online fx brokers

Mar 24, 2001
11
1
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#1
Looked at most of them us based 5 pip spread. but i have found a 2 pip spread ECN with L2 (well sort of) at hotspotfx.com any comments please as i am thinking of moving over.
 
Nov 1, 2002
330
5
28
UK
#2
Hi chaders,

It depends on the currency you trade but Deal4Free offer 3 pips on Euro-£ and 4 pips on Euro-$ and $-Yen. Others are 5 pips. Trading with a spreadbetter has no commission and is tax free. Hotspotfx charge a commission on top of their spread. We've worked out on other threads on this board that small bets/trades are cheaper through spreadbet companies and larger bets/trades are better through small spread/commission based brokers - so it depends on your trade size.


I took this from one of Hotspotfx's slides on their website...

"The power of earning a spread. As a client, if you can earn 5 points, once a day, on $20 million………….You can earn an additional $200,000 per month……Which is $2,400,000 per year!"

Perhaps they're just in a different league from me. :)

cheers
 
Likes: wasp
Mar 24, 2001
11
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#3
MMillar Cheers for the input but they have a min trade of 100k so at $5 per trade its only 1/2 pip and you can get that back by going inside the spread. I went on one of (alan rich) L2 course's last year and i am just trying to put it to work on FX instead of the nasdaq.
 
Likes: wasp
Jan 31, 2003
6
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47
East London
#4
Oanda

Hi Chaders,

I have looked at many other brokers,
yet have done all my FX Trading thorough oanda (www.oanda.com or fxtrade.oanda.com)

EUR/USD spred of 2 pips (weekdays), a fantastic trading interface (well I like it)
and they pay you interest by THE SECOND.

What this means; say you go long 1MM GBP and the UK interest rate is 3.75% you will receive daily credit (calculated by the second) in your account with them..

Also they charge nothing for roling over (just the interest) and found their customer service second to none.

In the last 3 years, having opened many accounts, oanda has been by far my best choice.

I better go before everyine thinks I am plugging them - I am not affiliated with the comapny in any way.

Thankful for your unbiased comments!

Have a profitable trading day,
s33

PS: They charge no commission.. whatever the side of the deal.
 
Likes: wasp
Mar 24, 2001
11
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#5
fx/brokers

Hi Smiley. Yes doing the demo with (oanda) but i am looking to get more leverage. than 20/30 and like the L2 bit on hotspot.
 
Feb 21, 2003
4
1
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54
Kent
#6
Hi I just found this forum...nice to meet you guys. I've been trading forex for quite a while in banks but only been doing it for a short time for my own account. I looked at alot of online brokers but chose Hotspot mainly because I had alot of respect for some the guys who started the company a few years ago. I have found the system to be the most like what I used when I was in the interbank market (EBS). I am very happy with the system, especially the trade execution (instant with no requote like some of the ones I looked at) and spread as well as the stop loss executions. They treat me as if I was an interbank dealer rather than a small time punter which is more than I could have hoped for when changing over to this side of the business. Trading inside the spread is a bonus, and even though I don't always use it, the commission is minimial, only 1/2 a pip really on 100K. Cheers and good luck to you
 
Likes: wasp
Jan 31, 2003
6
1
13
47
East London
#7
Interest payments on FX Deals

Hello folks,

I have taken your advice and will open a Hotspot account to see how it behaves in the flesh .
My question:
Does Hotspot - or any other FX broker offer interest payment on the invested amount?
OANDA has the 'habit' of calculating interest (and paying or withdrawing) on open positions.

Holding a long EUR/USD open for say, EUR300K will pay appx USD30 daily in interest.

Is this prevalent with other FX brokers?

All the best,
s33
 
Mar 24, 2001
11
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#8
Hi Smiley keep us up to date with hotspot as i am thinking of joining up as well. the web site says they pay interest on all cash balances. check it out
 
Feb 21, 2003
4
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54
Kent
#9
Smiley, I got this table off their web page if it helps

$3,000-$49,999 0.25%
$50,000-$149,999 0.25%
$150,000-$249,999 0.25%
$250,000-$499,999 0.75%
$500,000-$999,999 1.00%
$1,000,000 and over 1.25%
 
Jan 31, 2003
6
1
13
47
East London
#10
Different interest payment?

Thanks guys - appreciate the info.

However, this was exactly the point I was trying to make:

With OANDA, say you have gone long on GBP against, say USD.

As holding funds in the OK would pay you , say, 3.75% interest (assume negligible inflation for a sec) if you held a long position of say 1MM GBP/USD for 5 hours, you would earn 18 USD interest in your account.

Any HotSpot trader that reads this that can commentif Hotspot pay like this on open positions?

Check the calculator out - make sure you put a time variable otherwise the calculator will not work.

http://www.oanda.com/products/fxmath/interest.html

All the best,
s33
 
Feb 21, 2003
4
1
13
54
Kent
#11
Smiley,

Hotspot does not pay the same way Oanda does on open positions by the minute. I went on Oanda's calculator and it is quite interesting, but also note that they will charge you if you are the other way around, so it all evens out in the end.