How to Choose the Right Forex Broker: Top 4 Tips

[adamsmiths]

The financial market that can be regarded as the largest financial market is the foreign exchange market or the forex market or the FX market. People from all over the world can take part in the forex trading and gain huge amount of profits. In order to trade in the forex market, you will need a forex broker and a forex trading account. And if you are trying to find a forex broker, chances are that you belong to any of the two categories: you either are an experienced forex trader who is not happy with his or her current broker and looking for a better one, or you are a newbie in the forex market. Whatever category you may fall into, you need to consider a few things before zeroing on one broker. They are, as discussed below:

1.       Regulation

Regulation is the most important thing that you need to consider while selecting a broker. Always choose a broker who is regulated by an authority that people have actually heard of, for example, UK Financial Conduct Authority (FCA). If a forex broker is a license holder, this will make sure that they meet the highest of standards along with very specific capital requirements at all times. They will handle deposits as needed by legislation. Also, they will act according to all the accepted codes of conduct.

2.       Transparency

Always hire a forex broker easymarkets who is transparent about all the procedures being followed as well as discloses clear metrics about their operations. Also, they don’t hide anything from you. You may find a number of brokers who frequently publish not only their trading volumes but also their execution statistics and other details which may be of use to you. This becomes more important if you want to have an idea about a broker’s operations before opening an account with them.

3.       Beware of hidden costs

There is actually no hidden cost in the forex market. There are just costs that you may discover later. Generally, these costs are associated with the quality of trade execution that is offered, as well as with the execution model of a broker. May be you already know that you will be charged by a broker either for the spread or a commission. Before registering with a particular broker, it is necessary that you know some things such as other transaction costs, withdrawal and deposit fees, and also swap rates if your plan is to hold positions open overnight.

4.       Know the details

It is important that you know the details about the trading conditions of different brokers. This may take a while. Still, you should compare the web-based, downloadable as well as mobile platforms that are offered and see what the instruments are that are available for trading. Also, know whether you can trade micro or mini lots or not; ask if scalping, hedging, algos or anything else that you have in mind are permitted.

So keep these things in mind and you will definitely get a good broker and earn a lot of money in the forex market.

[Mucomba AnthonyÂ]

We the traders first of all have to choose in regulated trading brokers which guarantee their clients funds.  That’s why, now I am trading with MTI Markets which is regulated by Central American IFSC and for all time make sure security of funds at any deposits with a wide range of trading technologies.  And they don’t restrict any kinds of trading techniques with scalping and hedging.  So, my trading life is very much comfortable.

[Addison Olivia]

You just need to keep it all simple instead of looking for attractive offers or bonanza deals because that’s only going to cause issues and will make it hard for us to get anything. I look for broker who is regulated and have good reputation because I know when we have such quality broker then rest of the stuff like bonuses, low spreads and all that comes automatically. I am very much right with OctaFX broker. They are regulated and a true ECN yet have magnificent 50% bonus on deposit scheme which is use able, so that really enhance my performance in big way and gives me confidence to trade with absolute freedom and comfort which results in bringing great profits!

[Mark Burmester]

Every point you made is spot on. I have gone exactly with keeping these 4 points upfront when selecting. I be more honest then I never actually looked for that much but now I realized that I am working with broker that have this all. I am working about Alpari. They are regulated by 3 top international institutes, it’s absolutely transparent structure they have with no hidden cost/policies and been in the market for 17 years on top, so not much else you will like to have there and even then they have excellent section http://alpari.com/en/analytics/technical_analysis/autochartist/, it’s just topping on the cake for me!

[Josheb Fredy]

Of course, broker selection is very important as your hard earned money is at stake. Right now, I am with FreshForex broker that just suits my trading requirements with its host of features & bonuses! To start with, they have near zero spreads & no slippages, 101% Tradable bonus, 36% interest rate and $15 rebate, forex market news & views, fast withdrawals and good customer support! FreshForex is a regulated broker and operating from 2004 and going still strong.

[Money Morkel]

The good broker in Forex trading for all time make sure security of funds, low transaction cost,  easy withdrawal system without long time process, free demo trading ,  active customer services ,superior execution and much more real trading facilities that are very supportive to lead a flexible trading life with certainly.     

[Mad Max Fx]

Each the trader has a choice of the broker to be used, we the traders should choose the broker that is more appropriate to the concept of trading that will be used, and if you love scalping should choose the broker that allows trading concept such as this. As a scalper now I am comfortable with JCMFX broker which is regulated and permits scalping including flexible trading spreads as well as minimum margin requirements.  so, from here I can scalp at any major pair without any limitations.

[Joy Bahadur]

We have to use credible trading broker which does not restrict any kinds of trading techniques with scalping and hedging.  by and large trading brokers don’t allow scalping in their trading platforms.

[Mucomba AnthonyÂ]

In this market place we the traders have to choose the broker which does not restrict any kinds of trading techniques with scalping and hedging. And they always ensure best trading environment for using any trading techniques by providing lowest trading spreads.

[Mark Hoffman]

It’s definitely not easy to select up right broker, but it’s all very much do able if we do hard work, so we just need to make sure we do the hard yard and that should be enough to bring us heavy returns. I trade with OctaFX broker and nothing gets more right than them, as they are just awesome in every sense of word. I can work ever so smoothly with them, as they have excellent policy to work around that enables me to do trading through any technique I desire. I also enjoy other features present like rebate where I get handsome figure back while there is also zero balance protection and a lot more on these lines, it’s fairly awesome!

[Mucomba AnthonyÂ]

Besides good trading knowledge we the traders need a reliable support from a credible trading broker which always ensures a wide range of trading technologies. Because the broker can affects the result of our trading with certainly.  And credible trading broker does not restrict any kinds of trading techniques with scalping and hedging.

[Simon Davis]

Let’s not even go for 4 steps, I like to cut it down to couple of points. Just seek for regulated and reputed company, it’s fairly simple. I am with FP Markets and they fit in nearly all steps, but more to do with mine two required ones. As they are 100% Australian operated company licensed by ASIC and have everything you demand or require. From common educational section to video tutorial, Live Webinars and many such setting, it’s truly what makes them amongst the legendary companies out there!

[Joy Bahadur]

According to my trading experience I think choosing a right broker is very challenging issue. As a result in retail Forex market there are almost thousands broker are available and most of them are found to be scams. We the traders should choose the broker that is more appropriate to the concept of trading that will be used , if you love scalping should choose the broker that allows trading concept such as this.  

[ForexMartTrader]

From experience, I have discovered that the best way to choose the right broker after narrowing down your choices, is to invest a minimal amount. This will give you the opportunity to evaluate the broker, and make your choice, before investing a substantial amount.

Edited February 10, 2017 by ForexMartTrader

[Josheb Fredy]

I am really not sure why anyone is going to join up with ForexMart, as the execution rate with them is slower than tortoise. I worked with them through their free bonus and it was totally forgettable experience for me with massive slippage and re quote being constant feature! I will not even suggest it to my enemies!

[Mark Hoffman]

On 2/15/2017 at 9:50 PM, Josheb Fredy said:

I am really not sure why anyone is going to join up with ForexMart, as the execution rate with them is slower than tortoise. I worked with them through their free bonus and it was totally forgettable experience for me with massive slippage and re quote being constant feature! I will not even suggest it to my enemies!

Let me be fair, it is not going to make difference to them what you say! But, it will make a difference if you fight and show them that you are not taking this laying down! I was scammed FM binary couple of months ago, I could have cried over it, but instead I decided to fight and look, I not just got the money back but the company is CLOSED! They understood, it’s not one refund, but many to come. We need to fight off such binary option trading scam, it is our duty!

[L Moore]

The newcomers always fall a great trouble when choosing a broker,  because in this retail market place there are almost thousands online broker are available and most of them are found to be scams. By the way , as a newcomer I have chosen LQDFX which is more appropriate to the concept of trading I always use. I always depend on lowest trading spreads for using my trading approach scalping. that’s why I have chosen this STP trading platform due to 0 pips comfortable trading spreads.  so, my trading life is very much comfortable now.