I need a spread betting forex broker that doesn’t ripoff clients by placing opposite trades or manipulate bid-offer spreads and data to take out stop losses; in other words spread betting brokers that don’t make their profits and gains from traders losses.
First of all, what difference does it make you if your broker makes his money from your losses? What do you care? Honestly, if you want to make a forex spread trade and the only party that happens to be willing to take the other side of the trade is your spread betting provider then he is actually doing you a favour by filling the trade and providing you with the liquidity. If you make a bad trade and the broker wins, oh well, you initiated the trade!
The main point is that we (the clients) don’t really care how the spread betting providers hedge or make a profit, as long as they’re providing a good service – with a particular emphasis on speed of order execution, spread, ‘slippage’, etc.
In general big spread betting brokers want you to make money so you continue dealing with them, it is not a secret that most private traders tends to trade against the recent big move (fade). Now what happens? Normally and in most of the instances the price will continue, it is unlikely that all clients pick the exact bottom or top, in fact most of the times clients add to their losing trades, now after the price moves further most brokers will hedge (locking in) a nice profit (the difference between average clients net positions price and current price) , plus the broker’s edge (the spread), at that point the broker has no interests in you losing money infact its better for them that you stay alive, however if you are scalping dozens of times a day picking points here and there the broker may notice you and take action like dealer referral…
I trust that by this time you know that forex is a zero-sum game – you only make money by being better at it than someone else (this doesn’t apply for shares, bonds, real estate, money markets…etc). Unfortunately such basic questions reveal that you are very much an utter noob at investments and finance. Want to play Forex against big hedge funds loaded with Ph.D.’s, programmers, wildly fast connections, multiple brokers, expensive data, mathematical models, years of experience. You may beat them. You might also be able to school LeBron at some 1 on 1…