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Author Topic: FXCM - New MT4 Account with direct Integration to its ECN  (Read 70283 times)

Offline guernica

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #15 on: December 11, 2011, 01:32:59 PM »
Scam, Scam, Scam ... with new clothes ... go to hell ... be honest from the beginning.

Offline forexpro1218

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #16 on: December 16, 2011, 04:15:48 PM »
I don't know, I read the following on another forum from Boston Tech...has fxcm worked out the api problems during this seamless integration or did they eliminate this too?


"George said:
Many companies use our bridges. Some disclose it and some dont.
We use the same technology at GFT for their retail and with FXCM for their retail.
As you probably noted GFTs execution is flawless.
FXCM execution is not.
The only difference between the systems is the quality of the FXCM or GFT liquidity and the FXCM or GFT APIs.
I think the conclusion is obvious : the FXCM APIs and liquidity are the ones creating the problems.
Thanks,
George"

Offline Jason Rogers

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #17 on: December 16, 2011, 04:53:46 PM »
I don't know, I read the following on another forum from Boston Tech...has fxcm worked out the api problems during this seamless integration or did they eliminate this too?


"George said:
Many companies use our bridges. Some disclose it and some dont.
We use the same technology at GFT for their retail and with FXCM for their retail.
As you probably noted GFTs execution is flawless.
FXCM execution is not.
The only difference between the systems is the quality of the FXCM or GFT liquidity and the FXCM or GFT APIs.
I think the conclusion is obvious : the FXCM APIs and liquidity are the ones creating the problems.
Thanks,
George"

Hi forexpro,

I would say his comparison is apples vs. oranges since GFT runs a dealing desk where orders are sent only to the dealing desk whereas FXCM's execution is No Dealing Desk where forex orders are offset instantly against 10+ liquidity providers.  Keep in mind that MT4 is inherently built for a dealing desk, so an NDD integration can be more complex.  Despite this, we've been able to seamlessly integrate MT4 into our NDD forex execution for additional features which were not previously available when using the 3rd party bridge.

-Jason

Offline Jason Rogers

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #18 on: December 20, 2011, 07:00:17 PM »
Just a reminder that FXCM will have special holiday hours this weekend and next for both trading and customer support.  Here's a list of the holiday hours (all times are Eastern New York time; +5 for GMT):


I will be away from the forums through January 3rd so any questions will be replied to after then.  Wishing everyone a happy holidays and a prosperous new year.  See you in 2012!

-Jason

Offline fxcica

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #19 on: January 11, 2012, 03:52:46 AM »
Jason Rogers,

I tried out FXCM's new MT4 (for US clients) on a demo account last week, and to my surprise, it was enforcing FIFO requiremments on open MT4 orders!

Several other US brokers (ATC Brokers, FXDD, MBTrading, etc) do NOT enforce FIFO directly on open MT4 orders. These brokers comply with CFTC/NFA FIFO closing rules in their backoffice accounting on closed trades.

I do know FXCM's Trading Station II also does not enforce FIFO directly on open TS orders.  Does FXCM have plans to improve its MT4 to no longer enforce FIFO directly on open MT4 orders?

Offline quickset

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #20 on: January 11, 2012, 04:22:06 AM »
Jason Rogers,

I tried out FXCM's new MT4 (for US clients) on a demo account last week, and to my surprise, it was enforcing FIFO requiremments on open MT4 orders!

Several other US brokers (ATC Brokers, FXDD, MBTrading, etc) do NOT enforce FIFO directly on open MT4 orders. These brokers comply with CFTC/NFA FIFO closing rules in their backoffice accounting on closed trades.

I do know FXCM's Trading Station II also does not enforce FIFO directly on open TS orders.  Does FXCM have plans to improve its MT4 to no longer enforce FIFO directly on open MT4 orders?
I've been with FXCM 2 years & about to open their new MT4 platform w/o the Boston Tech bridge. it's my understanding the new platform automatically enforces the FIFO. Is there a way you can open the demo thru FXCM /UK/?

Offline fxcica

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #21 on: January 11, 2012, 09:19:38 PM »
I've been with FXCM 2 years & about to open their new MT4 platform w/o the Boston Tech bridge. it's my understanding the new platform automatically enforces the FIFO. Is there a way you can open the demo thru FXCM /UK/?

As I'm a US resident, I have no interest in trying to demo with FXCM UK.  However, I would think  FXCM UK's version of MT4 would NOT enforce FIFO.

Offline cyberryder

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #22 on: January 12, 2012, 09:27:20 PM »
it's an "instant execution" accnt allowing to set SL+TP with the order = Market Maker
ECN should be "market execution"

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Offline Jason Rogers

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #23 on: January 19, 2012, 09:57:22 PM »
I've been with FXCM 2 years & about to open their new MT4 platform w/o the Boston Tech bridge. it's my understanding the new platform automatically enforces the FIFO. Is there a way you can open the demo thru FXCM /UK/?

As I'm a US resident, I have no interest in trying to demo with FXCM UK.  However, I would think  FXCM UK's version of MT4 would NOT enforce FIFO.

Hi fxcica and quickset,

FXCM's new MT4 platform enforces FIFO execution on both the front end through the MT4 interface itself and the back end record keeping.  More information on the new features and settings in the new MT4 platform can be found here http://www.fxcm.com/mt4-execution-policy-and-features.jsp .

Let me know if you have any additional questions.

Jason

Offline Jason Rogers

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #24 on: January 19, 2012, 10:21:17 PM »
it's an "instant execution" accnt allowing to set SL+TP with the order = Market Maker
ECN should be "market execution"

--> useless

Hi Pips2Cash,

FXCM's new MT4 uses Instant Execution, and the execution model remains No Dealing Desk (NDD) for forex transactions. 

The MT4 platform can be setup with either Market Execution or Instant Execution, not both.  Market execution executes all orders as At Best market orders.  If the price you click on is not available, the order is automatically executed at the next best available price.  So you have no control over slippage.  Instant execution gives you more control over slippage in that you can have the order cancelled if the market has moved outside of a specified range of prices set via the Maximum Deviation feature.  The features are very similar to the "Market Range" and "At Best" options on FXCM's Trading Station platform when submitting a market order.  The problem with MT4 is that the broker can only set it to one or the other.  We used Market Execution in the past, but a common comment from our traders is that they had no control over slippage when submitting a market order.  That is no longer the case since our new MT4 uses Instant Execution.  You can control slippage on market orders by using the Maximum Deviation setting.

Maximum deviation will limit the amount of negative slippage on your trade, but a nice feature with FXCM's setup is that our system will override the restriction that the maximum deviation feature places on positive slippage since FXCM's trading policy allows for unlimited positive slippage on all order types.

A full overview of the execution policy and features on FXCM's new MT4 can be found here http://www.fxcm.com/mt4-execution-policy-and-features.jsp

Jason

Offline compujock

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #25 on: January 21, 2012, 04:53:00 AM »
Jason, why is it that FXCM now enforces the FIFO rule and the NO HEDGING rule in MT4?  Up until the transition FXCM has always handled these in the backoffice.  That was the main reason I had been an FXCM customer for so long.  Now it's impossible to run a portfolio of EA's or even two EA's if they both use the same pair (eurusd for example).  Since eurusd is the most heavily traded, most liquid pair with the lowest spread, it's the pair most targeted by EA's. Those of us in the US who use multiple EA's on our accounts now have to take our money elsewhere to one of the other US brokers who deal with these rules in their backoffice.  FXDD, ATC, and ILQ still handle both rules in the backoffice.  MB Trading and IBFX handle only FIFO in the backoffice.  Our choices used to be FXCM, FXDD, ATC, and ILQ, now we have one less option thanks to FXCM.
Demo Test of Serial Scalper 2.0 manual strategy from fxquickroute:

Offline cyberryder

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AW: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #26 on: January 22, 2012, 05:21:09 PM »
Jason, from an economic point thats not logical. How do you (fxcm) know the slippage before you execute the trade in your "ecn"? This cant be profitable.
The "No dealing desk" argument is useless, as long as you start adding you didnt replace the desk by any sw
« Last Edit: January 22, 2012, 05:39:24 PM by Pips2Cash »
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Offline compujock

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #27 on: January 22, 2012, 06:45:46 PM »
Jason, from an economic point thats not logical. How do you (fxcm) know the slippage before you execute the trade in your "ecn"? This cant be profitable.
The "No dealing desk" argument is useless, as long as you start adding you didnt replace the desk by any sw
The way the MT4 deviation feature works is you can set it to 5 for example and if the broker can fill the order with 5 pips or less slippage it will, otherwise the trade will not be executed. If the broker is only using Market execution then the deviation feature does not work, but with Instant execution it does. If you want to be filled no matter what with Instant execution as would happen with normal market execution, then you can simply set deviation to a super high number. 

Hopefully that answers your question, if I understood it right.  :)
« Last Edit: January 22, 2012, 06:47:38 PM by compujock »
Demo Test of Serial Scalper 2.0 manual strategy from fxquickroute:

Offline cyberryder

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AW: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #28 on: January 22, 2012, 07:23:05 PM »
Ok example: if my knowledge is right every broker can only use market execution with his lp. So the trader uses instant with 2pip slippage protection, Order goes to fxcm, fxcm routes to ecn via market exec, Order executed with 3pip slippage. Now as the trader is Not accepting this Order, fxcm is at risk. Only explanation:
1) im wrong and a broker can also use instant exec vs its lps
2) its a MM and so they themselve produce slippage and know what they can Charge both fxcm traders in advance
3) they will Charge some Kind of slippage insurance Fee on spread or commission so that even if they have an Order you will not accept, Overall Orders, they at least will have break even
« Last Edit: January 22, 2012, 07:28:02 PM by Pips2Cash »
@BeeksFX LD5
Read the broker TOS!
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Offline Jason Rogers

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Re: FXCM - New MT4 Account with direct Integration to its ECN
« Reply #29 on: January 23, 2012, 10:16:15 PM »
Jason, why is it that FXCM now enforces the FIFO rule and the NO HEDGING rule in MT4?  Up until the transition FXCM has always handled these in the backoffice.  That was the main reason I had been an FXCM customer for so long.  Now it's impossible to run a portfolio of EA's or even two EA's if they both use the same pair (eurusd for example).  Since eurusd is the most heavily traded, most liquid pair with the lowest spread, it's the pair most targeted by EA's. Those of us in the US who use multiple EA's on our accounts now have to take our money elsewhere to one of the other US brokers who deal with these rules in their backoffice.  FXDD, ATC, and ILQ still handle both rules in the backoffice.  MB Trading and IBFX handle only FIFO in the backoffice.  Our choices used to be FXCM, FXDD, ATC, and ILQ, now we have one less option thanks to FXCM.

Hi compujock,

In the previous MT4, we had the ability to run non-FIFO MT4 because of the 3rd party bridge between MT4 backoffice and FXCM's backoffice.  In doing this, every is automatically calculated twice and then a balance adjustment is made to reconcile the differences.  Naturally, having the bridge adds latency as well as account-syncs.  What we've done is integrate the two environments so that there is 1 login, 1 ticket number, 1 source of rollover, etc.  In doing this we are unable to show clients a backoffice that does not actually adhere to US regulations, but it provides a better MT4 platform that is faster, does not have account syncs, displays ticket and rollover in MT4, provides for partial fills, and has a universal login for our iPad platform and the mobile platform in the future. 

I do appreciate the feedback though about 2 EA's on the same pair possibly conflicting and will forward this feedback to the developers and management team.

Jason
« Last Edit: January 23, 2012, 10:19:47 PM by Jason Rogers »