MB Trading announces Pay for Limits in Forex

Discussion in 'Events' started by MBT-Steve, Jan 25, 2011.

  1. dottom

    dottom

    If you are a big enough player where showing your size puts you at risk of the banks as MM's running your stops, then you probably don't care about the rebates anyways.

    Even if you had a few hundred retail traders that coincidentally all had their limit orders clustered around the same S/R, the profits made by running through or bouncing off those are minuscule compared to the trade parameters for a typical forex MM decision.

    In fact, I'd say that if the MM's behavior were that predictable, you could identify the S/R patterns where a likely retail cluster would occur, and then take advantage of that as a lowly retail trader.

    I think in theory, sure, showing your hand is always a disadvantage, but the tide of MM activity moving regardless and the few ripples caused by skipping retail limit orders in the ocean are insignificant to the direction of the tide.
     
    #31     Jun 27, 2011