I am looking to trade stocks etc with a broker rather than a Spread Better. My question is this, if you have a platform that only quotes you one price from your broker doesn't this lead to being stopped out (worst case scenario) whilst the broker alters the price to suit their own ends? So is their a platform that quotes you and then directs your trade to the most competitive broker? Does E-Signal and other companies do this? Many thanks
NetTecture
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Äh...
...if you get a quote from a BROKER, it is NEVER from the broker, but from the exchange. There is no sense in having multiple brokers if you work against the same exchange, because - unless ones systems suck - they will show the same data. This is also why a broker gets paid by buy/sell... the price you get is the ORIGINAL price from the exchange, official, tracable, debatable (if you do not like it) with proper procedures. So the broker has to be paid separately.
If you get stopped out, it is because the exchange computers (in most cases, I am not sure anything is still run manually) will decide that your stop got hit, and it will not matter what broker it was entered through.
A broker can not alter the price, unless.... it alters it on the exchange.
In some cases (I will soon use Mirus) the data feed you get from them is even the unfiltered exchange data feed
Brokers do NOT get involved at all in determining the price.
...if you get a quote from a BROKER, it is NEVER from the broker, but from the exchange. There is no sense in having multiple brokers if you work against the same exchange, because - unless ones systems suck - they will show the same data. This is also why a broker gets paid by buy/sell... the price you get is the ORIGINAL price from the exchange, official, tracable, debatable (if you do not like it) with proper procedures. So the broker has to be paid separately.
If you get stopped out, it is because the exchange computers (in most cases, I am not sure anything is still run manually) will decide that your stop got hit, and it will not matter what broker it was entered through.
A broker can not alter the price, unless.... it alters it on the exchange.
In some cases (I will soon use Mirus) the data feed you get from them is even the unfiltered exchange data feed
Brokers do NOT get involved at all in determining the price.
Äh...
...if you get a quote from a BROKER, it is NEVER from the broker, but from the exchange. There is no sense in having multiple brokers if you work against the same exchange, because - unless ones systems suck - they will show the same data. This is also why a broker gets paid by buy/sell... the price you get is the ORIGINAL price from the exchange, official, tracable, debatable (if you do not like it) with proper procedures. So the broker has to be paid separately.
If you get stopped out, it is because the exchange computers (in most cases, I am not sure anything is still run manually) will decide that your stop got hit, and it will not matter what broker it was entered through.
A broker can not alter the price, unless.... it alters it on the exchange.
In some cases (I will soon use Mirus) the data feed you get from them is even the unfiltered exchange data feed
Brokers do NOT get involved at all in determining the price.
That's informative thank you. I guess you are refering to direct market access with your example (which is what I was looking for).
So in the case of Spread Betting, the market maker can alter their prices to suit their own needs? Also, they buy and sell from other market makers, so their prices will vary?
NetTecture
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Not sure I would even call it DMA (Direct Market Access). Exchange RULES and broker RULES say price finding has to be done by open outcry on the exchange (or the computers). Point. If yuo ahve a BROKER and trade against an EXCHANGE (whether you have direct access or go through a desk or whatever), all price finding has to be done there, and you can dispute it. Call it a regulated market.
Spreaed Betting is - unregulated. Sure they do what they want, to a certain degree
Spreaed Betting is - unregulated. Sure they do what they want, to a certain degree
