[Micheal S]

Which platforms execute orders with minimal slippage during high-volatility events like FOMC announcements or NFP reports?

And how are they doing this? Do they rely on proprietary algorithms, colocation services or certain liquidity providers to maintain high speeds?

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[Christian Harris]

ECN brokers (e.g., IC Markets, Pepperstone, and FXCM) are generally better suited for scalping due to their direct market access, tighter spreads, and faster execution speeds.

Since ECN brokers route orders to multiple liquidity providers, they offer more competitive pricing and less slippage, which is crucial for scalpers who rely on quick, small price movements.

STP brokers can also be suitable for scalping, but they might not offer the same level of speed and liquidity, as they often route orders through a smaller number of liquidity providers.

Some technologies involved (brief overview):

• Proprietary Algorithms: Many platforms implement advanced algorithms that predict and react to market movements, ensuring that orders are executed at the best available price.
• Liquidity Providers: Access to a broad range of liquidity providers (including tier-1 banks, ECNs, and hedge funds) ensures competitive pricing and lower slippage.
• Smart Order Routing (SOR): This allows platforms to intelligently route orders to the best liquidity sources, minimising slippage and optimising execution.

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[Lucas]

I would back Fusion Markets for this sort of activity. Have you also though about using a VPS to get lower latency?

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