Then it is high time you looked for an ECN broker. There are so many brokers traders and they all claim reliability. However, only very few of them offer ECN trading experience. In the remaining part of this write-up, we are going to enlighten you about some of the ECN brokers traders.
ECN stands for Electronic Communication Network. It is a very special technology that creates a connection between the liquidity provider and the traders in the Forex market. The technology, therefore, plays the role of a bridge. In conclusion, ECN is more or less a dealing desk bridge and has a straight-through processing execution, thereby enabling the execution in a direct connection between the two parties involved; that is, the trader and the liquidity provider.
An ECN broker offers its trading platform for trading, with the trading platform acting as the meeting point so to say between the liquidity provider and the trader. The broker acts as the middleman to make the trading process scale through. The ECN broker matches the trading order requested by the trader automatically. The trading order can be to buy or sell a particular asset. The broker also does so at the best available market price based on the activities of market participants. The EUR/USD is the most popularly traded currency pair and the pip spread can be as low as 0 pip for traders benefiting from ECN.
So, ECN trading allows the trader to enjoy highly competitive trading costs. In the same vein, the ECN technology leads to extended trading time for each trader. It is the perfect choice for those that prefer automated trading. You can use different types of strategies for ECN trading, irrespective of if you are an institutional trader or a retail trader. Thanks to ENC execution, there is a complete elimination of misunderstanding between the broker and the trader, which is usually the case in interbank connectivity. As a result of this, ECN trading confers transparency on the trading experience.
Some of the best ECN brokers around are highlighted below: