ECN Technology
How to Calculate ECN Commission
The commission rate depends on the account equity and the monthly trading volume. The commission rate can therefore decrease or increase from month to month depending on the traded volume in USD terms for previous period and also the account balance ...
Minimum Deposit and Maximum Balance
The minimum required deposit and maximum balance can be found in the TRADING > Trading Accounts section on the company's website.
Transaction Size in ECN accounts
The minimum transaction size in ECN accounts is 0.01 lot (1000 units of the base currency) with incremental lot of 0.01. If you do not see the exact volume you'd like to trade in drop-down list in the New Order window, type the volume in the Volume ...
Leverage in ECN accounts
Leverage available for clients of Forex.ee for ECN accounts: 1:1 - 1:500 for accounts up to $25,000; 1:1 - 1:200 for accounts from $25,000 up to $100,000; 1:1 - 1:100 for accounts from $100,000 up to $1,000,000; negotiable over $1,000,000. To change ...
Margin Trigger
The ECN Broker transmits the clients Limit Orders to the Marketplace. Once a Limit Order is placed in the Marketplace the Client must put up the margin for the position. However, at the moment when the Limit Order price is triggered and the margin is ...
Margin Call and Stop Out
In ECN accounts, the Margin Call is triggered when the Margin Level (Equity to Margin ratio) is less than 100% (i. e. the equity of your trading account is equal to the margin used to open the positions). A position is stopped out (closed by broker ...
Reserving Margin for Pending orders
Before we move on to in-depth explanation of Margin calculation in ECN accounts, let us highlight the key peculiarities of this account type. This will help traders avoid mistakes in free Margin calculation when trading in ECN accounts. ECN accounts ...
Scalping, Hedging, Phone Dealing
ECN accounts allow scalping without limitations. Your trades may stay open for several seconds only and you can place Stop Loss, Take Profit and Stop and Limit Orders within the spread (1 or 2 pips away from the current market price). Hedging in ECN ...
Islamic accounts and Swaps
Forex.ee offers SWAP-free Islamic accounts which are compliant with Sharia laws for Muslim traders. If you are not sure if your account is Islamic or not, please contact Forex.ee Customer Support, give your account number and ask to make your account ...
Slippage control (cancelled by dealer)
Order execution in ECN accounts is designed in a way that provides super-fast execution as well as excludes any dealer intervention in the process. However, these significant advantages might possibly cause adverse high slippage in rapid-moving ...
CFD - Calculation of dividends when trading Stocks and ETFs CFDs
Deduction and accrual of dividends when trading Stocks CFDs and ETF CFDs A Contract for Difference (CFD) is a derivative instrument, underlying assets (stocks, indices) of which are traded on stock exchanges. When trading CFDs on a company's shares, ...
CFD - Commission
CFD trading has commission to open and to close a trade and the commission is deducted from Account Balance at the moment of opening the position. The commission for trades on commodities (XBRUSD, XTIUSD, XNGUSD) is calculated using the following ...
CFD - Contracts specifications
See Contract specifications.
CFD - Pip value
The pip value for CFDs is calculated using the following formula: where: K — Profit Currency (second currency in the symbol) to Deposit Currency conversion rate. Volume — volume of position in lots. Lot Size — number of ounces, barrels or commodity ...
CFD - Contract For Difference
Contract For Difference is an agreement (guarantee liability) between two parties on the payment of the difference between asset's current value and its value at the end of the agreement period. In fact, the parties conclude an asset buy/sell ...