ECN Brokers: what they offer to traders?

ECN Brokers: what they offer to traders?

There is great confusion about different types of online brokers you can trade with. In effect, there are DMA, ECN, STP brokers and these differences don’t help beginners to understand the right way for their activity.

If you want to know what kind of trading services are actually available online , you can start dividing brokers into two macro categories: No Dealing Desk and Markets Makers. Today, we will help you to find out best ecn brokers: surely one of the most researched ones by traders worldwide, thanks to their way to connect users to markets and especially for  tempting trading opportunities offered to their users.

ECN Broker: what does it mean?

“ECN” stands for “ Electronic Communications Network” and, first of all, you need to know that this type of broker is part of the No Dealing Desk category. But, what this kind of broker can do for their users? This is the first question asked by beginners looking for a trusted and reliable online platform.

In a few words, an ecn broker allows traders to access directly to markets and assets, thanks to his online network. We could consider these brokers as intermediaries between selling/buying operations. In fact, one of the best advantages about this intermediary is that traders can feel safe during their financial activity: users trade in a transparent environment, with cheap prices and low cost conditions of trading.

In the end, we think that’s important for you to know how they make money: thanks to an elevated trading volume, ecn brokers charge a little commission in each negotiation.

Advantages of trading with ECN brokers

If you want to discover more about ecn brokers, you should start considering what they offer to online traders, so you can easily decide if this is what you are looking for. First of all, operating in this way ensures users about no conflict of interests between them and the broker: this first characteristic is really appreciated by users all around the world. They know that this type of brokers want to facilitate their operations, making markets liquid thanks to manu providers.

In effect, there are a lot of traders who appreciate ecn brokers because they allow you to access markets without changing prices, offering to you accessible and flexible trading conditions. This also means that traders will follow market conditions in real time: an ecn broker, as we already said,  has no interest in manipulating prices.

Actually, beginners prefer ecn brokers thanks to their low fees and competitive spreads, especially when you compare costs with other types of brokers. In the end, we can easily affirm that a lot of traders -beginners too- prefer trading with an acn broker; he offers interesting trading execution and he will assure you the best conditions for your activity on online markets.

ECN Brokers: final opinions

If you are looking for a good trading experience, you should start thinking about what kind of broker you need to trade with. As we just seen, ecn brokers are characterised by different advantages: liquidity, transparency and no conflict of interest. At the same time, users will be able to choose among various types of trading accounts; each one distinguished by some benefits. For example, low spreads and small commissions.

Naturally, to take advantages from services offered by ecn brokers you must pay attention to the trading platform. In a few words, traders need to access markets with trusted and regulated brokers: this is the first step to guarantee a safe and positive trading experience.


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