Sorry, but I don't understand this ... Why they have to pay out of their pockets for profits made with a trade between their customers, if profit from one customer is equal to the loss of another customer ?
lol, this is just too funny, do you have any idea how marketmakers work If you got your ass handed to you it was probably your own fault, but like the majority of people who lose money they need to blame someone else, the broker, the market, their ISP, their PC, anyone but themselves!
When you buy X amount and there is no other customer at the other side selling X amount at that very moment, who do you think is at the other side of your trade ? Right, your "friendly" MM , got it ?
My best MM friend , I didn't say they are ALL like that but MOST, I am not complaining anymore with my present "brokers".. What "broker" do you use ?
I didn't know this. What I knew is that if there is no counterpart among the broker's customers, the order is sent to the outside market. If any counterpart is found, then there is a requote. Perhaps are you telling that Brokers and Market Makers are different entities, and so, have different duties ? The broker I'm evaluating now is not a MM. Question: MM are not an exclusive of the regulated markets ?
It's not really relevant who I use, suffice to say it's a fixed spread retail marketmaker, most of the mainstream marketmakers operate a similar business model along the lines of a bookmaker. Nothing wrong with that.
If you're trading spot then chances are you're trading with a marketmaker, he's on the other side of all your trades irrespective of who else is buying or selling at that exact moment. It's no big deal, contrary to the misguided conspiracy theorists among us he doesn't move prices just so he can collect your few bucks Which company is it, someone will probably give you a heads up on the things to watch out for. Please don't tell me it's a mini-account with an ECN-style broker who promises your orders are all STP, lol
I'm getting a deja vu feeling, haven't we already done this? But if you've got a valid point to make (or invalid, it doesn't seem to make any difference here!) then feel free to give examples supported by something tangible. Edit: Knew it rung a bell
<noob> So, if I insist ( ) on trading spots, the first thing to look for, is a broker that isn't a MM ? How do I know this ? For example, Ducascopy states on his website that they are not MM, but how do I found out if this is true ? Is there a list of MM or something like this ? </noob>