According to brokers, the following banks provide forex liquidity: Bank of America, Commerce Bank, Barclays Bank, PLC – Citadel Securities LLC – Citibank N.A. – Deutsche Bank AG. So, if you ask them if they want to open an ECN brokerage service for their clients, the answer is yes, just deposit 450 million dollars and we will give you leverage less than 3. You can charge commission and hope that there is no margin/leverage overload by users in the ECN environment. So brokers require 450 million dollars per liquidity provider, and if a client deposits 0.01 lot (1000 dollars), the broker requires 20 times more money (20.000 dollars plus commissions) (multiplied by 100.000 accounts is sick margin) to process orders in an ECN environment where there is no conflict of interest with client profit or loss. Brokers claiming to be ECNs with leverage in excess of 100 have a conflict of interest against their clients in the MT4 platform and do not process client orders to liquidity providers. More than likely, 100 percent are B-book forex brokers with no money who cannot afford leverage such as 100, 500, or 1000 to bank liquidity providers.
Such a reaction indicates that I am on the right track because this idea is out of the ordinary. I started my other threads in the same way... with an idea, then EAs, and now those EAs have been running for over a year. And here you can see what comments were made at the beginning of, say, this thread. And? I'm using averaging/martingale, but with a stop loss (never hit so far, and never hit in 10 years backtests). Have an SL of 20%. All those yelling "you'll lose all your money"... But, yes, a lot of "gurus" nailed me in the beginning... where are they now? Can any of them demonstrate how they performed last year?