What is the Difference Between STP and Market Maker Gold Trading Account?

STP XAUUSD Trading Account vs Maker Account

STP Gold Trading Accounts

STP Gold Trading Account stands for Straight Through Processing, the STP Gold Trading Account brokers will send client orders direct to their Gold Trading Liquidity Provider, the Gold Trading Liquidity Provider is a big bank with deep liquidity to trade on the interbank network.

An STP Gold Trading Account provided by an STP xauusd trading broker can either have one Gold Trading Liquidity Provider or many liquidity providers.

The best thing about STP Gold Trading Accounts is that xauusd traders can place their xauusd trades immediately with instant execution because they have access to the interbank market via their STP xauusd trading broker.

STP Gold Trading Accounts will not charge commissions, but will charge spreads on xauusd trades. Because traders have access to the interbank market execution, there is no requotes on the gold orders neither any order waiting for execution, the order execution is instant.

MM Accounts

Market Maker Gold Trading Accounts are gold broker accounts where Market Maker gold brokers have a dealing desk where they can match orders in house without going to the online xauusd market.

Gold Trading orders can also be executed against their traders - meaning the xauusd trading broker can take the opposite side of a traders open trades.

This xauusd trading broker can make the decision to either execute a gold order that is the opposite of a gold trader's order thus if the gold trader makes a loss the gold broker makes a profit, and if the gold trader makes a profit the gold broker makes a loss.