What is a Forex Broker?
Any active foreign exchange market has many foreign exchange intermediaries (Exchange Dealers), which are called “Exchange Traders” in the United States. Like stock market intermediaries, foreign exchange intermediaries (brokers) only play the role of intermediaries in the foreign exchange market. Its main task for the purpose of earning commissions is to provide accurate and fast transaction information, to promote the smooth progress of foreign exchange transactions, and to act as an agent of foreign exchange exchange rate agreements for customers. Bank transactions.
Types of Forex Brokers
Market Maker MM (Market Maker)
MM has a dealing desk (Dealing Desk), and the transaction request cannot be automatically submitted to the bank without complete barriers.
Storage Tracking Processing (STP)
STP literal translation is processed directly. That means your order will be submitted to the bank unmanned. That is, no trading desk (NDD).
Electronic Communication Network (ECN);
If ECN is directly translated, it is an electronic communication network, which is also an NDD, and contains most of the characteristics of STP.