What is exactly an ECN broker
Thanks this is helpful! What is exactly an ECN broker? Why do you prefer it than regular brokers?
You raise an important issue, which I had problem with on the beginning of the way (and still have some today) so I know how it feels. However, things have been much better over the years, especially in frauds and technology. I will answer your points in your order:
1. Connecting issues will probably remain many years, though internet providers made huge progress on that. It really depends on your internet provider and your location, and it has nothing to do with brokers. There are some plans that give you priority in international servers, such as gamers plans (though they cost more).
2. I agree. Trading during news is extremely risky. If you trade with a real ECN brokers and you are connected to the market- spreads can be widen by dozens. My advice to you is: DON’T TRADE NEWS.
3. When you are a beginner you should not think about big profits. Your only goal should be acquiring the ability to constantly making profits for at least six months. Then, you can increase volumes and play for serious money. Amateurs who try to make 1000$ per day right on the start- will not survive the forex market.
4. This issue has been discussed so many times and brokers realized in the past few years that even one withdrawal request that is not treated properly, can make them huge damage. So the serious brokers do not make problems with that anymore (ACM, Sunbird FX, FXCM etc.) .
5. As I mentioned, these issues are becoming less common, especially when it comes to the serious brokers. Do not tempt to put your money in new brokers that “promise” you bonuses if you just open an account. Stick with the familiar ones, or with the new ones that have good reviews (forums managers know how to eliminate - and things should be fine.
6. I also believe that trading with a real ECN broker is better (though it has both pluses and minuses). However, you don’t need 100,000 for an ENC account; you can open one with much less- about 10k.
Thanks this is helpful! What is exactly an ECN broker? Why do you prefer it than regular brokers?