⭐ STP Forex Brokers
STP (Straight Through Processing) = NDD (No Dealing Desk) = A-book
- STP Forex brokers run No Dealing Desk, and send 100% of Clients' orders to their Liquidity Providers
- STP Forex brokers have no conflict of interest and don't take the opposite side of Clients' trades
- STP Forex brokers have fewer liquidity providers, and hence limited room for price improvements
STP (Straight Through Processing) = NDD (No Dealing Desk) = A-book ...read more
- STP Forex brokers run No Dealing Desk, and send 100% of Clients' orders to their Liquidity Providers
- STP Forex brokers have no conflict of interest and don't take the opposite side of Clients' trades
- STP Forex brokers have fewer liquidity providers, and hence limited room for price improvements
Compare STP Forex Brokers
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STP Forex broker
— an agent and intermediary dealer that operates No Dealing Desk (NDD) and is NOT a counterparty to clients' trades. Instead all orders are sent (via Straight Through Processing) to another Liquidity Provider (sometimes a sister company) or a limited number of other Liquidity Partners.How STP brokers work?
- Price: STP Forex brokers receive price feeds from their direct partners - Liquidity Providers (LPs) - which could be 1 provider or several. This allows STP brokers to display obtained prices to own Clients. Clients accept & trade on prices obtained by STP brokers from LPs. With several LPs prices will be more competitive & favorable. STP brokers may choose to include own mark-ups on top of obtained prices.
- Trade: Clients don't trade with STP brokers per se. Rather they trade via STP brokers with the Liquidity Provider(s). In other words, the final counterparty of each trade is not a STP broker, but rather a Liquidity Provider.
- What's the deal? Clients receive access to Forex trading with mini investments & small trading orders & are using the STP broker as their intermediary anonymous "shield" (STP brokers pass orders anonymously to LPs) while having access to better prices available with larger entities - Liquidity Providers.
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