Dealing Desk (Dealing Desk) stock exchange trading
There are several options for organizing currency trading. One such option is a Dealing Desk, which is primarily used by new brokerage firms or when working with small transaction volumes.
A Dealing Desk is trading on the broker's internal platform, without transmitting orders to external markets.
All transactions are concluded between clients of a given broker or directly with the participation of the company that organized the trade.
This is the simplest way to organize trading. If trading takes place on a Dealing Desk, trades are not transmitted to the external market but are instead matched on the internal platform. The dealing center , purchasing orders that are not matched by traders.
The fact that the broker is simultaneously the other party to the transaction and controls its terms is the basis for various fraudulent schemes. The company is not interested in the trader's profit and tries in every way to prevent the transaction from being completed profitably. This doesn't always happen, but only when trading large volumes, more than 10 lots. The liquidity of the currency pair you choose is equally important; for less liquid instruments, the broker is more often forced to act as the other party to the transaction.
It's also worth noting that in the Forex market, you'll almost never find pure non-dealing desk brokers who trade exclusively on external exchanges. Account types are generally classified according to the following principle:
Dealing Desk accounts include all cent accounts and some standard accounts, which allow trading with a minimum lot size of 0.01.
Non-Dealing Desk accounts are designed for large clients and large trading volumes; the minimum deposit is typically at least $100. ECN accounts are the best option - https://time-forex.com/vsebrokery/ecn-brokery
Therefore, when choosing a broker, pay attention to the account type you open, as even with the largest and most well-known company, you could easily end up with a Dealing Desk account.
