The mediator between the buyers and sellers in the market. The broker executes the trader’s buy and sells orders and charges the spread as a commission fee. Online Forex brokers enable everyone to easily participate in the market without the necessity to act through banks.
A broker is a financial intermediary that matches counterparties to a transaction without being a party to it.
In forex, a broker is an agent or company that executes orders to buy and sell currencies for their clients.
They act as intermediaries between banks bringing buyers and sellers together for a commission paid by the initiator or by both parties.
Brokers are agents working on commission and not principals acting on their own account.
Vincent Nyagaka is a Professional Trader, Analyst & Author. He has been actively engaged in market analysis for the past 7 years. He has a monthly readership of 100,000+ traders and has taught over 1,000 students since 2014. Vincent is also an experienced instructor and public speaker. Check out Vincent’s Professional Trading Course here.