I am a curious person and would like to know how currenex works, if someone here is familiar with the system. If I have an account and trade on currenex, is my account really with currenex or just with my bank/broker? Do each of of my trades go to currenex in my name. Or does my bank/broker match my trades with the trades of their other customers and then sent the net amount through currenex under their (the brokers) own name in one account? So is there just one big account for all of my broker's customers and currenex has no idea who the actual person trading is...they just see the brokers name? Seems so simple in a world where everything is red tape and nonsense! Would be interested to know how currenex works! ...every hands a winner and every hands a loser...
Currenex is just a piece of software. The liquidity on Currenex is broker dependant therefore the liquidity quality can and does vary greatly from firm to firm. Additionally, so do the account minimums. For example, where I trade forex the minimum for Currenex and FXall is 500k. But their liquidity streams ,from what I'm told, are immense. So the spread and liquidity varies from broker to broker.
Currenex is an ECN platform. Instead of trading with a bucket shop like FXCM where executions can be denied if the terms are unfavorable to the shop, Currenex let's its participants compete and show size, depth of liquidity within thier network - the argument COULD be made that Currenex is a decent proxy for market-wide depth. Still, always remember that FX is an OTC market, therefore, a complete pictuure of order flow does not exist.