DislikedThough i am not using the rainbow exclusively atm for scalping (still practicing, hoping to get there some day soon), I am still trading for small targets. I am using oanda for a variety of reasons. I also have a small mbt account, and usually have it open with mbt level 2 displayed for the pair I am trading at the time.
i would like to share my experience with you, in the hope that it will help someone with their quest for which/what kind of broker to use.
I was short GJ last friday, and took several trades. What I noticed that oanda's price was consistently 1-2 pips behind mtb's price, always against my direction. There were several times when the price on level 2 would go down abt 5-8 pips, but oanda's would not move. If the price stayed there on mbt, the price on oanda would just jump down 3-5 pips in one go. It almost seemed like oanda was waiting to see if the price came back up, to where they were holding the price.
I can not say for sure that oanda does this as a rule, ie skew prices against the direction of the trader, and only move price when the market doesn't show any sign of coming back.
As scalpers, we want to be in and out as soon as we can. So, if the price traded at our tp level, we want to be out, not waiting to see if the broker(market maker), will give us that price.
This just re-enforce's LT's statement abt trading on ecn. Trading with a market maker for scalping is definitely increasing risk, and as traders we are constantly trying to minimise risk.
Hope this helps someone.
Regards,
K.Ignored
Cheers,