How to Choose a Forex
Broker
These are some of the key
items to consider:
-
Due Diligence- it
is important to do your own due diligence to find a broker
that suits your individual needs and meets your requirements, ,such
as whether the broker is regulated, in what domain it operates,
its capitalization, etc.
-
Commissions/Spreads- Most forex brokers do
not charge explicit commissions on their trades. They are into the bid/ask spread.
Check into the "pip spread" on trades.
-
Dealing Desk-Non-Dealing Desk- Some
Dealers collect prices from a number of outside sources (ECN) and pass
them through directly to their customers. Others make prices
themselves based on outside sources.
Demo (no funds at risk) or Micro (tiny leverage) accounts might
be suitable for those just getting started in forex trading..
Mini
(small leverage) accounts might be suitable for those with limited
currency trading experience.
Full (normal leverage) accounts are most suitable for experienced foreign
exchange traders.
Check with your broker for capital
requirements for each type of account.
-
Platforms- Platform is just a fancy name
for the trading program. Some are web-based and some are downloaded
directly to you desktop. Take some demos to see which platform works
best for you.
-
Additional Features- Different platforms
provide different features. Almost all provide charting of some kind.
Some can include some very sophisticated trading analysis software,
analysis tools etc.
Do you have questions or need help? We
have
decades of experience in foreign exchange trading and are can help you
make a suitable choice. Feel free to CONTACT US..
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