In this article we will check which are the best Forex ECN brokers. ECN Broker (Electronic Communication Network) simply means a specific account type (ECN) that online brokers offer. It's a great technology that comes with a very low commercial cost to operate in the real market.

This technology is perfect for those traders who want to get more involved during market hours. It can also help people who need a little more diversity as it brings lower commission rates and tighter spreads.

ECN brokers allow you to compete with a large pool of financial institutions in the market. Due to the technological advancements that Forex ECN brokers bring to the table, more and more people are starting to use this system. This article contains the best Forex ECN brokers.

Best Forex ECN Brokers

  • AvaTrade — Best Overall Forex Broker, Most Reliable — Best for Research
  • Exness — Best customer service, great platform
  • Roboforex  one of the fastest ECN brokers on the market
  • Tickmill — Regulated platform, offers the main cryptocurrency pairs.
  • IC Markets — Best web platform, most currency pairs
  • FBS — Great for professionals and institutions
  • XM broker — One of the best on the market.
$ 100.000
Free Demo
*Your capital may be at risk
Investing in Forex, CFD and FX options involves substantial risk of loss and is not suitable for all investors.
  • Large selection of trading instruments
  • Multiple Regulations
  • Various International Awards
$ 10
No Deposit Bonus
*Your capital may be at risk
Investing in Forex, CFD and FX options involves substantial risk of loss and is not suitable for all investors.
  • Regulation Broker With Good Reputation
  • Copy Trading
  • Allowed Hedging in Trading
$ 140
of Bonus
*Your capital may be at risk
Investing in Forex, CFD and FX options involves substantial risk of loss and is not suitable for all investors.
  • tight margins
  • Excellent market analysis
  • Lots of educational material
$30 Bonus
Free account
*Your capital may be at risk
Investing in Forex, CFD and FX options involves substantial risk of loss and is not suitable for all investors.
  • Many Educational Materials
  • Demo Account with $100.000
  • Welcome Bonus
Up to 120%
of Bonus
*Your capital may be at risk
Investing in Forex, CFD and FX options involves substantial risk of loss and is not suitable for all investors.
  • Segregated client funds
  • Negative balance protection
  • Member of the Financial Committee

What is an ECN Forex Broker

What is an ECN Forex Broker?

ECN provides the investor with direct access to other participants in the currency and equity markets, working as a financial intermediary. An ECN broker usually offers traders tighter spreads (ask or bid) because it consolidates price quotes from multiple market participants.

Also, it cannot trade against users as it only combines different trades available between participants of another market.

The spreads available on ECN accounts are narrower compared to conventional brokers. But keep in mind that you will be charged a fixed commission on each transaction while working with ECN brokers.

How do ECN brokers work?

In order to execute trades, the ECN comes with an electronic communication system for both sellers and buyers. It achieves this by providing the necessary information about the orders that are taking place and managing their execution.

The system is created to combine sell and buy orders that are currently present in the trade. In addition, if information relating to a specific order is not available, the ECN system offers prices that reflect the lowest request and highest bid on the open market.

Using Forex ECN brokers allows you to trade even outside of traditional market trading hours.

Best ECN Forex Brokers

 

Pros of Using a Forex ECN Broker

There are several benefits to using an ECN broker, and feed price transparency is one of those benefits. All ECN brokers have the same feed, and you can trade using the precise price provided.

You can also access a limited amount of price history to easily analyze specific market trends. Not only does it make it difficult to act unethically, but it also mitigates price manipulation.

Furthermore, no user can have any built-in advantage over other users because of the equitable provision of information.

👍

Here are some of the pros of using an ECN broker:

  • — No requotes
  • - Low cost
  • — Deep pool, which means high liquidity
  • — Raw Spreads (spreads almost non-existent and stable)
  • — No conflict of interest
  • — No slippage
👎

ECN broker cons

One of the biggest downsides to using an ECN broker is that they charge fees in general trading compared to non-ECN systems. As mentioned, you will need to pay a commission on each negociação this can be expensive, which can also affect your profitability and bottom line.

Best Forex ECN Brokers: ECN Account vs Standard Account: What to Choose?

One of the biggest differences between the two accounts is that the standard account usually has a fixed spread. In any position, the broker on the standard account plays the role of counterparty most of the time.

On the other hand, an ECN account provides liquidity through a network. In simple words, it means that offers and bids available for you to trade differ as the spread between the bid or the asking price is usually tighter. Some of the most important differences between an ECN account and the standard account are as follows:

ECN account vs standard account

ECN account Standard Account
Orders on the ECN account are executed with direct access to liquidity providers. The order on the standard account is executed internally within the brokerage's customer pool.
You need to pay a fixed commission fee per trade There is only spread and no commission
Comes with brokers who don't trade May have dealing desk brokers
Does not place any premium on the gross spread Charge an artificially distributed premium to make a profit from the execution
  • Rates

The first thing you need to determine is the amount of money you are willing to spend. That's because you need to find a broker that is not only reliable, but also justifies the cost.

Remember the days of the wild west of forex trading. Over time, it has become transparent and sophisticated, and now you can choose the type of brokerage and account that suits you best. This is where this article which contains the best ECN brokers that offer value for your money comes into play.

Forex account comparison

Property ECN Standard STP
Fees Low Alto Video
enforcement discipline Automatic order execution with direct access to liquidity providers without requoting Execution of an internal order within the broker's client pool Automatic order execution without new quote
best fit for Experienced and Expert Traders Beginners Traders on a tight budget

Best Forex ECN Brokers

It can easily take you days to search for the right ECN Forex broker that fits exactly the way you want. This is where we separate brokers with great ECN conditions. After a detailed research carried out by our team.

The ECN brokers mentioned below are regulated by international regulations and trusted authorities.

 

ECN XM account

XM is a well-regarded and regulated ECN Forex broker that offers a transparent and customer-friendly trading environment. It offers ECN accounts that require less than the industry average minimum deposit.

Furthermore, the platform also comes with the availability of a demo account that you can use to test all the features it has to offer.

View a summary of the XM Group

Quick registration

This broker has high execution speed and low spreads due to its better execution policy and relationships with multiple liquidity providers.

90%
PUNCTUATION
ABSTRACT

Highlights of this particular XM brokerage service include automated trading, no hidden fees or commissions, and fast order execution, with 99,45% occurring in less than 1 second.

The XM Group (XM) is a group of regulated online brokers. The Trading Point of Financial Instruments was established in 2009 and is regulated by Cyprus Securities and Exchange Commission (CySec 120/10).

Trading Point of Financial Instruments Pty Ltd was established in 2015 and is regulated by the Australian Securities and Investments Commission (ASIC 443670).

XM Global was established in 2017 and is regulated by the International Financial Services Commission (000261/106).

The platform has more than 1,5 million customers with traders in 196 countries. The company prides itself on things like excellent customer service and a personalized approach to each client, regardless of their investment objectives.

POSITIVE
  • Educational Materials
  • Demonstration Account with $100.000
  • Bonus
  • Multiple Platforms
  • Copy Trading
  • Regulated Broker
  • Awarded Broker
  • Allowed Hedging
NEGATIVE
  • Does not accept USA Customers
  • Unfixed Spread

IC Markets ECN Account

IC Markets is one of the leading ECN brokers that offers multiple options to suit your trading style. You can also choose to have Islamic accounts on this broker, and it supports ten account base currencies.

IC Markets offers a competitive trading environment, transparency and security features. Furthermore, tools for technical analysis and impressive customer support also take this broker's trading experience to another level.

View a summary of IC Markets

Quick registration

IC Markets is the world's largest true ECN trading broker, offering over 285 trading instruments across multiple markets.

91%
PUNCTUATION
ABSTRACT

We have included IC Markets in our list of best online brokers as they are an established and regulated broker with first class trading conditions. They operate using the electronic communication network (ECN) brokerage model with more than 50 liquidity providers (LPs).

This means they are able to provide traders with tight spreads and fast trade execution speeds at the best prices available.

The broker offers a choice of popular MetaTrader 4, MetaTrader 5 and cTrader platforms. Trading on the move is possible through mobile trading apps.

Traders can choose from over 230 instruments across multiple asset classes including Forex, Commodities, Cryptocurrency, Equities, Equities, Indices, Metals, Energies, Bonds and CFDs.

Best online brokers: IC Markets

In addition to an innovative trading environment, IC Markets has a selection of account types for various customer needs, a generous choice of account deposit and withdrawal methods, trading tools, educational materials and 24-hour multilingual support, 5 days a week via phone, chat and email.

POSITIVE
  • More than 230 trading instruments including Forex, stocks and CFDs
  • Narrow spreads, low commission rates and fast ECN execution speeds
  • Choice of popular and easy-to-use trading platforms
  • regulated brokerage
  • Educational materials and trading tools to help traders
NEGATIVE
  • No fixed spread accounts
  • $ 200 minimum deposit
  • Does not accept US customers

Top ECN Brokers for Beginners

As mentioned, choosing the right Forex ECN broker is not an easy task and it becomes even more difficult when it comes to choosing the best platform for beginners. To make the whole process easier, we have selected 2 of the best ECN brokers that will help you start your trading journey in the best possible way, especially if you are a beginner.

Exness

Quick registration

Instant Deposits and Withdrawals Deposits and withdrawals of customer funds are processed immediately by Exness.

90%
PUNCTUATION

Exness was founded in 2008 and is regulated by various authorities. The platform continues to expand its services and currently has over 72.000 active users worldwide.

Furthermore, the company's monthly turnover is well over 325 billion US dollars. To ensure transparency, Exness also publishes its financial reports regularly, and all reports are reviewed by world-renowned accounting firms.

Exness is suitable for all types of traders, especially beginners, due to its easy-to-understand operating mechanism. In addition, it also offers numerous tools to carry out market analysis and research.

RoboForex

Quick registration

RoboForex is an award-winning online broker offering over 9.400 trading instruments across multiple asset classes.

82%
PUNCTUATION

RoboForex is one of the best options when it comes to choosing an ECN broker for beginners. It is recognized by the most renowned critics and experts in the international financial market.

The company opened in 2009, which means it has a long history of regulated operation. The reason it is the best choice for traders is its free research tools and unique trading signals.

Using the RoboForex platform, beginners can enjoy powerful trading features by performing detailed market research. It is currently serving over 800.000 users worldwide and is available in 170 countries.

Summary rises best Forex ECN brokers

Here it is. In this post, we explain how ECN (Electronic Communication Network) works and how you can use it. If you want to trade currencies or any other instrument, Forex ECN broker can undoubtedly serve you well.

In addition, the article also contains the best Forex ECN brokers, and you can choose any of them based on your unique needs and trading goals.

Not only will the ECN broker allow you to trade on the best possible conditions from liquidity providers, but it will also help you to trade transparently.

When working with an ECN broker, you will not have to face any interest conflicts because you will only have to pay a fixed amount of fee on each trade. You can also get the best liquidity if you are a trader or scalper and want to trade high volume.

Forex ECN Brokers FAQ

What is an ECN Broker?
An ECN broker comes with a no-trade desk execution model that is compatible with selling and buying customer orders for order execution. This is supported by a bank or brokerage as a liquidity provider.
What is an ECN account?
An ECN account offers a true order matching system where the broker charges a fee on every trade. It differs from conventional trading where raw spreads are artificially inflated.
How to choose the best ECN broker?
There are several factors you need to consider when choosing the best ECN broker, and some of the most important ones are: • Regulation and Location • Fund security • Security protocol • Fees • Your trading styles
How does an ECN broker make money?
Typically, ECN brokers make their money by charging you a fixed amount of commission fee per trade, rather than cutting spreads that occur in the market maker model.
error: