agreed, but forex brokers shoudln't lure customers in saying there's immediate execution etc when all that actually means is that the trades "appear" to be filled immediately. Behind the scenes, the broker will wait a bit, try and offset the trade with another internal order and if it cannot, only then will if probably lay it off in the interbank market. Surely the broker can make money by just laying it off interbank and pocketing the spread? Of course they can ... but this way they make the whole spread rather than the diff between their spread and the current interbank spread. Thus, I have no problems with hitting these brokers for large amounts when they can't handle it, two can play this game
So, THE reason they don't like scalping is that they need enough TIME to look first for an internal match and if not possible look to offset your trade in the interbank market before you close your trade, right ?
The fx retailers don't like the traders sometimes referred to as pickers, snipers, or scalpers because those traders potentially can cost them the profit systematically embedded in the quotes the retailers push to their customers' PCs. The profit is created by pricing algorithms which exploit the retailer's net position versus its customers. The quotes are the product of the algorithms. Anything other than that type of pricing would be irrational on a retailer's part, and requotes simply protect the profit to the retailer produced by that pricing. There's no other reason for a requote. Certainly, a retailer is not requoting to buy time to shop a customer's order in the interbank market. None of its customers' orders, individually or aggregated, ever leave the house, i.e., the retailer's book. Its win is the customers' loss.
I'll beleive that when you start posting about topics other than your favorite broker. Can we get some more input from more experienced members?
He doesn't share strategy. Just broker recommendations!! I've had success trading the intraday 'calm before the storm' effect. Market flatness - filter/position sizing algorithm. Storm - entry triggers (see acrary/steve46 for more crumbs). Intraday trendlines using grob/hersheys 1-2-3 method work well, too. Easily scalp 30-50 pips/pair on a decent day. Sounds like you're a system trader. Trendlines work great in forex man. Don't let your academic sensibilities dissuade you from trying them. They work. Long term trendlines as per above work well too. Merging monthly/weekly and daily trendlines to pinpoint directional market shifts.
you guys remember one thing a man who makes money never shows it. i don't recomend no broker go with who ever make you happy. i wish all my forex traders the best. and im done. good luck to all.
nor does he boast about actually dollar amounts. If you're doing well .. no need to broadcast it. Otherwise I could say that I can guarantee I've made more than you in the last 12 months on a %return basis as well as dollar value basis. I wouldn't .. but I could