What's Difference Between ECN and STP XAUUSD Account in XAUUSD?

ECN XAUUSD Account vs STP XAUUSD Account

ECN XAUUSD Accounts

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

The ECN XAUUSD Account will display different orders from different banks. The xauusd quote placed by these ECNs net-work of banks are direct from them to the interbank network and orders are executed directly to the inter bank markets once a trader trading with this ECN account places an order with their xauusd broker.

These ECNs account will charge commissions + spreads for every xauusd trade. For these ECN XAUUSD Account execution method every trade is matched to another in real time over the interbank network - ECN Network.

STP XAUUSD Accounts

STP XAUUSD Account stands for STP, the STP XAUUSD Account xauusd brokers will send client orders direct to their XAUUSD Liquidity Provider, the XAUUSD Liquidity Provider is a large bank with deep liquidity to trade on the interbank net-work.

An STP XAUUSD Account provided by an STP xauusd broker can either have one XAUUSD Liquidity Provider or many liquidity providers.

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

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