Some old style brokers are still market makers themselves (and some are an hybrid doing both) therefore price is formed within their own infrastructure (their customers trade one against the other or even one against the broker taking the opposite position) and only the imbalance between buy and sell sides gets out to the liquidity providers.
There are a number of large backbones (featured by big names I won't mention because I don't like advertising) connecting the top tier banks. Prices get either decided in there or delegated to more local liquidity providers who are the wholesale liquidity "storage" Forex brokers go and take from / send orders to these liquidity providers who also act as market makers for the various brokers connected to them and therefore price forms on their servers. Brokers get a price stream and an history price stream from them and can show it on their charts.
Forex, unlike stock exchanges is a distributed system. There's no "central location" where prices get posted or securities get traded. The architecture is extremely complex and fast, I am going to write down a really simplified version of it.
source : quora, yahoo
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