Nowadays the meaning of ECN (Electronic Communication network) yet remains not quite clear to many traders, despite the fact that this technology has been introduced on the market about 15 years ago and has proven to have distinctive advantages over the traditional Market-Maker type. Now ECN commands a large part of the forex market, so we believe it is important to highlight key points of ECN so that any trader know what it is about.
The main characteristic of best ECN broker that makes it a class of its own is that this technology allows direct processing execution: open orders are processed by stp forex brokers without an intermediary party. This procedure is known as STP (Straight-Through Processing). The advantage of the ECN / STP method is that thus a trader gets access to the big market with liquidity. The liquidity providers are stp brokers business connections (first-class banks, financial companies, etc.). Basically, the strong points of best ECN broker are lower spreads and commissions, easy access to the market. Besides ECN STP forex brokers are remarkable for market execution, no slippage and no requotes.
ECN /STP technology purports transparency, but traders are strongly recommended not to start ECN trading unless they feel they have enough knowledge and expertise on the forex market. When choosing the best ECN broker expert advisory is more than welcome.
Forex Awards present to you top ECN brokers working on contemporary currency markets. Vote for best ECN forex brokers 2016 on our site.