How does money actually change "sides" in forex when using true STP /true ECN broker

@alexslabu23
mate, ii have an idea for you,
call an investment bank and ask, have you tried that

well i was thinking they actually wouldnā€™t accept a losing trade just for the sake of ā€œproviding liquidityā€ witch means stp/ecn canā€™t really happen because

a) you canā€™t trade the exact sum with other traders because of the fact that you would need very odd custom lots especially especially at the other side of your close

b) the liquidity providers wontā€™t provide liquidity to traders that are winner

but itā€™s just a theory, they may not look at the fact that they are winning trades for the retail traders and just count on the statistic Falstaff presented , but that i wouldnā€™t say is as smart as it could be on their part

like i said no -one is forced to write on the thread, but thanks for the input

i was just interested in how things work, in order to make better choices, why would somebody invest in a system that he/she doesnā€™t understand fully or is fishy , maybe you can, and i respect that, but i personally would at least be careful, maybe my loss

Oh the ā€œother 10%ā€ donā€™t actually Make money , They just realise what theyā€™re doing is dumb and donā€™t trade their accounts ! :relaxed:

But I Thank you for your kind permission - Now Iā€™m pretty sure you ARE just trolling ! :laughing:

indeed, and i understand that
but, depending on how badly you want to know,
why donā€™t you

  • call investment banks and ask them nicely and see what they say at the very least
    or
  • work in one and learn how it works
    or
  • pay someone who works in one an hour for their time to tell you over a coffee
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i was talking about the hedge funds/ investment banks taking on winning trades of retail brokers (as in the 10% we were talking about) witch (those trades) would be losing trades for them(the investment banks and hedge funds and other LP)ā€¦donā€™t know why you took it as an insult

i didnā€™t do it because i tought you guy knew thisā€¦will doā€¦if i even find an investement bank in my country :slight_smile:

Go to You tube and invest an hour or so in the video ā€œAnton Kreil annihilates ā€¦ā€

we do know it, but you donā€™t seem to be understanding, and iā€™m no longer prepared to explain it.
and i donā€™t think falstaff is
so iā€™m trying to give you another option

@alexslabu23

hereā€™s the link

Actually itā€™s 2 hours,but worth it

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Alex, there was one with a similar name used to be here, now spelt backwards on another forum, also English not 1st language, hope you are not one and the same.

The questioning is very valid imo, however there are brilliant drivers of motor racing who havenā€™t a clue how a car works.

I suppose that we ā€˜retailā€™ think that the market revolves around us, then we get a surprise like Men In Black movie when we open the locker!

Edit: for those who havenā€™t seen MIB:

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Really ??? NAME 1
i know 2 Professional Race car drivers and i can tell you they would be absolute idiots to not know how a car works at all.

soā€¦ Name 1 that doesnā€™t have a clue how a car works, be aware that whoever you name, i can research it and ask them.
go ahead

Perhaps itā€™s different in Australia but here ā€œmotor sportā€ is not restricted to ā€˜Professional Race car driversā€™.

The term covers all motors, even go-karts.

I think you understood well my point but have chosen a specific method of response.

Iā€™m familiar with a few good software engineers, but they couldnā€™t repair the inside of computer.

Motor racing as understood here:

http://www.kirkistown.com/

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Martin didnā€™t challenge me on how Alexā€™s questioning could have any validity or why the MIB locker reference.

There was a poster here a few years back, cannot remember his name, he used FA in relatively short term trades and happily posted images of his trade tickets.

He used the usual criteria of news numbers like cpi etc.

But there was one item often overlooked - M&A (mergers and acquisitions), he would research any such announcements, the thinking being that this is the very reason for the FX market, the unleveraged exchange of currencies by banks/business.

Can that influence price?

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Tip of the iceberg - but good to see the thieving buggers getting caught - shame the other Banks get away with it all the time (imho :wink: )

well of course not, they are SOFTWARE engineers, not Electronics Engineers, thatā€™s not a fair comparison though.

maybe it is , i am aware that we have Amateur go Kart drivers, but even those guys TO A POINT understand how the car works and how it moves
they still understandā€¦ this is the accelerator, this is the break, the steering wheel and this is the motorā€¦ all of them have an understanding to some degree
you saidā€¦

1980 F1 World Champion Alan Jones was clueless about the cars he droveā€¦ I worked with him in the early/mid 90ā€™s when he was racing a B&H BMW M3 in Aust. Touring Carsā€¦ nice friendly guyā€¦ just didnā€™t careā€¦ ā€œBloody thing is understeeringā€¦ fix it!..ā€

ā€œThere is a noise coming from the front of the car in 5th gearā€¦Ahhh., Yep, itā€™s the splitter hitting the track when the aero load is up on the carā€¦Ohhhh.ā€

He once said to his race engineer that the 1981 Ground Effect Williams FW07B (with skirts) was to stiffly sprung and was hurting his backā€¦

Frank Williams chimed inā€¦ ā€œmaybe you should be sitting on your walletā€¦ā€

Jones quippedā€¦ ā€œWellā€¦ give me more to put in itā€¦ā€

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I think where youā€™re getting tripped up is looking at your trade from an individual basis.

Depending on the broker (principal vs. agency), trades are pooled together and looked at from an aggregate risk exposure basis. For example, am I net short EUR/USD or euros, and by how much? Then depending on their risk controls, they will adjust their exposure. By matching orders internally, hedging in the outside market, etc. This is done continuously.

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ok cool
and then you disprove yourself by this comment

you see this comment shows that he knows what Understeering is
a Race Driver CANNOT KNOW NOTHING about a car
They can know very little
They cannot care about how an engine works in all itā€™s fine detail
but they have to know something, that was my point
and the original point we are referring to isā€¦ that a trader can know nothing about math and trade

@Trendswithbenefits Mate,ā€¦ you of all people know that this is not possible, i mean if a trader doesnā€™t have basic math and they canā€™t calculate something like 1% of Whatever of they canā€™t calculate simple things, they will lose, they canā€™t trade, they wonā€™t be able to formulate a strategy without basic maths
and a driver will not be able to drive unless they know some basics.

Iā€™m betting that Alan knew that the car took fuel, where the accelerator was and the break and so on and perhaps a bit about drifting and drafting and so on, he would have to know something regardless of how little a care he had, he would have to know something
can we agree on that.

you worked with himā€¦ he knew how to drive the bloody carā€¦ right ? and ā€¦ to a professional standard ? right ?

I like this by the way :stuck_out_tongue:

I got eyestrain trying to understand where you were going with your responseā€¦

Yesā€¦ the better your maths ability the more chance you have of succeeding in Forexā€¦and Yesā€¦ knowledge and the ability to find and research the information you require for Forex will also improve your odds at being successfulā€¦

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@Trendswithbenefits
sorry mate, my apologies

but yes thisā€¦ was basically it
all i was saying wasā€¦ you canā€™t have NO KNOWLEDGE and trade or drive or whatever

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