kerstin71 posted: I hate fix spread. That is impossible for a broker to get a fix spread from liquidity providers. And I found most of the traders has bad idea. Sometimes Broker hit stop loss intentionally. Live floating spreads are better as you know when they are going to high and can do something about it. ECN/STP and MM does not matter if you are using well regulated broker and know how to make profit. Broker will automatically put you in their A book/B book if you lose more than 30%. I am using Hanseatic Broker and faced no such problem so far.
VickyJones posted: What I don't like in the fixed spreads is that they usually include the commission as a markup which automatically makes them much higher than the floating spreads and affects the execution.
Yes, same here, I hate this mark up stuff! And better if you see the full commissions straight from the opening of the trade!
Forex brokers generally offer two types of trade spreads, variable or fixed. On the other hand, fixed spreads are predetermined and remain constant throughout all trading conditions and variable spread are changing constantly on the basis of the market condition. Personally I prefer to use variable spread in forex market. Because sometimes the spread is very low in market and we can take a short trade with low spread and more profit.
dynamic spreads are the real market quotes so there are no chances of markups. many ECN brokers even provide spreads on major pairs starting from 0 pips. However, i do not prefer fixed spreads as brokers manipulate them. I prefer paying nominal commissions additionally rather than having fixed spreads.
it is better to trade with - 4 digit or 5 digit fix spread NDD broker
variable spread is a big trap for EA s to fail.
better to trade with fix spread. ( 4-5 weeks ago I was on the other side )
Can you please, explain why are the variable spreads big trap for EAs to fail? as that is what I am doing so far, and I believed I was doing just fine. Should I change my broker to another one who's offering fixed spreads, in order to get higher profit?
The variable spread are the proof of orders going straight to the market. If only trade with fix spreads may face the risk of dealing with market maker, which means you are betting against the company and not actually trading in the market. So I would suggest var spread as well.
jackfrost posted: The variable spread are the proof of orders going straight to the market. If only trade with fix spreads may face the risk of dealing with market maker, which means you are betting against the company and not actually trading in the market. So I would suggest var spread as well.
not quite quite agree that 'variable spread are the proof of orders going straight to the market'. This is something many maker makers offers as well. There are many other way's to understand really what broker you are dealing with. :)
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