Discussions on new traders

[Hate2Lose]

ECN, you end up sending your trade to another broker or a big bank, again depending on the bank relationship with your Prime Broker, there is always counterparty risk. For a bank to collapse like LEHMAN for example is more rare than an unregulated broker!
It does not mean though that the market will move, because the LP might take trade and internalise it!

Broker/dealers though advertise ECN, but still do not offset in the market! most of them!

That has pros and cons; for example/
Pros, faster execution than real ECN, less slippage and trade acceptance rate.
Cons, counterparty risk i.e. a broker/dealer defaults and not pay, manipulation of trades and bigger slippage.

DMA on level 2, prices will not move a lot if the product is very liquid like Google for example or might not move at all. If people are looking to move markets then DMA. Also yes trustworthy brokers are the best.

Agreed!

 

[Magos]

Day 8 - Summary on retail traders care mostly about could not be created due to no data.

 

[DitterPD]

Can we write here mundane, daily needs or only something related to trading?

 

[Magos]

Yes of course.

 

[Magos]

Summary: and last post on this topic

retail traders care mostly about:

1. No fees on deposits and withdrawals
2. Fair execution (fast, no-slippage and no-requotes)
3. Good graphs (excluding spikes)
4. Friendly and trained personnel (trading experience)
5. Freebies (cash, rebates, courses BUT with no hidden terms and conditions)
6. Regulations (complains procedure)
7. Safety of funds (brokers should guarantee them 100%)
8. Credibility of the brokers (trader forums and specific forums on trading experience)
9. Experience traders like ECN (core spreads and commissions)
10. The broker needs to advertise his model (agent vs. dealing desk and how do they their money!)
11. The broker need to show that he can always pay (show statement online)
12. All products should have clear explanations (so that newbies understand them and easy to use tools )

 

[pro_fx]

Tight spreads obviously with low pips, no requotes and pip slippages.
Above things should help a new trader and even any new trader wants nothing more than this, with a perfect broker (regulated, of course)