Why STP?

0
162
views

What is STP?
STP – Straight Through Processing is an executing system. Which is send the client`s requests straight to the liquidity provider. STP brokers are not using Dealing Desk. Therefore the broker is not involved in the business between the client and the liquidity provider.

What is a dealing desk broker?
Brokers that operate as dealing desk brokers act as the counter-party of their clients’ trades. The broker sets a bid and ask price at which they are willing to buy and sell. This way, the broker’s clients are always able to fill trading orders. Dealing desk brokers are therefore also market makers. Because the dealing desk broker is the counter-party to their client’s trades, it may seem as if there is a conflict of interest.

What is the benefit of STP broker?
As there is no Dealing Desk. There is no interfere, no requote and no delay in the favour of the trader/client. Even during high volatility market the clients can open positions whitout any problem.

Why should we choose STP broker?
The most important reason is to avoid the conflict of interest between the broker and client. Brokers with dealing desk if the client has loss that is profit to the broker. If the client gain profit that is loss to the broker. In case of STP brokers the interest is the same. The broker has profit on every single trade. That is why the broker`s interest to help the clients to trade as long as possible. This clearly indicate that the STP broker try to help the clients as much as possible to be successful in orex trading.

Trade with an STP broker selected by Quick and Easy Forex!

Previous article$2 Cash Back
Next articleAbout
SHARE