How Forex MetaTrader Dealing is done? How to get into the doorstep?

Hi there,

you know I was wondering how forex dealers work at companies like Oanda or Alpari where they provide MetaTrader platform. I have seen the MetaTrader Manager platform on a video, where two dealers were sit and they continously got windows pop upped like "reject, accept order" and stuff like that.

What I would like to know, as from your experience or knowledge, a Forex Dealer position excatly consists of doing what, and what is the proper way (if there is any) to learn forex dealing for a company which offer MetaTrader as a platform?

Thank you very much guys!

well i know dealers who simply sit there and accept and reject orders. they also activate pending orders that are hit.

other companies with bigger volume have everything automated so their dealers simply sit there and watch for any suspicious behavior if a client is scalping and they dont allow it for example. those dealers will most likely be answering calls from clients looking to trade.

market makers usually have their dealers focus on risk management which is how to offset the clients positions. basically you are long 10 lots of euro and i believe the euro is very weak so if i was there id decide to go long 2-3 lots right when i see those 10 lots go in. if price drops a few more pips or maybe 10-15 pips ill go long another lot or two and then ill add more if price drops further. im locking in ur losses. if the market ends up moving higher, chances are it has to go up alot for you to make more profits than me because of my better prices and me ending up buying nearly 70-80% of your total lots.

if prices move up right away ill have to take the loss but its not so bad since i already bought some when u went it

this is just an example of how market makers work. its normal. nothing hidden.

in other words, a forex dealers job ranges from phone calls to watching the order book and the behavior of clients as well as the markets to risk management and offsetting clients trades to lessen the risk of the company.

with most traders losing money market makers end up with profits but risk management guarantees that in case large gambling sort of traders or pros make money, the company doesnt end up getting fucked.

i hope this helps. it seems ur looking for a job in the biz. degree should help and personal experience is a big plus from my own experience.

if you need to know anything else let me know

I believe Stockwalker may want to know

1. If there is any bridges or filters or sub_functions or subsystem or API on MT4 dealerside servers(software) which dealers can use to make trouble or limit trade or delay order execution, etc... for blocking or cheating traders.

2. MT4 Client side software may be the same or similar. But, the dealer side software may be flexible for dealer to plug and play their own software stuffs. Does Metaquote software seal all holes or tools that dealers can kill traders, fake traders. Is dealerside software are standardized for all dealers?

3. USA CFTC should conduct an audit on dealerside software of MT4 to make sure MT4 is a fair trading platform for both traders and dealers. CFTC should report any problem of dealerside software of MT4.

hey mate,

maybe i dont get your points, actually i dont understand exactly how retail brokers manage their positions but i understand market-making on interbank level and i suppose it should be the same....

could you pls elaborate about that stuff when some client buy 10 lots and i think market is really weak i will buy 2-3 lots....

because that means you would be still short 7 lots....because when you quote both sides you have to be ready to take opposite side of your client's position whatever it is, you may only move the whole spread to the left or right according to your bias (this is not important with eurusd or so because of very low spread, but its quite used in emerging fx)
your advantage is that you are selling at offer and buying at bid, so if you have enough customers you will just offset all risks and in the long-run you should end with positive equity from spread income...

so you quote, he buys 10 lots ---> you are short 10 lots, so if you think market is very weak and you have bullish bias you should immediatelly close ur position by either placing ITM bids and trying to be given in order to earn spread if spot didnt move ,or you will just buy 10 lots on the offer(and earn nothing if spot didnt move)

The first step to understand how MetaTrader dealing works is to read the Metatrader Server manual.

You can download the manual here:

http://www.forexfactory.com/showthread.php?p=5325625

Download the MetaTraderAdmin.zip file

Thank you guys! Much appreciated!