ECN Commodities Trading Account vs Standard Commodity Trading Account

ECN Commodities Trading Account vs Standard Commodity Trading Account

ECN Commodities Trading Account includes Paying of Commissions on top of commodity trading spreads while Standard commodities accounts only include paying of spreads without paying commissions.

ECN Commodities Trading Accounts

ECN Commodities Account stands for Electronic Communication Network, these ECN Commodities Trading Account commodity brokers are connected to the interbank network directly through an electronic communication network & the commodity orders from the ECN Commodities Account are placed straight to the electronic net-work.

The ECN Commodities Account will display different orders from different banks. Commodity trading quote placed by these ECNs network of banks are direct from to the interbank network & orders are executed directly to the inter bank markets once a trader trading with this ECN account places an order with their commodities trading broker.

These ECNs account will charge commissions + spreads for every commodity trade. For these ECN Commodities Account execution method every trade is matched to another in real-time over interbank net-work - ECN Network.

Standard Commodity Trading Accounts

Standard Commodity Account - the Standard Commodity Trading Account commodity brokers will send client orders direct to their Commodity Trading Liquidity Provider, the Commodity Trading Liquidity Provider is a large bank with deep liquidity that's required to trade on the inter-bank network.

A Standard Commodity Trading Account provided by a broker can either have one Commodity Trading Liquidity Provider or many liquidity providers.

The best thing about Standard commodity trading Accounts is that commodities traders can place their commodities trades immediately with instant execution because they have access to inter bank markets via their STP commodity broker execution.

Standard Commodity Accounts will not charge commissions, but will charge spreads on commodities trades. Because traders have access to inter-bank market execution, there is no re quotes on the commodities orders neither any commodities trading order waiting for execution, the order execution is instant.