Jump to content

Welcome to the new Traders Laboratory! Please bear with us as we finish the migration over the next few days. If you find any issues, want to leave feedback, get in touch with us, or offer suggestions please post to the Support forum here.

  • Welcome Guests

    Welcome. You are currently viewing the forum as a guest which does not give you access to all the great features at Traders Laboratory such as interacting with members, access to all forums, downloading attachments, and eligibility to win free giveaways. Registration is fast, simple and absolutely free. Create a FREE Traders Laboratory account here.

cyberbob222

Profit: ECN Vs Market Maker

Recommended Posts

Hi All,

 

I may be asking dump silly question, i have noticed it just a few days ago:

After opening a demo ecn account, i am having 80% accuracy in trading, which means, most of my positions win.

It may be a case that my beloved broker tweaks the market maker version of platform.

 

Do you guys use ecn accounts? Did you find any difference besides spread, speed of execution?

 

In case anybody thinks i must be a genius, i can assure you i am not ;-)

I use standard indicators on MT5, nothing sophisticated. Ah, there is something, few days before i registered for ecn demo, i changed time frame, now i play on M30 hoping to scoop out longest trends - from 40 trades a day, i lowered down to 5 max, but quality ones with pip in range 10+, on all low spread pairs.

By the way, ecn spread rocks!

 

Hope you are all well.

Share this post


Link to post
Share on other sites
  cyberbob222 said:
Hi All,

 

I may be asking dump silly question, i have noticed it just a few days ago:

After opening a demo ecn account, i am having 80% accuracy in trading, which means, most of my positions win.

It may be a case that my beloved broker tweaks the market maker version of platform.

 

Do you guys use ecn accounts? Did you find any difference besides spread, speed of execution?

 

In case anybody thinks i must be a genius, i can assure you i am not ;-)

I use standard indicators on MT5, nothing sophisticated. Ah, there is something, few days before i registered for ecn demo, i changed time frame, now i play on M30 hoping to scoop out longest trends - from 40 trades a day, i lowered down to 5 max, but quality ones with pip in range 10+, on all low spread pairs.

By the way, ecn spread rocks!

 

Hope you are all well.

 

No doubt Spread on ECN brokers are lot better than any Market Maker but on the other hand they charge commissions and their margin requirements are more than any Market Maker - You would also have maintenance balance to hold your positions and in that case watching all these things there is no different between Market Maker and ECN but obviously speed of execution matters and ECN are faster then market makers.

Share this post


Link to post
Share on other sites
  Mysticforex said:
Just curious, what kind of spread do you have on EUR/USD, and GBP/JPY. And what is the commission ?

 

i am testing Australian broker. eur usd - lowest was 0.6, usually 1 - 1.2, commision aud6 per lot round trip.

gbp jpy - sorry, can remember, i am changing soft on my pc.

 

i am looking into dax and dow right now, using market maker, and eur usd spread is wow! 1.3 pip.

 

if you would like to give ecn a go using real money, i know where to open one with ANY initial deposit /asked them to let me try due to bad experiences with their competitors/, pm me, i ll give you link.

Share this post


Link to post
Share on other sites
  cyberbob222 said:
Hi All,

 

I may be asking dump silly question, i have noticed it just a few days ago:

After opening a demo ecn account, i am having 80% accuracy in trading, which means, most of my positions win.

It may be a case that my beloved broker tweaks the market maker version of platform.

 

Do you guys use ecn accounts? Did you find any difference besides spread, speed of execution?

 

In case anybody thinks i must be a genius, i can assure you i am not ;-)

I use standard indicators on MT5, nothing sophisticated. Ah, there is something, few days before i registered for ecn demo, i changed time frame, now i play on M30 hoping to scoop out longest trends - from 40 trades a day, i lowered down to 5 max, but quality ones with pip in range 10+, on all low spread pairs.

By the way, ecn spread rocks!

 

Hope you are all well.

 

there is high probability that you would not get the same results with MM account. The reason is that ECN brokers offer much lower spreads and faster executions. Likewise, MM usually send back requotes and you cannot always get the market's real price, unlike an ECN broker that gives you the actual prices. However, some brokers published as ECN but they are not really functioning as ECN so I recommend you test their demo accounts first. From my experience, I can definitely say that etoro and sunbirdfx are examples for ECN brokers that give great trading experience, low spreads and the fastest executions. Good Luck!

Share this post


Link to post
Share on other sites
  JackWell said:
there is high probability that you would not get the same results with MM account. The reason is that ECN brokers offer much lower spreads and faster executions. Likewise, MM usually send back requotes and you cannot always get the market's real price, unlike an ECN broker that gives you the actual prices. However, some brokers published as ECN but they are not really functioning as ECN so I recommend you test their demo accounts first. From my experience, I can definitely say that etoro and sunbirdfx are examples for ECN brokers that give great trading experience, low spreads and the fastest executions. Good Luck!

 

I do not think great trading experience means only low spreads and the fastest execution. these are mostly what scalpers need.

Share this post


Link to post
Share on other sites

ECN give you no conflict of interest, where MM make money from your lose, there are many horror story of MM manipulation like re-quote and other plug-in so they make more money from your loss.

 

Also, you must rememeber that demo trading is virtual trading, you wont have latency and any slippage as the order doesn't go anywhere (like liquidity pool). Demo should be used for pricing guide only.

 

Many brokers offer lower spread that you mention on real ecn like 0 pips usdjpy and 0.3 eurusd with lower ecn commission 0.7 total is fair I think

Share this post


Link to post
Share on other sites

I forget to say that profit withdraw can be problem with market maker too - when you trade ecn or stp, the liquidity provider is responsible to pay your profit, you have to remember this

Share this post


Link to post
Share on other sites

I prefer ECN brokers to market markers. I get to trader against the market not against the broker, the ECN broker gives me very tight leverage, as tight as 3.0 pips and 2.0 from Profiforex, and finally my trades are executed instantly with an ECN trader instead of waiting to pair it with another trader’s order.

Share this post


Link to post
Share on other sites
  realforexer said:
I prefer ECN brokers to market markers. I get to trader against the market not against the broker, the ECN broker gives me very tight leverage, as tight as 3.0 pips and 2.0 from Profiforex, and finally my trades are executed instantly with an ECN trader instead of waiting to pair it with another trader’s order.

 

Hello realforexer,

 

Really ECN do that? okay then i also like to test that. Actually i am also looking for a good broker which give me full satisfaction as i want and also their rule. let`s see what happened :missy:

Share this post


Link to post
Share on other sites
  shuvo7748 said:
Hello realforexer,

 

Really ECN do that? okay then i also like to test that. Actually i am also looking for a good broker which give me full satisfaction as i want and also their rule. let`s see what happened :missy:

 

perhaps he just mistype the spread, as far i know ECN brokers gives a low spread, some major charged below 1 pips but in return the demand a commision fee per transaction.

an average 0.2 pips EURUSD spread on my armada market ECN account.

yF2DpDL.jpg

and how to decide which are much profitable ECN or Market maker.

basicly ECN are condition where trader order are againts another traders, it's a trader vs trader, and this where liquidity provider took part as price bridge among firm.

okay.. how this profitable ECN.

i'm now with armada markets, 0.3 spread on eurusd, 0.7 in total charged per trade including commision.

suppose i had market maker account, with 3 pips eurusd spread.

because my trading style are scalpers, i executed 200 trades monthly.

and my monthly fee based on spread :

on ECN armada markets account would be - 0.7 x 200 = - 140 pips charged.

as at the market maker broker account : 3 x 200 = - 600 pips charged.

anyone still arguing, or had wasted time to compare such broker type, should check their own pocket, if you're value your money starting with value your account for each transaction.

Share this post


Link to post
Share on other sites
  prax said:
perhaps he just mistype the spread, as far i know ECN brokers gives a low spread, some major charged below 1 pips but in return the demand a commision fee per transaction.

an average 0.2 pips EURUSD spread on my armada market ECN account.

yF2DpDL.jpg

and how to decide which are much profitable ECN or Market maker.

basicly ECN are condition where trader order are againts another traders, it's a trader vs trader, and this where liquidity provider took part as price bridge among firm.

okay.. how this profitable ECN.

i'm now with armada markets, 0.3 spread on eurusd, 0.7 in total charged per trade including commision.

suppose i had market maker account, with 3 pips eurusd spread.

because my trading style are scalpers, i executed 200 trades monthly.

and my monthly fee based on spread :

on ECN armada markets account would be - 0.7 x 200 = - 140 pips charged.

as at the market maker broker account : 3 x 200 = - 600 pips charged.

anyone still arguing, or had wasted time to compare such broker type, should check their own pocket, if you're value your money starting with value your account for each transaction.

 

Thanks for this..................... :)

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.


  • Topics

  • Posts

    • TDUP ThredUp stock, watch for a top of range breakout above 2.94 at https://stockconsultant.com/?TDUP
    • TDUP ThredUp stock, watch for a top of range breakout above 2.94 at https://stockconsultant.com/?TDUP
    • NFLX Netflix stock watch, local support and resistance areas at 838.12 and 880.5 at https://stockconsultant.com/?NFLX
    • Date: 8th April 2025.   Markets Rebound Cautiously as US-China Tariff Tensions Deepen     Global markets staged a tentative recovery on Tuesday following a wave of volatility sparked by escalating trade tensions between the United States and China. The Asia-Pacific region showed signs of stability after a chaotic start to the week—though some pockets remained under pressure. Taiwan’s Taiex dropped 4.4%, dragged lower by losses in tech heavyweight TSMC. The world’s largest chipmaker fell another 4% on Tuesday and has now slumped 13.5% since April 2, when US President Donald Trump first unveiled what he called ‘Liberation Day’ tariffs.   However, broader sentiment across the region turned more positive, with several markets rebounding sharply after Monday’s dramatic sell-offs. Japan’s Nikkei 225 surged over 6% in early trading, rebounding from an 18-month low. South Korea’s Kospi rose marginally, and Australia’s ASX 200 gained 1.9%, driven by strength in mining stocks. Hong Kong’s Hang Seng rose 1.6%, though still far from recovering from Monday’s 13.2% crash—its worst day since the 1997 Asian financial crisis. China’s Shanghai Composite added 0.9%.   In Europe, DAX and FTSE 100 are up more than 1% in opening trade. EU Commission President von der Leyen repeated yesterday that the EU had offered reciprocal zero tariffs on manufactured goods previously and continues to stand by that offer. Others are also trying again to talk to Trump to get some sort of agreement that limits the impact.   Much of the rally appeared to be driven by dip-buying, as well as hopes that the intensifying trade war could still be defused through negotiations.   China Strikes Back: ‘We Will Fight to the End’   Tensions reached a boiling point after Trump threatened to impose an additional 50% tariff on all Chinese imports unless Beijing rolled back its retaliatory measures by April 8. ‘If China does not withdraw its 34% increase above their already long-term trading abuses by tomorrow... the United States will impose additional tariffs on China of 50%,’ Trump declared on social media.   If implemented, the new tariffs would bring total US duties on Chinese goods to a staggering 124%, factoring in the existing 20%, the 34% recently announced, and the proposed 50%.   In response, China’s Ministry of Commerce issued a stern warning, stating: ‘The US threat to escalate tariffs is a mistake on top of a mistake... If the US insists on its own way, China will fight to the end.’ The ministry also called for equal and respectful dialogue, though signs of compromise on either side remain scarce.   Beijing acted quickly to contain a market fallout. State funds intervened to support equities, and the People’s Bank of China set the yuan fixing at its weakest level since September 2023 to boost export competitiveness. Additionally, five-year interest rate swaps in China fell to their lowest levels since 2020, indicating potential for further monetary easing.   Trump Talks Tough on EU Too   Trump’s hardline approach extended beyond China. Speaking at a press conference, he rejected the European Union’s offer to eliminate tariffs on cars and industrial goods, accusing the bloc of ‘being very bad to us.’ He insisted that Europe would need to source its energy from the US, claiming the US could ‘knock off $350 billion in one week.’   The EU, meanwhile, backed away from a proposed 50% retaliatory tariff on American whiskey, opting instead for 25% duties on selected US goods in response to Trump’s steel and aluminium tariffs.     Volatile Wall Street Adds to the Drama   Wall Street experienced wild swings on Monday as investors processed the rapidly evolving trade conflict. The S&P 500 briefly fell 4.7% before rebounding 3.4%, nearly erasing its losses in what could have been its biggest one-day jump in years—if it had held. The Dow Jones Industrial Average sank by as much as 1,700 points early in the day but later climbed nearly 900 points before closing 349 points lower, down 0.9%. The Nasdaq ended up 0.1%.   The brief rally was fueled by a false rumour that Trump was considering a 90-day pause on tariffs—rumours that the White House quickly labelled ‘fake news.’ The market's sharp reaction underscored how desperate investors are for any sign that tensions might ease.   Oil Markets in Focus: Goldman Sachs Revises Forecasts   Crude prices also reflected the uncertainty, with US crude briefly dipping below $60 per barrel for the first time since 2021. As of early Tuesday, Brent crude was trading at $64.72, while WTI hovered around $61.26.   Goldman Sachs, in a note dated April 7, lowered its average price forecasts for Brent and WTI through 2025 and 2026, citing mounting recession risks and the potential for higher-than-expected supply from OPEC+.       Under a base-case scenario where the US avoids a recession and tariffs are reduced significantly before the April 9 implementation date, Goldman sees Brent at $62 per barrel and WTI at $58 by December 2025. These figures fall further to $55 and $51, respectively, by the end of 2026. This outlook also assumes moderate output increases from eight OPEC+ countries, with incremental boosts of 130,000–140,000 barrels per day in June and July.   However, should the US slip into a typical recession and OPEC production aligns with the bank’s baseline assumptions, Brent could retreat to $58 by the end of this year and to $50 by December 2026.   In a more bearish scenario involving a global GDP slowdown and no change to OPEC+ output levels, Brent prices might fall to $54 by year-end and $45 by late 2026. The most extreme projection—based on a simultaneous economic downturn and a full reversal of OPEC+ production cuts—would see Brent plunge to below $40 per barrel by the end of 2026.   Goldman noted that oil prices could outperform forecasts significantly if there was a dramatic shift in tariff policy and a surprise in global demand recovery.   Cautious Optimism, But Warnings Persist   With both Washington and Beijing showing no signs of backing down, markets are likely to remain volatile in the days ahead. Investors now turn their attention to upcoming trade meetings and policy decisions, hoping for clarity in what has become one of the most unpredictable trading environments in recent years.   Always trade with strict risk management. Your capital is the single most important aspect of your trading business.   Please note that times displayed based on local time zone and are from time of writing this report. Click HERE to access the full HFM Economic calendar.   Want to learn to trade and analyse the markets? Join our webinars and get analysis and trading ideas combined with better understanding of how markets work. Click HERE to register for FREE!   Click HERE to READ more Market news.   Andria Pichidi HFMarkets   Disclaimer: This material is provided as a general marketing communication for information purposes only and does not constitute an independent investment research. Nothing in this communication contains, or should be considered as containing, an investment advice or an investment recommendation or a solicitation for the purpose of buying or selling of any financial instrument. All information provided is gathered from reputable sources and any information containing an indication of past performance is not a guarantee or reliable indicator of future performance. Users acknowledge that any investment in Leveraged Products is characterized by a certain degree of uncertainty and that any investment of this nature involves a high level of risk for which the users are solely responsible and liable. We assume no liability for any loss arising from any investment made based on the information provided in this communication. This communication must not be reproduced or further distributed without our prior written permission.
    • CVNA Carvana stock watch, rebound to 166.56 support area at https://stockconsultant.com/?CVNA
×
×
  • Create New...

Important Information

By using this site, you agree to our Terms of Use.