Smart tips to select the best forex broker. The Forex market accounts for about $4 trillion traded value each day. It makes Forex market considered as the world’s biggest financial market. Due to the absence of central marketplace for the market, Forex traders need a Forex broker to assist them on doing their trading activities. As a result, when you learn Forex, you should learn how to choose the best Forex broker too.
5 Genius Tips on Opting for the Best Forex Broker
In accordance to the increased popularity of foreign exchange market, the numbers of Forex brokers are growing as well. That is why selecting the best one seems to be a difficult task especially for new traders. It requires careful analysis until you can find the right one. To help you meet the best Forex broker out there, here are some of the tips to follow.
#1 Regulatory Compliance
If a reliable Forex broker in the US must be a member of the NFA or National Futures Association, in Indonesia a reputable Forex broker is under the compliance of Bappebti, a governmental organization that regulates commodity futures trading. Being registered in Bappebti is surely a good point to see when you are searching for a trusted broker in Indonesia.
Remember that a professional and flashy looking website does not always guarantee that a broker is registered legally in the national futures organization or association. You should instead check for their registration number to make sure that they are surely a member of the legal association for brokers on country. For example, a member of NFA likely states their NFA member number on their website.
#2 Clear Account Details
For your information, every Forex broker has dissimilar account offerings that you need to know the difference from one to another. For instance, there is Leverage and Margin account. Forex participants who have this account have access to a range of leverage amounts based on the brokers’ rules. Leverage is actually a loan unmitigated to margin account owners by their brokers.
In addition to Leverage and Margin account, there are also Commissions and Spreads, Ease of Deposits and Withdrawals as well as Initial Deposit. When it comes to Initial Deposit, most of the Forex accounts are able to be funded with a small early deposit only. Nowadays, a lot of brokers provide standard, micro and mini accounts with a variety of requirements for initial deposit.
#3 The Selection of Currency Pairs Offered
Next, it is also important for you to think about the currency pairs offered by the brokers. It’s no secret that you will have numerous currencies deal available for trading in the market. A good broker may provide you with a big collection of Forex pairs. However, what is significant here is that they present you the pairs you are interested in.
#4 The Availability of 24-hour Customer Service
Forex market is available for 24 hours, so your broker’s customer support needs to be open at any time of the day as well. Another consideration when it comes to customer support is to choose the one that makes it possible for you to talk with a live person instead of auto attendant which can be frustrating and time consuming.
#5 User-Friendly Trading Platform
The last but not least, you need to think about the availability of trading platform as well. Trading platform will be your portal to the Forex markets. You need to make sure that the platform and any software utilized on the platform is user-friendly. As a result, you will be at ease even when you first to learn Forex and want to start trading.