MT4 ECN brokers are the best option for high-frequency traders. The MT4 trading platform is not the prime ECN solution but supports it, and more and more brokers are offering MT4 ECN accounts. We have scoured the market and compiled the best listing of the very best ECN brokers offering the MT4 trading platform.
Best MT4 ECN Brokers Comparison
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Regulators | CMA, CySEC, FCA, FSC Mauritius, FSCA | ASIC, CySEC, FSCA | ASIC, CySEC, FCA, SCB | ASIC, BVI, Central Bank of Ireland, FFAJ, FSCA, KNF, MiFID | ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB |
Year Established | 2011 | 2005 | 2009 | 2006 | 2010 |
Execution Type(s) | ECN/STP, Market Maker | ECN/STP | ECN/STP, Market Maker | Market Maker | No Dealing Desk, NDD |
Minimum Deposit | |||||
Average Trading Cost EUR/USD | 0.1 pips | 1.1 pips | 1.0 pips | 0.9 pips | 1.1 pips |
Average Trading Cost GBP/USD | 0.2 pips | 1.4 pips | 1.2 pips | 1.5 pips | 1.6 pips |
Average Trading Cost Gold | $0.18 | $0.21 | $0.12 | $0.29 | $0.20 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based | MetaTrader 4, MetaTrader 5, Trading View | Other, MetaTrader 4, MetaTrader 5, Web-based+ | MetaTrader 4, MetaTrader 5, cTrader, Trading View |
Islamic Account | |||||
Negative Balance Protection | N/A | ||||
| Visit Website | Visit Website | Visit Website | Visit Website | Visit Website |
FXTM
In Summary Best all-around broker with high floating leverage and fast executionFXTM, also known as ForexTime, was established in 2011 and has since evolved to become one of the world's largest forex trading platforms. With over 57 currency pairings, the broker has a broad selection of international currencies to invest in. FXTM is widely trusted and respected because of their above-board operations and carefully regulated structure. FXTM is regulated by the Financial Services Commission of Mauritius, the Cyprus Securities and Exchange Commission, the Financial Sector Conduct Authority of South Africa, and the Financial Conduct Authority of the United Kingdom.
Pros & Cons
- Excellent commission-based Forex pricing environment and transparency
- Upgraded MT4/MT5 trading platforms plus proprietary mobile trading app
- Quality market research and educational content for beginner traders
- A highly regulated broker with a tier-1 license
- No cryptocurrencies and limited choice of commodities
FP Markets
In Summary ECN trading with leverage up to 1:500Australian forex broker, FP Markets was founded over 15 years ago in 2005. The financial services provider offers a large selection of trading options that includes over 60 currencies, 10 crypto options, over 20 commodities, many CFDs and several other assets like precious metals and oil. FP Markets is accessible from over 80 countries all over the world and they are regulated and certified by the CySEC and ASIC. This multi-award-winning forex broker offers various currency options, including Euro, US Dollar, British Pound and Australian Dollar. They also offer training resources for new traders in order to increase their chances of making a success out of this new venture.
Pros & Cons
- Choice of trading platforms and auxiliary trading tools
- Very competitive cost structure and excellent asset selection
- Low minimum deposit requirement and leverage of up to 1:500
- Well-regulated and trustworthy
- Availability of Iress geographically restricted
Eightcap
In Summary Competitive pricing + excellent daily videosECN brokers usually offer lower trading fees, and Eightcap maintains a low-cost pricing environment in its commission-based Raw Spread account. Besides raw spreads of 0.0 pips on all major currency pairs, commissions are $7.00 per 1.0 standard round lot or $3.50 per side. Traders in Euro and British Pound base accounts pay €5.50 and £4.50, respectively, while swap rates on leveraged overnight positions remain equally competitive.
Eightcap also ensures deep liquidity pools sourced from various providers and uses the MT4 ECN bridge to connect the versatile MT4 trading platform, with full support for algorithmic trading, to the electronic communication network.
Pros & Cons
- Low minimum deposit and high leverage of up to 1:500
- Competitive cost structure
- Excellent technology infrastructure and seasoned management team
- Daily research and quality educational content
- Limited leverage in some areas
AvaTrade
In Summary Highly regulated, choice of fixed or floating spreadsAvaTrade is an excellent forex broker for new and experienced traders alike. While the broker is accessible in many countries and carries official regulator certificates in Australia, Israel, the United Arab Emirates, Ireland, the British Virgin Islands, and Japan, it is clear that AvaTrade is best suited for traders from South Africa and the British Virgin Islands. This especially counts for traders from these locations that require higher maximum leverage. You will have quite a large variety of trading options with over 50 currency pairs to choose from, nearly 30 commodities, many cryptocurrencies, CDFs, assets, some bonds, metals, and much more.
Pros & Cons
- High-quality educational offering via SharpTrader
- Excellent choice of trading platforms catering to various trading needs
- Broad asset selection and cross-asset diversification opportunities
- Well-regulated and trusted broker with oversight from a central bank
- Trading costs competitive but nothing special
Pepperstone
In Summary Great ECN execution on MT4 platformPepperstone is a forex broker based in Australia that deals in currencies, cryptocurrencies, assets, CDFs, and other financial instruments. The broker is regulated in seven countries, including the United Kingdom, where they are licensed by the Financial Conduct Authority, Kenya's Capital Markets Authority, Germany's Federal Financial Supervisory Authority, Dubai's Dubai Financial Services Authority, Cyprus' Cyprus Securities and Exchange Commission, the Bahamas' Securities Commission, and finally Australia, where they are licensed by the Australian Securities and Investments Commission.
Pros & Cons
- Excellent choice of trading platforms consisting of MT4/MT5, and cTrader
- Market-leading MT4/MT5 upgrade package, Autochartist, and API trading
- Social trading support via Myfxbook, MetaTrader Signals, and DupliTrade
- Leverage of up to 1:30 and superb trade execution
- Demo accounts have 30-day time limits
Top MT4 ECN Brokers
Retail traders with low trading volume can benefit from a commission-free trading account with an NDD execution model. The broker earns money from the mark-up on raw spreads, and there are no commissions. However, high-frequency traders are well advised to look for a broker with an ECN execution model. ECN stands for electronic communications network. It automatically matches buy and sell orders in the financial markets. There are no mark-ups by brokers to the live market spread, but traders pay a volume-based commission. Besides more privacy, as the entire process remains digital, there is no prospect of market manipulation by brokers. Unlike market makers, who benefit directly from the trading loss of clients where it acts as the counterparty, MT4 ECN brokers only earn from commissions. Therefore, it is in their best interest to have profitable traders, as it will increase trading volumes and revenues for brokers.
An ECN network displays the best available bid and ask prices, sourced from multiple liquidity providers globally, and then matches the best ones. It ensures that traders always transact with the lowest costs available on listed assets. Brokers charge commissions, and the best MT4 ECN brokers list fees between $4.00 and $6.00 per standard lot, irrelevant of the currency pair. Volume is all that matters, but less liquid assets will have higher minimum spreads. For example, during the crossover session of the UK and US markets, where the most liquidity is available, the EUR/USD currency pair typically trades with a spread of 0 pips. Other, less liquid currency pairs may show mark-ups above 0.5 pips. The best MT4 ECN platforms will also have a volume-based rebate program that lowers the final trading cost. Since many traders who seek MT4 ECN brokers use ultra-short-term trading strategies to avoid additional trading fees like swap rates on leveraged overnight positions, trading volumes can total more than 100 lots daily. The best MT4 ECN brokers offer rebated commissions as low as $0.80 per lot.
MT4 ECN Trading Environment
In most cases, the overall trading environment at MT4 ECN brokers is competitive. They invest in their technology infrastructure, trading tools, and liquidity providers since they rely on profitable traders. It also decreases the risk of fraud. However, there have been examples of brokers pretending to use an ECN model while doing otherwise. Some were fined for the practice but kept their licenses and remain operational. Traders should ask which ECN bridge the broker uses and monitor spreads against those offered elsewhere to ensure they have access to the best prices. Trading with the best MT4 ECN brokers will result in a more profitable trading environment.
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