High-frequency trading (HFT) is not allowed at FXRK due to the negative effects it has on the market and the experience of our traders.
Below are the reasons for this policy:
Market distortion: HFT executes large volumes of trades within fractions of a second, which can artificially manipulate prices and generate misleading signals for traders who operate in a more traditional manner.
Increased volatility: The high number of trades from HFT can cause sharp price movements, increasing market volatility and adding uncertainty for investors with long-term strategies.
Unfair advantages: High-frequency traders use advanced technology that gives them an edge over other participants, creating an uneven playing field.
Resource diversion: HFT tends to focus on short-term inefficiencies that do not generate fundamental value, diverting resources from activities that promote long-term economic growth.
At FXRK, we promote a fair, transparent, and stable trading environment.
By restricting HFT, we protect our users from the risks associated with these practices, fostering a more equitable and sustainable market.