Scanning through the new ‘apps’ being launched alongside with the Tradable platform is Dealer-Insight, a real time news analysis and market commentary company. Leveraging contacts from traders and bank dealers, Dealer-Insight aims to provide the retail market inside information on what the bigger players are doing. A newly launched firm, Dealer-Insight was founded by Maurice Pomery, who also currently leads London based market’s analysis firm Strategic Alpha. Working with institutional side participants for twenty years, Pomery told Forex Magnates that “there is a massive hole in the retail side of the market for information.” He explained that “Three things move prices in the market; fear, greed, and data. Retail traders have access to data but information that the retail side doesn’t have is what traders are buying, where are the stop losses, and expectations.”
Dealer-Insight focuses on the European session of FX trading, and has imminent plans of providing coverage until 22:00 GMT, with a long term goal of adding Asian analysts and going 24 hours. The stream of headlines and comments is dominated by FX, but is peppered with cross asset updates. On this, Pomery explained “FX is the predominant asset we cover, but we also cover the yields markets, commodities and equities as they have similar risk tolerances to FX.” In addition to updates from traders and dealers, Dealer-Insight also provides updates buying/selling being done by central banks. Currently, Dealer-Insight is available for £80/month through a subscription on their website, and will soon be available through the Tradable platform when it is expected to officially go live with brokers in February. Pomery explained that Dealer-Insight is also planning on launching the product with additional trading platform providers and brokers.
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Having played with the product for a week, my first thoughts are whether it’s worth £80/month? Much of that answer depends on the type of trader using it. In terms of quality, where I found the most use of the analysis was in connection to big moves. Specifically, after the large recent moves in the USDJPY & EURCHF, Dealer-Insight provided ongoing updates of whether traders were continuing to ride the momentum or cashing out. Included in the updates is a color guide of green, yellow, red, that indicates how ‘hot’ the update is. A few areas that I though could be improved would be the ability to search and charts. Pomery explained that these functions are in the pipeline to be released as the product develops.
Overall, I like the product. When I traded equities, I was a big user of Briefing.com. It provided a similar InPlay service with real time updates of news and moves for the US equity market. Therefore, with that bias, I have been curious to see a similar premium version be created for FX. Having used Briefing, the experience is that one you get started with receiving quality updates, you feel lacking without them. Therefore, I have the feeling that the same would occur with a product like Dealer-Insight.
As mentioned above though, the big question is on price. Back in November we wrote about MetaStock XENITH, a new Retail focused offering. While they are different offerings, they both fit the mold of relatively pricey products that will appeal to larger sized traders looking for an edge. With the FX market maturing and the asset class appealing to more sophisticated traders, it can be imagined that this group will become a greater percentage of overall retail customers. Answering to the question of whether Dealer-Insight is priced above the demand of retail clients, Pomery stated “Dealer-Insight comes out to £4/day. Traders are encouraged to take the free week trial and see for themselves how it helps become more profitable.”