What's Difference Between ECN and DD Crude Oil Trading Account in Oil Trading?

ECN Crude Account Oil Trading vs DD Crude Account Oil Trading

ECN Crude Oil Trading Accounts

ECN Crude Oil Account stands for Electronic Communication Network, these ECN Crude Oil Trading Account oil brokers are connected to the inter-bank network directly through an electronic communication network & oil orders from the ECN Crude Oil Trading Account are placed straight to the electronic network.

The ECN Crude Oil Account will display different orders from different banks. The oil trading quote placed by these ECNs net-work of banks are direct from them to the interbank net-work and orders are executed directly to the interbank market once a trader trading with this ECN account places an order with their crude oil broker.

These ECNs trading account will charge commissions + spreads for every oil trade. For these ECN Crude Oil Account execution technique every trade is matched to another in real time over the inter-bank network - ECN Network.

DD Crude Oil Trading Accounts

DD stands for dealing desk, these DD account oil brokers have a dealing-desk where they can match orders and execute oil trading order in the online oil market.

The oil trader trading with a DD account will get a lot of re-quotes.

Dealing Desks will issue oil traders with a lot of order re quotes, meaning oil prices of orders aren't real-time & crude oil broker can requote a oil trader's order if the crude oil price of the crude oil market changes quickly enough before the broker's dealing desk places the order online or before they match the order in the online oil market.

Dealing Desk accounts therefore means that order execution of oil orders is not instant & therefore this execution model may mean that trading orders executed using a DD Crude Oil Account aren't executed as quickly as when compared to an ECN account or an STP account.