It is the way that traders whose are profitable get their trades executed on market
Trades of the unprofitable traders are processed internally by broker and never send to market.
The broker asses who is profitable and who is not.
The problem arise at the moment when unprofitable trader makes a big profitable trade - such trade was not sent to market and thus broker has to pay it from own pocket - or refuse payment.
Yes, but even traders that are profitable and the Broker has someone to cancel him out, even that trades are not send to the market..
So Banks never know and that trades never affect the market price!
In other words, only institutional traders, that trade very big amounts directly with the banks, their trades affect always the price!
Even then if one institutional trader does 100 lot BUY EURUSD and another institutional trader does 100 lot SELL EURUSD, guess what, the banks from mister Rothchild family gets commission/spread of 200 lot and have ZERO risk, because if one win he just takes the money from the loser and gives the winner without commission/spread of course!
Even if there is just one big institutional trader BUY 100 lot EURUSD and no one else trades, price goes down and he loses..
Their game is easy, risk free, legal and makes a few MILLIONS PER DAY!
I am a programmer, doing software for Brokers, if you have more questions let me know!
If you want to make profit and take money from the banks, choose a regulated and trust worthy Broker that sends trades to the bank, and stay under the 'radar'...
Price is King, Volume is Queen, all the rest are just story tellers!