Brokerage companies nowadays

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Brokerage companies nowadays

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Brokerage companies throughout their history played against their investors and in particular traders. Additional margins, marginal terms and increased commissions were established when certain conditions were met. The prohibitions of the brokerage companies for using standard and commonly accessible trading only arouse indignation on the part of professional market participants. Constant proceedings regarding the contracts that can change while you trade, environments and slips that reduce the financial results, as well as bans on the use of algorithmic strategies make traders look for a better quality broker, which is not so easy to find http://forexzzz.com/product/ctrader-connector-via-fix-api/.

I propose you to consider the aspects that brokerage companies use today: 

  1. Spread. Some fix api forex brokers set an additional mark-up on the currency pairs thereby widening the price difference between purchases and sales. Thus, this difference will be the income of the brokerage company and not the received profit of the trader.
  2. Slippage. Similarly, and by the first moment, slippage reduces the financial result from the trading operation. The given process occurs at the moment of transaction opening. This is inherently a delay in the order execution, as a result, the desired price is missed by several points that will not be obtained as a result of the transaction.
  3. Type of order execution. There are two types of order execution: Dealing Desk, Non Dealing Desk. The first option involves the opening of transactions on the internal server of the brokerage company, and this is the first indication of the non-market conditions for performing transactions.

Knowing these key negative nuances, you can filter out those brokerage companies that provide negative conditions for trading.


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