Brokers and banks:who depends on the other

I am not fully aware about the interrelation between banker and forex. Can anyone help me about this.

Yes,bank can open accounts with brokers to trade forex or they can do that on their own and they are dependable on each other.

I guess broker is more dependent to the bank than the bank to the broker site. First and foremost you need bank to have an exchange of money. If you are a broker site how will you going to transfer money to the investors and the investors the the broker site? You need bank right? That's why its very important that theirs a bank. A bank can trade in forex but a broker site can't act as a bank. So in short bank has more function than a broker site. Even a big financial institution need a bank to function.

when asked which requires more between banks and brokers, then the answer is jelals that desperately need a bank broker. Party broker requires the bank to be able to resolve regulatory issues and all the things that had to do with the government.

sure banks will be the generator for forex price. bank transactions always be the leader for bigboss, bigplayers and brokers to take any positions. once banks take position, price could to move in large movement. and to know when the bank enter the market i use a paramater of size candle. if the size candle more then 30 in h1. i believe banks was in the market! :)

yaa The national banks are the ones who does the real trading and we are just speculating on the price fixed by these banks, based on demand and supply, to make profits.

Quote:

---

Originally Posted by hima

Hi forum members we all know banks are also into Forex . Now my question is does bank open account with brokers to trade Forex or they can do that on their own or does brokers depend on banks and do brokers also trade. Please give answers you're sure about. Thanks

---

most broker brokers are banks and the big banks are brokers, that is the way it works

banks benefit more from forex brokers , because the brokers represent an adequate way for supplying them with a rolling flow of funds not only every day but every hour in the day.
in the same time brokers benefit from the banks through having more consultancy opportunities and higher abilities to go on safer mutual fund investments.

Bank are most % trade of the world. Broker is also doing it. But they are always depend on each other. I think they have huge invest and huge money they are always gain from Forex Market. If you have hug capital then you never lose from this market. Gain % must always 99.99% what you think.

Banks plays the main role here. They provide the instant rates to the broker and broker collect individual traders and make the environment to trade with the bank. Broker takes his commission as a link builder between banks and traders. its the bank and traders who either win or lose money