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  1. #1
    Join Date
    Mar 2015
    Posts
    151

    5 Critical Features for Any Forex Broker

    When trading the Forex market, there are certain features that you will want to be aware of when it comes to your broker. Below is a short list of some of the most important criteria when choosing a Forex broker:

    Regulation
    While this seems like a no-brainer, many new traders do not know about the various regulatory bodies that are out there. If you are using a Forex broker, it needs to be regulated. Also, you should be aware of where it is regulated. This is one of the things most people overlook. As a general rule, you will want to see a country that is known for being business-friendly (at least in terms of the rule of law) as being the country of registration.

    One of the most popular places to regulate is Cyprus. This is because the Cypriot authority is a little more lax on its Forex trading laws. By regulating there, you can claim that you are “regulated in an EU country”, which is technically true. But having said that, you could claim to be “regulated in North America” by being registered in Mexico. This implies the same stringent protections you get in the US or Canada. Common sense sees the folly in that argument.

    Charting
    Believe it or not, not all Forex brokers offer charting. This is becoming less and less of a problem, but there are some that don’t. They generally will offer an ECN, or Electronic Communication Network, and sell an add-on for charting such as NinjaTrader. Provision of proper charting is a sign of a broker's integrity - failure to provide this is a sign that they may be less-than-honest.

    Pairs
    Not all brokers offer the same currency pairs. Some will offer over 100, while others will only offer the 20 most common pairs as an example. One of the pairs that surprises people the most in this regard is CAD/JPY. Since the Canadian dollar and Japanese yen are both major currencies, most traders assume that the cross pair would be offered. All brokers are going to be different, and a diligent review of available trading pairs is essential. The last thing you want to do is turn around and close out an account right away because of an errant mistake.

    Leverage
    Depending on what part of the world you live in, leverage can vary. Leverage gives you the ability to trade large amounts of currency with a small deposit. Some broker out there now offer as much as 700-1 leverage, and depending on your trading style, leverage can be good or bad.

    By 700-1, this means that you can control $700 for every $1 you deposit. Because of this, it can supercharge your returns, as well as losses. Leverage is something that should be used sparingly.

    It should also be noted that the United States regulatory authorities recently cut the amount of leverage that Americans can use down to 50-1 for major pairs, and 20-1 for crosses.

    Analysis
    When you are learning to trade, it is always helpful to have a technical analyst available to read. Some brokers are very generous with their offerings when it comes to this kind of thing, and many are now employing professional technical analysts that post newsletters every day. This can be very helpful for the new trader.

    When you are looking to do business with a broker, don’t forget that they are there to serve the customer, and it pays to shop around – just like any other purchase. Forex brokers tend to be very competitive on various features and with a little bit of research you can get a lot more than you realize.

  2. #2
    Join Date
    Jun 2013
    Posts
    1,687
    Any broker that is capable of taking care of the data base of her traders as well as provide a very good service for them is one that can be deemed a good broker. It is a matter of also being able to get that clean sheet and not having anything to do with some of those scammy things certain brokers do behind bars which dent their image.

  3. #3
    Join Date
    Jan 2015
    Posts
    324
    Don't think so.

    Regulation means nothing unless you are the citizen of the country where the brokerage resides. I once had a dispute with an American brokerage. According to CFTC, I have to file a formal complain through an American lawyer, whom, in turn, must be contacted by a lawyer from my own country. Besides submitting proofs, I also have to attend any hearing and court session until the verdict. Can you guess how much money I must spend? Way over the sum disputed. So, regulated brokerage didn't mean a thing in such a case.

    Pair is the most ridiculous reason to be considered anything important. After all, even if your broker only provide 25 pairs, do you really think you will trade them all? You will need a supercomputer to do that -- and that's really outrageous since, if you can afford a supercomputer, you would trade in the Interbank Market and don't have to worry about the rest of what you called "critical features." Try to activate all the forex pairs your broker offer you if you don't believe me. And don't be surprise if you find your trading platform suddenly lagging very badly.

    It is true that using higher leverage, such as 1:1000, you can trade by a mere $10 to begin with. But, how long do you think you will trade a mere $10? When you have an equity of over $10,000, believe me, 1:200 in leverage is already an overkill.

    Say your broker bombardier you with analysis every minute or so. Do you need that? If you do, then you're not a trader. You just a make-believe trader. A trader don't trust anyone else analysis but his/her own.

  4. #4
    Join Date
    Aug 2017
    Posts
    1,181
    The broker is an important element of Forex. A broker can be the way of making a profit or facing loss. So it is very important to choose the broker wisely. Low spreads, dynamic leverage, ease of trades are some features of a good broker. I am also a trader. I always use Forex4you. Because they provide me low spreads start from 0.1 pips and maximum leverage of 1:1000. They are also very cooperative.

  5. #5
    Join Date
    Apr 2017
    Posts
    563
    Choosing a broker is a tough task. There are some good brokers and some bad brokers in the forex market. It is very important to choose a good broker for trading in forex market. Good broker can be identified by some of their basic features such as, their leverage system, spread system, customer service etc. I use TP Global FX. They provide low spreads start from 0.01 pips. their highest leverage is 1:500 which sounds good in forex market. They also provide me 24 X 5 customer service, if i have faced any problem. They are really good broker in forex market.

  6. #6
    Join Date
    Apr 2020
    Posts
    426
    For me, the main criteria in choosing a broker are spreads, a trading shoulder, a demo mode, bonuses for a trader. In all respects, I consider the best broker Amarkets and while I work with him.

  7. #7
    Join Date
    Jul 2020
    Posts
    177
    For me, the most important and only criterion is reliability. In my opinion, in the current situation, this is really one of the most important factors.

  8. #8
    Join Date
    Apr 2020
    Posts
    426
    I believe that one of the main criteria for choosing a broker is reliability. So far, I believe that reliability plays a key role in choosing a broker.

  9. #9
    Join Date
    Jul 2020
    Posts
    177
    For me, the best broker by all criteria was ExpertOption. Working with it turned out to be convenient, profitable and reliable. It is also worth noting that there were no problems with the conclusion.

  10. #10
    Join Date
    May 2020
    Posts
    556
    For me, the main criterion for a broker is reliability. So far, I consider this particular parameter of work to be the most important in the process of choosing a broker for work.

  11. #11
    Join Date
    Jul 2020
    Posts
    43
    the most important thing in a broker is reliability! it was according to this criterion that I made my choice, settled on Expertoption, it is pleasant and profitable to work, and most importantly, that it is reliable

  12. #12
    Join Date
    Mar 2020
    Posts
    109
    Choosing a broker is very important factor of Forex trading and if you choose a good and reliable broker your money will be safe and you can nmake good profit with the help of your broker. Low spread, daynamic leverage and good customer support should be the main features of your broker.

  13. #13
    Join Date
    Apr 2020
    Posts
    60
    You really listen to these functions as a basis for how to trade and act during trading, but do not forget that there are still many additional nuances that need to be considered too.

  14. #14
    Join Date
    May 2020
    Posts
    556
    For me, the most important aspect of a broker is reliability. For work, I use a broker Amarkets, and the results are fine with me. In my opinion, this is a really good option now.
    Last edited by malopis; 08-27-2020 at 02:22 PM.

  15. #15
    The newcomers always try to earn money quickly. It is quite impossible in forex. The newcomers should know the rules of forex market first. They should learn the basics of forex trading. To know the basic knowledge of forex practically they can create a demo account in Forex4you. It will help them to trade in forex with lower spreads starts from 0.1 pips. It also give them high leverage which is 1:1000 maximum. It can also be with them like a shadow in their forex trading. The trading system is very easy. For me, it is the best option to know about forex for the newcomers.

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