Playing agianst your broker

[seen]

Is that y it is wiser not to set a stop loss point? So your broker doesnt know your startigy and your style? It is difficult to stay in fornt of the computer all day though!
Any thoughts?

[mattman27]

Originally Posted by seen

Is that y it is wiser not to set a stop loss point? So your broker doesnt know your startigy and your style? It is difficult to stay in fornt of the computer all day though!
Any thoughts?

why would it matter if you broker knows your strategy or not? as long as im making money i wouldnt care what my broker knows about how i trade.

[Rbreb13]

With 10's of thousands of trades going on at any given time (electronically I might add). What makes you think that a broker would single out YOU to watch?

[Darth_Trader_HSM]

The guy you bought/sold from/to has an oppostie strategy, I'm sure. It's win-win for your broker, he gets the spread from both of you. And it's handled electronically. I wouldn't worry about it. Unless, of course, you are a major player and bank millions on your plays. Then If I was your broker, I'd definitely pay attention.

[seen]

Originally Posted by Rbreb13

With 10's of thousands of trades going on at any given time (electronically I might add). What makes you think that a broker would single out YOU to watch?

No one will signal me out! it is just statistic thing.

[form4]

Originally Posted by seen

No one will signal me out! it is just statistic thing.

All that they are saying is that whatever decisions you make/don't make, are inconsequential not only to a broker, but also to the direction that a chart will go. Here's an important concept to appreciate: Your/mine/anybody here's money will not influence the direction of a chart - especially on the Forex. (A possible exception to this is a really, really, low float penny stock.) So why would a broker care what you/me/anybody here's intentions are?

Here's an example for a stock: The average daily share volume for MOBL (just a stock that comes to mind) over the last 3 months is 2,755,470. It is trading at .174. So, if you had 500 bucks that you wanted to invest in mobilepro you could buy roughly 2800 shares. Which comes out to roughly .001 of the average daily volume of shares traded. So, for example, it would take one thousand, five hundred dollar trades (buys and sells), to account for the volume of that stock for one day. (Obviously, not all trades are going to be for this same amount, but just as an example.)

Now multiply the average daily volume for MOBL by a million and you can come to appreciate the volume involved on the Forex. And thus, also appreciate why a broker won't place any weight whatsover on your/mine/anybody here's decisions.

[tnis0612]

yea if im not mistaken there is over $1.5 TRILLION a day going into the various currency pairs..so unless youre a bank...im not sure they really care what youre doing lol

[mister_doodi]

Bucketshop: " A brokerage that makes trades on a client's behalf and promises a certain price. The brokerage, however, waits until a different price arises and then makes the trade, keeping the difference as profit."


Read the elitetrader's discussion about bucket shops.

http://www.google.com/search?client=...utf-8&oe=utf-8