A market maker is the first person a trader consciously encounters fxcm market. They discover an explanation for all their failures after experiencing multiple first-time loss trades and searching the Internet for a cause. It turns out that there is a huge and terrifying monster on the market that raises the price to the stop-loss level that the trader meticulously calculated and set with such a margin of safety. Regarding Forex Malaysia, FXCM will explain to you the market makers’ manipulation
If it is true that many banks and market makers manipulate the forex market, how can we identify when they do so, and does it necessitate the use of advanced tools? Well, let’s start by clearing up a few misunderstandings. First off, it is true that the forex markets are manipulated. While you don’t need any sophisticated tools or insider connections to understand how this works, most retail traders find it challenging to predict when it will happen.
Every transaction that takes place on the forex markets requires a buyer and a seller; once this happens, a trade has been completed. Every time you start a purchase trade, you are paired with someone who is eager to enter a sell position and take the other side of your trade. This typically occurs electronically in a fraction of a second. There would be no trade if this were not to occur. due to the fact that it outlines the issues that big banks face but small merchants do not.
The only other option is to buy or sell secretively without telling any other traders what is really going on. By selling into buying pressure or buying into selling pressure, this occurs. To put it another way, a market maker will act in the opposite way from what they initially intended to do to drive the price to a certain level.