MT4 ECN Brokers
MT4 ECN brokers can be defined as brokers providing favorable conditions for ECN trading via the MT4 terminal. It is only recently that the ECN technology has been implemented via the MT4 trading platform. Until then the MT4 terminal was only used by Market Makers and common traders could not benefit from the interbank liquidity.
Currently, MT4 ECN brokers represent a majority in the Forex market. They are popular for the profitable environment they create for less experienced traders and seasoned experts alike. The main advantage associated with non-dealing desk brokers’ activity is that customers’ orders are executed directly in the interbank foreign exchange market. It means that there are no re-quotes and retail traders may not fear that their orders may be either accepted or rejected for some unknown reason.
The feed you see when trading with DD brokers is what you get but in most cases you have no idea what actually stands behind the displayed quotes. MT4 ECN brokers provide their clients with the market depth details (also referred to as Level 2 or Order Book) displaying the best Offers and Bids currently available in the market.
For example, FXOpen MT4 ECN platform demonstrates the five best Bid and five best Ask orders along with the available volumes to buy or sell, real time. In case of insufficient liquidity in the interbank, a client’s position can be partially filled while the rest will be displayed and seen on the marketplace. If two opposing orders of the same price and volume match, they get filled and disappear from the market depth i.e., the deal is complete.
Such MT4 ECN brokers as Alpari, FxPro, EXNESS and others also aggregate feeds from multiple liquidity providers and display the depth of market data for transparent pricing.
Choosing ECN, a trader can benefit from a highly sophisticated order management system, minimum latency execution and most competitive prices that altogether contribute to enhancing trading experience.