DEALER/BROKER QUESTION

[autintrader]

Hi to All

I looked around and did not find the following question asked by someone else. The question is:

In choosing a FOREX Broker/Dealer, which of the two items below is better?
1. Tight spread and a commission fees.
2. Not as tight spread and no commission fees.

Being new to FOREX, I am having a problem making a decission on this question. I have been trading for over twenty years in stocks, five years in options and three years in futures.

MANY THANKS
Paul Autin, CSET

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[Aleksei666]

I would say better is tight spreads and some commission . But the best is to work with marketplace, not with marketmakers. Who knows what is hidden under marketmakers spreads. I trade with Dukascopy, look maybe for You it is ok

[rprimer1989]

Originally Posted by autintrader

Hi to All

I looked around and did not find the following question asked by someone else. The question is:

In choosing a FOREX Broker/Dealer, which of the two items below is better?
1. Tight spread and a commission fees.
2. Not as tight spread and no commission fees.

Being new to FOREX, I am having a problem making a decission on this question. I have been trading for over twenty years in stocks, five years in options and three years in futures.

MANY THANKS
Paul Autin, CSET

It totaly depends on your trading approach. If you make multiple trades per day, then market maker would be a better choice for you.
If you choose to go with non- dealing desk broker then you might wanna avoid trading during major economic press releases. the spreads might go really wild..

Featured Forex Brokers

	Market Maker A market maker provides pricing and liquidity for a particular currency pair and stands ready to buy or sell that currency at the quoted price. A market maker takes the opposite side of your trade and has the option of either holding that position or partially or fully offsetting it with other market participants, managing their aggregate exposure to their clients. If a market maker chooses to keep the trader's position without offsetting it in the market, the trader's profit is the market maker's loss and vice versa, leading to a possible conflict of interest between the trader and his market maker. A market maker earns their commission from the spread between the bid and offer price.

[Aleksei666]

Originally Posted by rprimer1989

It totaly depends on your trading approach. If you make multiple trades per day, then market maker would be a better choice for you.
If you choose to go with non- dealing desk broker then you might wanna avoid trading during major economic press releases. the spreads might go really wild..

But spreads depends from liquidity, And I thing only marketplace can give You the best liquidity. And with marketplace i can also win the spread. And their commission is not so big , if we measure in spreads it will be approx 0.2 pip

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	Market Maker A market maker provides pricing and liquidity for a particular currency pair and stands ready to buy or sell that currency at the quoted price. A market maker takes the opposite side of your trade and has the option of either holding that position or partially or fully offsetting it with other market participants, managing their aggregate exposure to their clients. If a market maker chooses to keep the trader's position without offsetting it in the market, the trader's profit is the market maker's loss and vice versa, leading to a possible conflict of interest between the trader and his market maker. A market maker earns their commission from the spread between the bid and offer price.

Originally Posted by rprimer1989

It totaly depends on your trading approach. If you make multiple trades per day, then market maker would be a better choice for you.
If you choose to go with non- dealing desk broker then you might wanna avoid trading during major economic press releases. the spreads might go really wild..

I agree completely

	Market Maker A market maker provides pricing and liquidity for a particular currency pair and stands ready to buy or sell that currency at the quoted price. A market maker takes the opposite side of your trade and has the option of either holding that position or partially or fully offsetting it with other market participants, managing their aggregate exposure to their clients. If a market maker chooses to keep the trader's position without offsetting it in the market, the trader's profit is the market maker's loss and vice versa, leading to a possible conflict of interest between the trader and his market maker. A market maker earns their commission from the spread between the bid and offer price.