open till around 8 AM Monday. 2) Only basic charttools (though enough for me and easy to use facilities
Linux Platform

Only platform that works well on Linux OS for ForEx trading; It is browser based and server side...
OK but still a Bucket Shop

I have worked for a number of traders so I get to hear what top trader clients really think about various brokers. This review is based on my personal experience and what they have told me.

Of all the single counter-party brokers they are pretty good. Tight spreads (except duing news), trade any size, automated price generation (see below however) etc. Their platform has been a little flakey of late but in general is ok if a little simple.

However, they are still a bucket shop. Since they are the counter-party to your trades they will take "evasive action" should you start making too much money from them. OandA can do this because of their unique "next available price" rule for their quotes, namely that when you enter a limit or stop order you actually get filled at the next price that their server generates once the level has been touched. Fair enough you say, but this gives them a license to fiddle the price against you if you start doing too well. On two seperate occasions now I have heard of people who were doing very well trading with OandA so that they were trading 1 million up with them. Suddenly they started getting poor slippage on their fills and found that the price on the market they were trading would get skewed against them by a pip or two. Basically this was enough to destroy the edge that they had and they had to move elsewhere. It seems that if you do well enough to get noticed then they put you on "special fills". When you think about it any single counter-party to your trading is going to do this: they know your position and what you make they lose since in practise they rarely actually bother to hedge against your trades - a genuine bucket shop in other words. If you are trading with a single counter-party then basically you are trading their own private market and they can do what they want with the price.

In conclusion OandA are one of the better bucket shops around but they are still a bucket shop - I personally would only trade on an ECN now to ensure that I am trading in a fair market.
I love them!

Tight spreads (except during very fast markets), fantastic customer service.

I also have a managed account with Olsen Invest (which is currently loss making after 3 months but the system - based on his book - is sound) and their service and customer web interface is also very good.

Olsen Data sells high frequency FX data. I use them for quant research and have over 50 million ticks of their data in my database - the quality of that is first rate as well.

My only criticism is that their Box Options are pretty useless.

There is no one better for FX brokerage in my opinion.
Great

Spreads increase briefly during news times but it's not a big deal, just the price you pay for trading in a volatile market.
Oanda gone to the pits

It was once good for forex trading but now it's the worst bucket shop out there. They increase their spreads to up to 25 pips during even minor economic announcements and slip you and freeze their platform. Appalling.
Oanda FXtrade

Spreads...
EUR/USD 1.5
GBP/USD 3
USD/CHF 3
USD/JPY 2

Pros:
Automated instant fills, flexible lots, interest on deposits and easy to use. Charts are clear and can see/manage your positions on them. defaults for stops/limits.

Cons:
Charts are basic

Since all orders are market or market on touch(in the case of limits) you can set bounds that ensure your only filled within the bounds.
Top tip: if your using limits for an entry i.e buy entry, only set the upper bound... so if slippage occurs its in your favour..
Oanda FXtrade

The bid-ask spread for the major currencies are the smallest I can find on the market.

Oftentimes the log-in time is a bit slow.

When I log in and place my first order for that session my order seems to take a bit longer to be executed.

No trailing stop, although I don't use such an order anyway.
Oanda FXtrade

I have been using Oanda fxtrade now for 14 months and can say the following:

Firstly, a bit of back ground about the company,OANDA. It was formed in 1996 by Dr Micheal Strumm, a prof. in Computer Engineering and Dr R. Olsen an economist. The company is a lot more than just a forex trading platform, it covers just about every aspect of forex. It has offices in New York (HO), Toronto and Zurich. It has 14000+ clients including a number of large household name corporates.

FXtrade was designed to be a true 100%electronic platform devoid of dealer intervention.

It was easy and quick to open an account. There is no minimum amount for opening accounts and multi currency sub accounts can be opened in the following currencies: USD,EUR,JPY,GBP,CHF,CAD and Aussie dollar. Withdrawals from the account have also been no problem, it takes 30 seconds to click on the funds withdrawal form and fill out the amount to withdraw. I think the withdrawal fees are quite steep: first withdrawal in a calendar month is 40 euro and any other in the month is 15 Euro. Or 25 for first and 15 for second, and in USD acc international transfer is $40 and $15 for subsequent.. So maybe a tip for regular monthly withdrawers is to make first withdrawal at the beginning of the month and second just before the end of the month and then skip the next month and do the same in the subsequent month,saves a little.

Now on to the FXtrade platform.
Firstly, it is totally internet based, accessable from anywhere. It is remarkably stable and I have never had a single day of downtime. One thing to note is if you browser suppresses Pop-ups you will be unable to log-in, this will need to be adjusted.

Oanda is trully 100% electonic, it is evident in the instantanious fills received. To do this ALL orders are executed as MARKET orders. So slippage is a possibility. The worsed slippage I have received on a stop order during NFP's was 11 pips, but I have heard accounts of much larger slippage, in normal market conditions you get your price instantanously.

There is no minimum lot size. You make your lot size what you want from $1 up. I think this is great because it gives gives total flexibility and allows for small traders to hone there skills on a small account risking 'bread and milk' money. I have found the greatest use of this in combating those 'BOREDOM Trades' where I trade just for the sake of trading, I still do it, just on a lot size of 10 euro, so the loses are but cents.. And when I get that trade that sets up properly I can step on the gas a bit.

Leverage is not the best compared to others it is adjustable between 20:1 and 30:1. So along way off the regular 100:1 and up offered by others. But it keeps you from losing your head. Spreads are good, during regular trading hours the following is the norm:

EUR/$ 1.8 pips
$/JPY 2 to 3 pips
BP/$ 4 pips
$/CHF 3 pips
Aussie 2 pips.

During the Asian opening hour on monday and NY late afternoon hours on friday spreads widen to 10 on euro.gp etc, due to less liquidity. Also around economic data release spreads widen usually about double normal. I have found this useful as a good indicator of when volitility is about to occur in the market and pay extra attention.

Another interesting feature is that it is possible to trade 24/7, so trades can be opened closed adjusted on Saturday or Sunday. The market prices are static during this time. So at least if some thing dramatic happens on the weekend that will affect prices on Mondays open it is possible to open or close a trade during the weekend to take advantage of the news.

Charts are OK, they are not the best in that data is limited. So it is possible to be oblivious to long term trends and S/R which are not apparent on short term data. Indicators are abit scarce just they have most of the favourite but Fib's and Ganns would be useful. Some other features that would be useful are trailing stops.

All in all I am happy using them and would recommend them.
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