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Do you prefer fixed spreads or dynamic spreads?
Medlem sedan Dec 11, 2015
1462 inlägg
Nov 27, 2016 at 11:25
Do people actually try to scalp during news events? 😲
Nov 28, 2016 at 15:19
mlawson71 posted:
Do people actually try to scalp during news events? 😲
For individual traders I think it is too risky. Maybe some crazy advanced algos that open and close small trades in milliseconds but still I think it would be very difficult to make a profit.
Once a trader, always a trader!
Nov 28, 2016 at 15:21
When it comes to the spreads, I prefer the variable option and read in the initial discussion about the 4 or 5 digits case. I prefer 5 digits after the point as it gives more flexibility when coupled with micro or mini lot sizes offered.
Once a trader, always a trader!
Medlem sedan Mar 31, 2015
43 inlägg
Nov 30, 2016 at 15:45
LLewis posted:
When it comes to the spreads, I prefer the variable option and read in the initial discussion about the 4 or 5 digits case. I prefer 5 digits after the point as it gives more flexibility when coupled with micro or mini lot sizes offered.
I also prefer the 5 digits option but I know it is not offered by all brokers.
Medlem sedan Dec 08, 2016
19 inlägg
Dec 09, 2016 at 09:22
I think it is wise fixed spreads, as many traders in a more transparent approach a broker does not notice or do not understand the fees factor. Nevertheless, with most brokers are changing the model from fixed to variable patterns and commissions, transaction costs went straight down. According to my calculations, the Commission applies the model are cheaper than fixed spreads.
Medlem sedan Feb 22, 2011
4573 inlägg
Dec 09, 2016 at 10:12
HarriOshord posted:
I think it is wise fixed spreads, as many traders in a more transparent approach a broker does not notice or do not understand the fees factor. Nevertheless, with most brokers are changing the model from fixed to variable patterns and commissions, transaction costs went straight down. According to my calculations, the Commission applies the model are cheaper than fixed spreads.
@HarriOshord
Fixed spreads sounds very stable. It is not. Fixed spreads are higher during low volatility that variable and during high volatility they rise up so no longer fixed.
Medlem sedan Dec 08, 2016
19 inlägg
Dec 09, 2016 at 12:48
togr posted:HarriOshord posted:
I think it is wise fixed spreads, as many traders in a more transparent approach a broker does not notice or do not understand the fees factor. Nevertheless, with most brokers are changing the model from fixed to variable patterns and commissions, transaction costs went straight down. According to my calculations, the Commission applies the model are cheaper than fixed spreads.
@HarriOshord
Fixed spreads sounds very stable. It is not. Fixed spreads are higher during low volatility that variable and during high volatility they rise up so no longer fixed.
I will consider and analyze your words. Thank you.
Medlem sedan Feb 12, 2016
507 inlägg
Jan 26, 2017 at 09:08
Fixed spreads means you trade with MM broker in almost 99%. Some STP/NDD brokers may offer also, but this will mean you will pay some additional markup added over the flow to meet your criteria for fixed spread :)
From other side, using fixing spreads makes placing pending orders more accurate above or below highs and/or lows :).
From other side, using fixing spreads makes placing pending orders more accurate above or below highs and/or lows :).
Medlem sedan Nov 13, 2015
35 inlägg
Medlem sedan Feb 12, 2016
507 inlägg
Jan 30, 2017 at 12:25
AlGauthier posted:
@BaldoN So it seems both types of spread have their advantages and right to live 😄
@Gornix You also have a good point!
That is correct :)
Both have good and bad sides. Just the bad side for spread with MM brokers is closely related with execution of large orders or when the account makes constantly profits :)
Medlem sedan Jan 31, 2017
9 inlägg
Jan 31, 2017 at 13:26
in my view, dynamic spreads are more preferreable than fixed spreads as in case of fixed spread, there is 99% possibility that your broker might be a Market Maker. Also, it can affect the execution speed and one more thing I have noticed that they are not really fixed, if you notice them in them in the volatile time like news, you will actually get fill at another price
Jan 31, 2017 at 13:31
Generally, fixed spread brokers are not pure ECN as they do not offer direct liquidity from the LP’s. However, the floating spread brokers usually offer tighter spreads and the data feeds directly come from the LP’s. A trader shall always go for a variable spread broker because it is completely reliable. A broker who trades with fix spread has some specific strategies and they do it to earn profits in fundamentally affected market situations.
Medlem sedan Jan 31, 2017
9 inlägg
Feb 05, 2017 at 07:35
In fact brokers with variable spread are also not completely reliable. They can also be MM and trade against so you should check for their spreads as well very carefully when trading with them.
Feb 08, 2017 at 07:47
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.
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.
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