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ECN Forex Account - Best ECN Forex brokers

ECN account and brokers (BEST ECN Brokers)
ECN stands for “Electronic Communications Network,” a system that connects all the participants of the Forex Market together and provides them with the best available currency prices on the market. Through this network, the banks, liquidity providers, brokers, and traders can have direct access to the market to see the available prices and choose their most preferred options.

This would completely erase the need for a middleman to facilitate the process and therefore result in lower and more cost-effective spreads. This system can only be used through proper channels; that is to say, only ECN brokers can allow you to trade Forex on the ECN network. So, choose an ECN broker, open an ECN account, and enjoy all the perks that this system has to offer. Learn more about the advantage of ECN accounts.

Below, you can find the best ECN forex brokers that offer you ECN trading accounts:
FXTM Malaysia
FXTM Malaysia
Minimum Deposit on ECN Account: $500
Leverage on ECN Account: 1:1000
Tradable Markets on ECN Account: Forex, CFDs, Metals
ECN Spreads: Floating from 0.1 pip
ECN Commission: $4 \ Lot

Deposit and Withdrawal: Bank Wire, Credit Cards, Webmoney, PerfectMoney, FasaPay, Skrill, Neteller, Local Malaysian Banks

Regulations: CySEC, FCA, IFSC
Country: Cyprus

FBS Malaysia
FBS Malaysia
Minimum Deposit on ECN Account: $1000
Leverage on ECN Account: 1:500
Tradable Markets on ECN Account: Forex
ECN Spreads: Floating from 0 pip
ECN Commission: $6 \ Lot

Deposit and Withdrawal: Bank Wire, Credit Cards, Webmoney, PerfectMoney, FasaPay, Skrill, Neteller, Local Malaysian Banks

Regulations: CySEC, IFSC
Country: Russia

Alpari Malaysia
Alpari Malaysia
Minimum Deposit on ECN Account: $500
Leverage on ECN Account: 1:1000
Tradable Markets on ECN Account: Forex
ECN Spreads: Floating from 0 pips
ECN Commission: $16 \ Lot

Deposit and Withdrawal: Bank Wire, Credit Cards, Webmoney, FasaPay, Skrill, Neteller, Local Malaysian Banks

Regulations: FSA, IBC
Country: Russia

RoboForex Malaysia
RoboForex Malaysia
Minimum Deposit on ECN Account: $10
Leverage on ECN Account: 1:300
Tradable Markets on ECN Account: Forex
ECN Spreads: Floating from 0 pips
ECN Commission: $20 \ Lot

Deposit and Withdrawal: Bank Wire, Credit Cards, Webmoney, PerfectMoney, FasaPay, Skrill, Neteller, Local Malaysian Banks

Regulations: CySEC, FCA, IFSC
Country: Cyprus

How ECN Forex Brokers operate and what to expect from ECN Accounts?

 
ECN Forex brokers do not set the bid/ask prices and only present the currently available prices that they have procured from the liquidity providers. In other words, they just provide the means, or access to the network, for the traders who can then browse through the prices offered by multiple participants of the FX Market including the major banks, brokers, and other traders.

ECN Forex Brokers charge a small commission for their clients’ transactions on the ECN Network because their offered spreads are either very low or none at all, zero.

ECN account holders are able to view their broker’s system in real-time with no delays. This is especially useful in times of major news release to execute your trading positions almost instantaneously. Scalpers are very attracted to ECN accounts due to the low floating spread as well as ultra-fast trade execution features that come with them.

Advantages of ECN Forex Accounts

ECN Forex accounts are getting more and more preferable by experienced traders due to the wider range of their offered advantages.

Here are some benefits you can acquire by opening an ECN Forex account:

1. Anonymity

The first and foremost benefit of opening an ECN Forex account is its privacy, in this way no one will get wind of your trading activities and you’ll remain completely anonymous. This also means that nobody has an advantage over another and everybody gets the same set of trading conditions and prices. Your ECN broker can only provide access to the network and smooth the process, but they won’t be able to interfere in your private trading activities.

2. Real-time Trades

ECN account traders will encounter no delays in between trades and have real-time access to the ongoing transactions of the market. This is because they are directly connected to the market, and their transactions are confirmed immediately without encountering interference in each trade. This saves time and gives them peace of mind.

3. Direct Access to Forex market

When you open an ECN Forex account, you get direct access to a global liquidity pool of competitive, and regulated financial institutions. All brokers who have partnered with the ECN system access the same feed and trades without any exceptions. Therefore, what you receive is the most transparent market prices that different liquidity providers offer.


4. No Conflict of Interest

ECN brokers don’t trade against their clients, so there is literally no reason for them to hide the available prices from their clients. In fact, they make sure that their clients enjoy the most suitable prices in the market. Think about it! The happier the customers are, the more business would go to the brokers. Moreover, in such a system everybody is treated the same, and nobody receives any special treatment.


5. No Re-quotes and No Dealing Desk (NDD)

ECN Brokers will not tamper with your prices; they’re not allowed to, so you will surely get the same price with which you’ve entered the market. And since it’s a no dealing desk, you’ll have direct access to the interbank market.

6. Narrow and Lower Spreads

ECN brokers have no control over the available prices of the forex market; therefore, they cannot manipulate the spreads or change the prices. This advantage gives you an edge to review the fluctuations of the market prices in real time and pick the ones that you prefer.

7. Fast Order Execution

Nothing stands in your way to access the liquidity providers, your orders are filled automatically with no delays, and they will go through as smoothly as possible.

Forex ECN vs. Standard Account

After getting a better idea about ECN Account, you might be wondering which one is better for you; a Forex ECN or Standard account.

Let’s examine both accounts:

1. Forex Standard Account

A Standard account is a much simpler account using a more conventional method of Forex trading. Your Forex trading operations are conducted through your Forex broker, a mediator between you and the liquidity providers. Or, in some cases, the brokers (market makers) would take the opposite side of your trading position.

Spreads in standards accounts are much wider—usually by 1 to 1.5 pips—than ECN accounts because brokers make money by adding a minimal markup to these spreads. However, these spreads are more stable than those of the ECN accounts because the unstable spreads caused by rapid price movements are already covered in the broker’s spreads.

Most importantly, Forex brokers typically do not charge any commission in their standard accounts, and the trading platforms offered are usually simpler and more user-friendly.

For these reasons, if you are still a newcomer in the Forex market, the standard or Micro Forex account will be your better option so you can trade with more safety.

2. Forex ECN Account

On the other hand, a Forex ECN account offers more complex trading experience with its advanced trading platforms and extreme volatility because you will access the interbank market directly. It means that you will be facing its rapid price movements that may cause difficulties in calculating your stop-loss and breakeven points.

Your trading orders will be executed instantly using the market price with much tighter spreads in the ECN account, but this also means that you cannot take your eyes off the market. If you are a scalper, an ECN account will generally be much more beneficial than a standard account.

Still, in the ECN account, your broker will charge a certain amount of commission for each transaction, so you might want to consider this as well.

Due to its complexity and a higher level of risks, Forex ECN Account is much better for professional traders with an advanced level of trading proficiency.

So, are you interested in using the ECN network?

You should take note of all the pros and cons of choosing a Standard or ECN account before making your final decision. At the end of the day, a decision like this depends entirely on your trading skills and objectives.
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