mastroiani
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Hi, I'm thinking of switching to an ECN broker form my Market Maker broker who sometimes has 10-14 pip spreads on GBP/JPY which is quite high.
I've checked MB Trading which seems pretty good. I downloaded their DEMO platform (not too bad) and did a few DEMO trades. What I noticed is that spreads are very similar to my Market Maker broker and on top of that I pay commission?
Am I missing something here? Ok, maybe MB Trading is ECN broker, but my current hasn't tried to screw me yet and I don't know if it will. Does it make sense for me to switch to an ECN broker who has similar spreads and charges me commission on top?
I've read at few places online that it's possible to very profitably place extremely tight spread trade with ECN brokers, down to 1 pip. Is that true? If so, how it is possible? Some traders write they basically place trades that cost them only 1 pip + commission. Some of them don't explain how they do it, but some write that they place LIMIT order and that's how they place such tight spread trades.
Would someone explain to me what it's all about. Why placing LMIT order would be cheaper? I apologize in advance if this is a very dumb question. If you're too lazy to reply please direct me to an online source and I will research it. So far I've been unable to locate anything that would explain it to me.
Thanks a lot.
I've checked MB Trading which seems pretty good. I downloaded their DEMO platform (not too bad) and did a few DEMO trades. What I noticed is that spreads are very similar to my Market Maker broker and on top of that I pay commission?
Am I missing something here? Ok, maybe MB Trading is ECN broker, but my current hasn't tried to screw me yet and I don't know if it will. Does it make sense for me to switch to an ECN broker who has similar spreads and charges me commission on top?
I've read at few places online that it's possible to very profitably place extremely tight spread trade with ECN brokers, down to 1 pip. Is that true? If so, how it is possible? Some traders write they basically place trades that cost them only 1 pip + commission. Some of them don't explain how they do it, but some write that they place LIMIT order and that's how they place such tight spread trades.
Would someone explain to me what it's all about. Why placing LMIT order would be cheaper? I apologize in advance if this is a very dumb question. If you're too lazy to reply please direct me to an online source and I will research it. So far I've been unable to locate anything that would explain it to me.
Thanks a lot.
