The real market place for spot fx is not always moving, it’s the retail forex brokers that are leveling the field for us to trade on. For example you are used to a 1-2 wide spread on say the eur/usd but the true spread with the liquidity provider may be 100 wide. So the broker sends all its eur/usd long trades to their liquidity provider who gives the broker a price and then simply requites the trade next. Meaning the long eur/usd trades may have been a winner but the bank just re-quotes the price on their books never seeing a loss. I am just saying, not zero sum market. But that’s ok, we are looking to be 50 percent right with good 2:1 risk to reward and that’s done everyday in the market place.
Written by JamesDicks
James Dicks has been sending forex alerts to his customers for more than 10 years. A pioneer in the retail forex industry in the US, James has introduced millions of people to the forex industry thru his education, training, and support. A key component to any traders success, is education. Our forex alerts can assist you in not just your learning curve but also give you an idea as to what we are trading and when.