IB or Oanda or ????

Discussion in 'Forex Brokers' started by LoosenUp, Dec 5, 2005.

  1. paradox

    paradox

    Why do some market makers on IB ideal-pro post odd sizes like 999,999?
     
    #41     Dec 26, 2005
  2. Hoi

    Hoi

    That does not have to be a MM...I actually think it is a ButtonTrader user, who has initially entered a 1 mln Order, but during the trade has Joined a 1 lot Lilac-FX-cash position, which he had in the opposite direction. (1mln minus 1 is 999,999).

    {You will see more of these odd-lots when ButtonTrader users are trading IDEALPRO. (I bit off topic to explain the Lilac-FX-cash here)}.
     
    #42     Dec 27, 2005
  3. Trayo

    Trayo

    Hello Def, Would you please explain the dif between volume and liquidity?

    Thanks!
     
    #43     Dec 27, 2005
  4. paradox

    paradox

    Interesting possibility. I just read up on the "Lilav-FX-cash" in your release notes. How did the user end up with 1 lot though, that is not clear.
     
    #44     Dec 27, 2005
  5. def

    def Sponsor

    Volume is amount traded. Liquidity is the depth and size of the book (ie. how easy it is to get in an out of a trade).

    thus tighter spreads with size on the bid/offer are more important to get an and out of a market as opposed to the volume traded. ie. If one large block trades, that isn't helpful if there is a wide spread.
     
    #45     Dec 27, 2005
  6. Hoi

    Hoi

    Well, you get non-base budgets with every trade in a non-base Instruments (if your base is EUR, then a trade in ES gives commission and P&L in USD). These non-base-budgets are shown in Lilac-FX-cash, which you can convert back to your base (EUR) with a Join (drag/drop to a Forex-trade) or with an IDEAL trade (not a IDEALPRO)....very probably this trader used a IDEAL trade, but then you need to "guess" the correct number of lots to clean up the non-base budget to exactly zero...which is hard to do, and might leave a 1 USD rounding-error in your budget. {ButtonTrader does this "guessing" automaticly for you, most of times it results in a zero-budget, but not always}.
     
    #46     Dec 28, 2005
  7. fhr999

    fhr999

    For an active traders there no way to trade other than with an ECN.Trading with a Broker you are at a huge disadvantage versus the market.For example if you compare prices there is no way a broker can compete with an ECN.I have now for a few months compared prices between Currenex and Saxo.If you trade Eur/Doll Doll/yen Doll/chf and some crosses like Eur/yen
    the difference of the spread makes a huge difference.I had the other day an example to show you why.I had an order to sell 5 mio Doll/yen at 95.the quote Saxo provided was 93.5/96.5
    and Currenex 94/95.Then the price went 95/96 with Currenex
    and my order was done.This price was paid more than 5 times.
    Guess what happened with Saxo their best price was never
    better than 93.5.I think in the future that the Ecn model will increase and put a huge pressure on all these brokers to adapt and change their way of trading
     
    #47     Dec 28, 2005
  8. traderob

    traderob

    Were you looking at forex with the yen?
     
    #48     Dec 28, 2005
  9. fhr999

    fhr999

    Roberk i dont understand you question
     
    #49     Dec 28, 2005
  10. traderob

    traderob

    The forex yen hasn't traded below 100 for years so I thought you might be looking at saxo's CFDs(the mini-futures) which have a wider spread than forex, and reverse the forex USD/Yen rate.
     
    #50     Dec 28, 2005