IC Markets

Forex Brokers : List of best FX brokers and reviews to trade online

Forex Brokers : List of best FX brokers and reviews to trade online

Forex BrokersTo excel in the field of currency trading, the experience is the key as it lets you understand and tackle losing situations in a better way. Forex trading always has excellent risk involved, which makes some traders stay away from it.

In the worst cases, you would require an entire day or maybe a week just to understand how the forex trading platform works.

However, Forex trading does have advantages of its own and is luring in more and more investors every day.

There occurs a total trade of 4 trillion USD every day in Forex market, and this mainly due to the extreme amount of bulk volume investors out there who invest significant amounts on a daily basis. But this is also giving way to the low volume investors, providing them with more excellent opportunities for their portfolios.

Earlier, it was not easy for low volume investors as the minimum deposit requirements were too high, at least about a thousand dollars, which has now fallen to as less as just a 100 USD to get started with a forex trading account.

This makes life easier for low volume investors, encouraging them to test the services out without risking a lot of money.

Brokerage and Funding Options

One of the most time-consuming decisions you need to make is to choose the right broker to trade Forex with. There are two types of brokers to choose from:

  • Market Maker – allows you to carry out Forex trade directly in the market.
  • Indirect Market Maker – Forex trade takes place indirectly in the forex market with the help of networks such as electronics and communications.

The service charge which you will be required to pay for the forex services provided is what differentiates these markets. Market maker brokers mainly just need a certain percentage of change in values between both, the buying and selling price. This is because the spread changes continuously and slowly and not many market makers have the ability to manipulate these threads in their way to maximise profits.

ECN brokers are the type of brokers that are known for charging a commission for all the transactions made, due to which they cost nothing additional for the bid-ask range. However, before you open a new Forex trading account, you should go through and save a copy of the contact details to stay in touch with the broker you choose at all times. Also make sure that the broker you want is fully licensed, regulated and is governed by agencies.

Banking options such as funding and payment should also be considered before you settle down with a broker. Always find out what fees are associated with each transaction and how much interest is charged if any. Usually, withdrawals are much more tricky compared to deposits and take longer, so never use funds which you may require shortly as it may take a while for you to get them back.

If a day trader is something you wish to be, you do not have to worry about the interest rates as you barely will be holding the funds overnight due to the sole fact that you are a day trader. However, in case you decide to keep a position overnight, you will be charged some interest by the broker. Because Islamic laws do not encourage investment, there are interest-free accounts for Islamic people as well.

Ed Lamadrid

Ed Lamadrid

I'm Ed Lamadrid, a CPA, blogger and a forex trader. Welcome to Top10FX.net. Follow my website for the most trustworthy forex broker reviews and last minute financial trading news.

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