we often talk bucketshops like FXCM, How about a real good FX broker for a change

[Sandybestdog]

Quote from IMF:

currency trading is divided into brokers for rich doing 100 k trades, also called ECN brokers

and broker for the poor trading micro lots 1 k or so
Brokers serving the poor run on different rules AKA no rules

Again, please explain. How long is this thread? And yet nobody has given any evidence or proof of them screwing with their clients. What do you mean they have no rules? I only have one rule for them, as long as they treat me fair, I will be their client. The moment they try to screw me, I will close the account and start bashing them.

I just placed a market buy on Usd/Cad. The ask was 1.14949 and had been like that for about a second. The moment after I hit submit, the ask changed to 1.14955 (the market is a little jumpy now) but I was filled at 1.14949. I guess what I click is what I get.

 

[cabletrader]

Quote from Sandybestdog:

Again, please explain. How long is this thread? And yet nobody has given any evidence or proof of them screwing with their clients. What do you mean they have no rules? I only have one rule for them, as long as they treat me fair, I will be their client. The moment they try to screw me, I will close the account and start bashing them.

I just placed a market buy on Usd/Cad. The ask was 1.14949 and had been like that for about a second. The moment after I hit submit, the ask changed to 1.14955 (the market is a little jumpy now) but I was filled at 1.14949. I guess what I click is what I get.

You might not want to say but what kind of size are you trading, it's going to make a difference to where/how your trades are getting executed, ie dealing desk and their in-house liquidity or on their ECN model.

 

[cabletrader]

Quote from dewton:

The forex exchange that MB Trading uses is 3D Forex. If you go to 3D Forex's web site, you will notice something quite interesting... this exchange is located at the SAME address as MB Trading! So I question if MB Trading really is a true ECN.

That is interesting. I thought when they were EFX they were white label for....(someone who's name escapes me).

Mind you, aren't IB's trades processed through Timberhill, which I think is a subsidiary or affiliate of theirs.

It's the same with all these brokers/marketmakers/bucketshops in retail fx, everything is not always as it seems, no wonder there's suspicion among traders!

I see RBS is using a version of Oanda's FXTrade but they claim there's no connection, the same as Deutsche's retail platform is a clone of FXCM yet they claim there's no connection there either.....

More transparency dammit!

 

[Pippi436]

Timberhill makes markets in equity options, its a separate business from their brokerage (and generates a lot more revenue than broking too).

What are you saying about RBS? It even says 'Powered by Oanda technology' on their platform, so the connection is obvious. They stream their own prices, its a bit worse than oanda (spread/rolls).

 

[Sandybestdog]

Quote from cabletrader:

You might not want to say but what kind of size are you trading, it's going to make a difference to where/how your trades are getting executed, ie dealing desk and their in-house liquidity or on their ECN model.

I trade 1k lots on the dealing desk model. They are taking the other side, I assume. I like to trade 1k lots because I scale in and out of everything. Right now I have 20 positions open. That gives me the flexibility to trade at whatever price I want and not worry about taking a large position. There is no placing limits within 5 pips of the price though, which is a little annoying.

There ECN model is for their standard 10k lot size. They charge a commission on that. I looked at a demo of that and the spreads were actually wider than the dealing desk, plus the commission. That doesn’t make very much sense.

However their ECN accounts are not really true ECN. You cannot post a bid or ask and be filled on it. You still have to wait for it to come to you. I would be interested in trading at a true ECN broker. Can you post bids and offers at MB trading?

 

[cabletrader]

Quote from Pippi436:

Timberhill makes markets in equity options, its a separate business from their brokerage (and generates a lot more revenue than broking too).

What are you saying about RBS? It even says 'Powered by Oanda technology' on their platform, so the connection is obvious. They stream their own prices, its a bit worse than oanda (spread/rolls).

I imagine the significance of any of this is who provides their liquidity when ECN's claim there is no conflict of interest and that they do not benefit when a trader loses money, that's a major part of their marketing and sales pitch. MBTF it seems is another one, sharing the same address as 3DForex, what's the connection, is 3D their liquidity provider? If the liquidity provider is the beneficiary of trader losses, and is a subsidiary or affiliate of the broker, then the implication is obvious I would have thought, it makes a total mockery of what these brokers are claiming is a more level playing field.

And RBS simply saying 'Powered by Oanda technology' means very little, I would have thought that was pretty obvious as well.

Hey if you're happy with all this then fine, I imagine most retail traders don't care about this stuff, me I prefer to know who I'm trading with.

 

[cabletrader]

Quote from Sandybestdog:

I trade 1k lots on the dealing desk model. They are taking the other side, I assume. I like to trade 1k lots because I scale in and out of everything. Right now I have 20 positions open. That gives me the flexibility to trade at whatever price I want and not worry about taking a large position. There is no placing limits within 5 pips of the price though, which is a little annoying.

There ECN model is for their standard 10k lot size. They charge a commission on that. I looked at a demo of that and the spreads were actually wider than the dealing desk, plus the commission. That doesn’t make very much sense.

However their ECN accounts are not really true ECN. You cannot post a bid or ask and be filled on it. You still have to wait for it to come to you. I would be interested in trading at a true ECN broker. Can you post bids and offers at MB trading?

Right, so you're trading with a bucketshop (which explains the difference in spreads), nothing wrong with that with your trading style but a lot of more conventional stop/limit intraday traders do have problems. Some don't have the understanding of how their counterparty does business so they're unable to compensate/exploit the anomalies, hence the never ending stream of complaints about being robbed! FXCM is no exception, they're not snow white!

 

[Sandybestdog]

Quote from cabletrader:

Right, so you're trading with a bucketshop (which explains the difference in spreads), nothing wrong with that with your trading style but a lot of more conventional stop/limit intraday traders do have problems. Some don't have the understanding of how their counterparty does business so they're unable to compensate/exploit the anomalies, hence the never ending stream of complaints about being robbed! FXCM is no exception, they're not snow white!

There is no disadvantage to using the dealing desk for intraday trades unless you are scalping. Otherwise, I still don’t see what’s the advantage to either one, it all comes down to the spread and commissions and what the broker offers. Who cares if they’re taking the other side of the trade. Still, nobody has yet given any examples or proof that FXCM screws their clients. I watch their quotes side by side with Tradestation and they move tick for tick with each other.

People complain about being robbed cause they’re sucky traders. I know because for the most part, I’ve been a lousy trader, but I didn’t blame it on the broker unless it was warranted. Please somebody just give me one example of a bucketshop stop hunting. PLEASE!!!!

 

[IMF]

sandybestdog I think you are missing the point
obviously bucketshop didn't screw you yet, but that doesn't mean that countless complaints are not valid on FXCM reviews

 

[atticus]

Quote from cabletrader:

I imagine the significance of any of this is who provides their liquidity when ECN's claim there is no conflict of interest and that they do not benefit when a trader loses money, that's a major part of their marketing and sales pitch. MBTF it seems is another one, sharing the same address as 3DForex, what's the connection, is 3D their liquidity provider? If the liquidity provider is the beneficiary of trader losses, and is a subsidiary or affiliate of the broker, then the implication is obvious I would have thought, it makes a total mockery of what these brokers are claiming is a more level playing field.

And RBS simply saying 'Powered by Oanda technology' means very little, I would have thought that was pretty obvious as well.

Hey if you're happy with all this then fine, I imagine most retail traders don't care about this stuff, me I prefer to know who I'm trading with.

RBS uses Oanda's option-models, but they stream their own spot markets.