Is it true or common that all no dealing desk brokers do not have GSL and do not guarantee against slippage and but they have variable spreads?
One broker I’m with have guaranteed stop losses, fix spreads and they guarantee against slippage.
Yet a broker I am interested in has a no dealing desk, has variable (from 0.5) spreads and does not prevent slippage.
Their platform is MT4, which I think I could get used to easily, but I’m not sure about those other points and if a beginner should or not use these type of brokers.
Any ideas, comments etc on this?
Thanks
Dear tom82, different people have different opinion based, mostly, on experience or theory. If it’s experince then it’s ok, but depending on the experience they had with a particular broker they can still give different views.
So I think there might not be any panacea - bettre to try yourself.
As for spreads: I beleive better when broker offers fixed spreads (however, it’s almost impossible and 'cause it can loose monay as well as a clinet can - they offer floating spreads that might be changed only owing to dramatic changes on in the market). As for slippage: it sometimes might jappen, but better not. The broker should execute orders in a proper way. If slippage takes place you should find out why it has happened.
MT 4… ubiquitous platform. What’s good - has many options, so me personally do not see any reason to give up this platform
good luck