Brokers for long-term trading

Although, MM brokers technically dislike scalping, all brokers like high number of trades, as they are making money from commissions or spreads.

I want to follow a long-term strategy to trade based on weekly/monthly chart, and keep a position open for a few months. Do all broker hate this strategy? Or they can take advantage of my fund deposited in their accounts?

Are there specific brokers who like long-term trading?

Hi Etrade,

I can't speak for other brokers, but FXCM offers traders No Dealing Desk (NDD) forex execution. That means we make money off your trading volume, not your losses. While a lot of volume is best for us, a little volume is better than none . Furthermore, we don't lose money when you make money, because we offset each of your orders one-for-one with our 10+ competing liquidity providers. By contrast, a dealing desk broker could be taking the market risk on the other side of your trades which would present a conflict of interest if your trades make money.

Another factor to consider besides execution-type is the safety of your funds. In my experience, long-term traders tend to have larger trading account balances than short-term traders. That makes the safety of your funds of paramount importance. It's no secret that the brokerage industry has been in the midst of a price war for the past few years. That combined with lower trading volumes over the past couple of years have caused many brokers to struggle. In recent times, we have seen brokers that have gone bankrupt in Europe, the US and Australia.

How can you know whether the broker you choose is a safe place to keep your money? Are they profitable, or are they barely staying afloat? Unfortunately, the vast majority of forex brokers are privately-held companies, so it's hard to know the state of their finances. That's why all traders need to ask brokers the following questions regarding their financial stability.

1. What are your revenues?
2. How profitable is your firm?
3. Do you have a top-tier third-party accounting firm auditing your financials?

Thanks for the informative points, Jason. As a matter of fact, I am already a satisfied client of FXCM. Honestly, I wish to find a broker as well as FXCM. Anyway, it is nice to see that FXCM is not against long-term strategy. Another 1+ for FXCM

I have one of my accounts open with DF Markets. FCA regulated. IMO very reliable and honest broker.
Funds are protected by the FSCS up to £50,000.

This is very useful post for all forex traders I think. We need a stable broker since earning in forex is bit risky and we don't want much tension about brokers. I feel long term brokers mean scam free brokers so far operating since long time.

FXCM is very good broker. However chf turmoil trouble them a lot. But FXCM should consider accepting digital currency in future. this will enable huge customers to open account with them.

NFA-regulated brokers cannot accept digital currencies easily. Even, they will stop accepting credit card according to the NFA requirement.

Ya that's the pity Most of the Scam brokers are with digital currency. Russian and Cyprus brokers in particular

I would look for a broker who got through the swiss crisis without too many problems, doesn't make much loss per Q and is at least 5 years in the game. There are several, who fulfill the criteria.