When we make up our minds to become successful traders and start working hard towards implementing this goal, we definitely have many more chances to succeed eventually. Once you have come to market in order to have fun and gamble a little, you may be punished since the market cannot stand amateurs.
Moreover, your experience, skills and knowledge are certainly not the only determining factors when it comes to success in trading. Moreover, it is vital to find operate financial markets via a reliable broking company that can offer competitive trading conditions. Obviously, these factors when drawn together are set to put the odds in your favor, which means they are definitely going to guide you past all the obstacles right to success in the long run.
Once again, it is also very important to work with a reliable broking company since if you deal with a cheater or a scammer you won’t be able to make money even if you are the best trader in the world. A reliable partner is a key to success in any business. Trading is no exception.
It is also vital to define what technology to use in trading Forex. Apparently, there are many trading technologies. However, ECN is one of the most efficient and increasing popular techollogies.
ECN stands for Electronic Communications Network. I guess there is no point in giving you a detail explanation of what ECN is right here. For more information, you can read the Electronic Communication Network article published in Wikipedia. In short, the network unites all the market participants – traders, banks, investment funds. This is some kind of a common trading environment where client orders are executed by means of finding the opposite order placed by another trader.
ECN is considered the best technology for professional traders since it provides a number of benefits, including the access to the genuine interbank liquidity, fast execution of orders etc.
ECN Advantages
According to Eugene Olkhovsky, ’s leading Canadian expert in financial markets, there are some major differences between an ECN-broker and a conventional one.
1. Direct execution of orders. ECN-brokers don’t act as counteragents. They make money by charging their clients with commissions and fees for executing orders through their liquidity suppliers (major banks).
2. Direct access to the interbank. Unlike ECN-brokers, If a trader sells a conventional broker buys from him, if a trader buys a the broker sells to him. In order to hedge an order it can use its liquidity supplier. It can also hedge an order without transferring it to the interbank. In fact, conventional traders do not actually provide their clients with a true access to the interbank. Such brokers usually forbid scalping because they fail to hedge a lot of quick trades.
3. No scam. An ECN-broker cannot cheat because it doesn’t directly participate in the execution of orders. ECN-brokers are not interested in their client’s losses. They charge fees for transferring their orders to liquidity suppliers.
The bottom line: ECN-trading is suitable for professional traders, especially for scalpers and other intensive traders.
These days, you can find dozens of broking companies that let you trade via ECNs. Still, there are some companies that can really offer you the best trading conditions among ECN brokers.
Once again, today’s highly-competitive Forex industry offers you hundreds of broking companies. Therefore, it is not so easy to tell good and reliable brokers from fakes. Is it possible to choose a true broker while being guided by objective criteria?
Independent Rating – the Best Way to Choose a Broker
According to Eugene Olkhovsky, Masterforex-V Academy’s leading expert in financial markets from Canada, it is necessary to consider multiple factors in order to choose a reliable broker, from licenses given by major financial authorities to spreads and commissions.
However, it is very difficult to find and analyze such big arrays of information on one’s own. It requires a lot of time and effort. However, there is a way out!
A couple of years ago, Masterforex-V Academy started its own unbiased rating of Forex brokers (now it is called MasterForex-V Expo) in order to help beginning and advanced traders to find those broking companies that meet their requirements.
MasterForex-V Expo includes several nominations. One of them is the “Best ECN Broker of the Month”. The rating is based on 23 independent criteria.
Let’s have a look at the current rating of ECN brokers.
Best ECN Brokers. October 2013
So, the current rating, courtesy of Masterforex-V Academy, looks as follows:
As you can see, the TOP3 is represented by RoboForex, Alpari and TusarForex. All of them are major broking companies with many years of operating history, major licenses and client-oriented approach.
