Who Gains

the broker is there to earn profit. No one will operate for free. be it commission or spreads. They will charge. but if a client losses there another who is gaining.Thats how it works
 
From my understanding, only a market maker style broker takes the other side of your trade. FOR STP/ECN the other side is taken by another trader.....
 
the broker is there to earn profit. No one will operate for free. be it commission or spreads. They will charge. but if a client losses there another who is gaining. That's how it works
Forex market works either you are gaining or loosing. It is something like give and take process , some traders take profit and same time is full of loss for others. Brokers had many options to earn they charge on each trade as well as swap , commission . They sell signals and other forecasts. We can say people will make money by analyzing market and using their skill, any mistake can be an alarming so they should not blame market it is a full of risk where they are going to trade.
 
Forex market works either you are gaining or loosing. It is something like give and take process , some traders take profit and same time is full of loss for others. Brokers had many options to earn they charge on each trade as well as swap , commission . They sell signals and other forecasts. We can say people will make money by analyzing market and using their skill, any mistake can be an alarming so they should not blame market it is a full of risk where they are going to trade.
totally agree... one needs to be really careful while trading.
 
Brokerage companies are focused on ensuring that clients work as long as possible.
Yes, they always make profit, but for this money they provide access to the market, quality work of the terminal, functioning and development of various services, etc.
It is not same as people think gain from trading is easy they have many problems as first they should work with a good and reputed broker who can facilitate fair services to them they should not deceive traders as delaying orders or some others cheap ways to get money from traders. They should provide right access and deal with quick trading and withdrawals for traders
 
Sometimes brokers make money if you win or lose via commissions. The companies that hold the cash for the broker take the hit but make money by having so many losers. These companies also probably just make money holding large amounts of of it and investing it in more stable stocks or with big institutional traders and with enough money being held in capital even a 1% gain a year could be worth Millions to cover the business costs.

They’re pretty much banks.
 
Hello guys, I will like to know please. When a trader lose money in forex who's gain is it, the broker, other traders, bank or who?
Please I like to know
I'd recommend getting on BabyPips to learn about the different types of brokers and how they each make money and potentially impact your trades.
 
Hello guys, I will like to know please. When a trader lose money in forex who's gain is it, the broker, other traders, bank or who?
Please I like to know
Each participant receives some profit from somebody's loss - broker receives his commission in any case (spread), liquidity providers that support broker also get their slice of a pie, other traders who were trading in opposit direction winning what you are loosing. It's like simple moving of the money from one place to another
 
I guess that profits come to brokers hands plus in hand of those traders who wont the position where you lost money. Actually, I tend to the second option more because broker makes money on comissions per trade or comissions for depositing/withdrawals. It's the market functionality, you know. Some traders win, others lose, and money each of tradesr wander around the market and particular asset. Then there will be a situation where you will win the money of someone who will lose them. It's a like a food or water cycle in nature, you know. Don't pay too much attention to it, concentrate on other more significant things.
 
It’s a continuous buy and sell game. If you are losing then there must be someone who is making money and this is not related to brokers, they make money only by charging commission or spreads.
 
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