Lately ive stopped swing trading and instead started scalping. Mainly because it fits me better since Ive less spare time now, and become too uneasy while away. So ive started scalping, where a trade would at most only last about 60 minutes, which fits me perfectly, as I only can only spend about 3 hours a day. However, ive to change broker, as the 3pip spread on eurusd is too much, with my new trading style(tp is approximately only 1-8pip, and heavy leveraged). So, im looking for a broker with a spread between 0-2 on eurusd(the only currency im trading), and a leverage of atleast 100:1 Ive read a little bit about oanda. They have a spread of 1.5, and with such a good spread, the leverage 50:1 is ok. But ive read that the spread widens during volatile market hours, without notifying you(and that would be disastrous to a scalp trader). Another potential candidate is hotspot forex, where the spread sometime on eurusd is 0. I would appreciate if someone can write a little bit about their experience with this broker and any suggestions are welcomed.
Try interactive brokers and trade futures rather than forex. You will be trading an honest market that's only manipulated by the participants and has 1pt spreads during much of the european and us days.
The broker im currently trading with, and its platform, only let you to trade currency pairs so im not well wersed in futures. Yeah, ive been really ignorant, completely ignoring everything that isnt called currency or forex =) I scarcely know what future is, but why should i trade with futures instead of forex, if I want to scalp?
1:100 is a bit difficult with futures, although futures are great for scalping indeed. Especially on EURO. If you never go overnight you can also check out IB for spot or MBtrading (EFX).
FYI we have a special tool to facilitate FX trading, see screenshots below from TWS user manual http://www.interactivebrokers.com/php/webhelp/tradingCellcallout.gif http://www.interactivebrokers.com/php/webhelp/fxTraderCallout.gif Feel free to try it out using free live demo http://www.interactivebrokers.com/en/software/demo.php?ib_entity=llc
A clarification on the 2-3 pip spread vs. futures 'honest' market price. If you (the original poster) want has a scalping strategy, it would be best to execute such strategy in the Forex market. If you want to get very very tight execution, trade currency futures in Chicago at the IMM. Based on years of trading and multiple strategies, limit orders are executed in the currency Futures market at ZERO slippage. Cheers, Leslie
if you want to scalp, the system of city credit capital cccapital has a 3 pip spread in eurusd which is far from ideal, but does have delayed prices if the market is moving quite fast, so you can make a few pips here nd there just based on the wrong prices....the leverage is 100:1 and cutoff point for margin calss is at 25% currently...during data the spread does widen at 8 but you can execute at those prices, they are not going to be rejected if you are fast enough....if you are interested i do work for the company and I can discuss things about the system. The system itself is quite basic, user friendly, graphs are poor but you can use other broker's graphs as long as you are quick. The company is FSA registered