Building Automated Trading Strategies October 2018 | 页面 53

APPENDIX
(1) SELECTING BROKERS FOR AUTOMATED TRADING
The Importance of Choosing the Right Forex Broker
If you decide to implement an intraday automated trading strategy (i.e.
scalping) you should choose a very competitive Forex broker. Some Forex
brokers even forbid scalping, so be extra careful with that.
These are some basic factors determining the ideal Forex Broker for intraday
trading:
1. Tight Spreads
Tight spreads are very important to trade Forex in the short-term. When your
target profit is just 3-5 pips the difference between 0.5 and 2.0 spread is
huge.
2. Fast Execution
High execution delay can catastrophically disturb short-term trading. That is
why you should be after only No-Dealing Desk Brokers. A NDD broker is
either an ECN or a STP broker.
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