Earn Money With Top10 Forex Brokers In The World
Welcome to ForexNewsNow's comprehensive foreign exchange broker guide.
The broker guide below concisely lays out the essential features of some of the most well-established online forex brokers. The guide covers what we consider to be the most important aspects of a broker's trading services including how long the broker has been in operation, the spreads the broker offers on the majors, what trading platforms the broker offers and more. Please share the guide if you've found it useful!
The forex market is the world's biggest financial market. It is open 24-hours a day, 7 days a week, and offers and exciting chance for many traders to get started trading financial instruments. Every year brings more and more participants to the already crowded forex broker ranks. For the new trader, choosing the right broker can be a daunting process. If you're having trouble deciding, here are a few things you should look at to find the best forex broker for you.Spreads
One of the most important things to look at with any online forex broker is the spreads that they offer on the currencies that you plan on trading. Spreads on major currency pairs, like the EUR/USD or the USD/JPY should generally never be above three pips.
One thing to watch out for when you read forex broker reviews is if the spreads are fixed or if they vary throughout the day. Some brokers will have very low spreads only to increase them around news and other volatile events. Coincidentally, these are some of the most profitable times to trade depending on your system and the increased spreads can take a significant amount of your profit!Regulation
Every online forex broker needs to be regulated by a financial regulatory body. These will differ depending on the country that the broker is based in. The NFA in the USA and the FSA in the UK are the two best known regulatory agencies. Regulations make sure that you money is safe, the broker is liquid, and your deposit is not in danger of being lost.
US residents need to pay close attention to this because many brokers don't accept US customers because they aren't regulated by and don't follow many of the rules the NFA has set forth.Leverage and Margin Requirements
Every broker will also have different leverage and margin requirements. Depending on your online forex broker, you can trade with anything from 2:1 to 400:1 leverage.
Trading with higher leverage will increase your profits, but it also greatly increases the risk that you have of losing money. If the market turns against you and you don't have enough money in your account, you can also end up stopped out of a trade very quickly due to losses if you trade with too much leverage. Always make sure that you broker allows you to trade with an amount of leverage that you are comfortable with.Platform
The platform of any forex broker is also incredibly important. The platform should be clean and easy to use, but it should also put all the information that you need right at your fingertips. For most traders, this means access to charting tools and news and other information, as well as the ability to trade right from the chart. Some brokers may also need to find platforms that let them write complicated automated trading programs, or just run other people's complicated trading programs.
The platform can really make or break your profitability, so make sure that you find one that works for you.Slippage
Slippage is an incredibly important thing to watch out for in any forex broker. In forex, slippage is when a limit order or stop loss is executed at a worse rate than originally set in the order and often results in decreased trading profits.
While some slippage is to be expected during periods of market volatility, some unsavory brokers will use it as an excuse to make extra profit off of their traders. Always read forex broker reviews to see if there is a suspect amount of slippage.Deposit and Withdrawal
Deposits and withdrawals with any forex brokers should be quick and be offered through a wide variety of payment methods to ensure an easy deposit and withdrawal process. Pay attention to what payment methods the broker offers and how long the withdrawal period is for each. You may also want to inquire about any potential fees that are charged for each payment method.Customer Support
With the forex market, you can trade at any time of the day or night. So if you run into problems when you're trading in the wee hours of the morning you want to be sure that someone will be there to help you. Customer service at the forex broker you choose should be available at all times and also reachable by a variety of methods. Nearly all forex brokers have representatives available via phone, live chat, and email.Bonuses
Finally, bonuses are a nice little side benefit for signing up for a new forex site. Before you deposit though, always read the terms and conditions of the bonus. In most cases, you won't be able to withdrawal the bonus, and in some cases even your initial deposit, until certain trading requirements are met.