RahmanSL
Major
- Messages
- 2,938
florentin29, in a nut shell:
True ECN (Electronic Communications Network): ECN Forex broker provides a marketplace where all its participants (banks, market makers and individual traders) trade against each other by sending competing bids and offers into the system. Participants interact inside the system and get the best offers for their trades available at that time. All trading orders are matched between counter parties in real time. A small trading fee - commission - is always applied (@copy right 100forexbrokers.com)
ECN by association: The most popular MT4 trading platform was created as a Dealing Desk software and not meant to be used for ECN trading.
To allow MT4 support ECN trading (which becomes Level 2), Brokers have to or need to form a bridge to a true ECN platform (which normally do not use MT4 trading platform but have their own in-house trading platform.) But some true ECN Broker (like Dukascopy) are beta testing MT4 platform with a view to adopt and offer MT4 to their future clients.
Outright Bucketshop: A lying, thieving, scam bag, deposit-only Broker who is out to take/scam your hard earned money.
Read up on those labeled “Scammer Brokers” in FPA and stay well2 away from them. Would advice you to read the brokers’ reviews section in FPA and elsewhere before deciding on a broker.
For further information, I would suggest the relevant section in FPA and also over at 100 Forexbrokers site.
True ECN (Electronic Communications Network): ECN Forex broker provides a marketplace where all its participants (banks, market makers and individual traders) trade against each other by sending competing bids and offers into the system. Participants interact inside the system and get the best offers for their trades available at that time. All trading orders are matched between counter parties in real time. A small trading fee - commission - is always applied (@copy right 100forexbrokers.com)
ECN by association: The most popular MT4 trading platform was created as a Dealing Desk software and not meant to be used for ECN trading.
To allow MT4 support ECN trading (which becomes Level 2), Brokers have to or need to form a bridge to a true ECN platform (which normally do not use MT4 trading platform but have their own in-house trading platform.) But some true ECN Broker (like Dukascopy) are beta testing MT4 platform with a view to adopt and offer MT4 to their future clients.
Outright Bucketshop: A lying, thieving, scam bag, deposit-only Broker who is out to take/scam your hard earned money.
Read up on those labeled “Scammer Brokers” in FPA and stay well2 away from them. Would advice you to read the brokers’ reviews section in FPA and elsewhere before deciding on a broker.
For further information, I would suggest the relevant section in FPA and also over at 100 Forexbrokers site.