The Best Forex Brokers
I have been trading in the forex marketplace for the best part of a decade now, and in that time I have seen many traders come and go. At its best Forex is exciting and offers a fantastic lifestyle.
To trade Forex successfully, you need two things. The first is a strong trading strategy and the second is a good broker. One that will allow you trade like a professional trader no matter what level, or amounts you are trading with.
However, most traders make the mistake of not getting the basics right, which is why they struggle and never achieve their potential.
In fact of many of the negative things written about different brokers on the Internet in forex broker reviews, come from the fact that the traders did not take the time to learn the basics and develop a proper trading strategy, and are then left feeling bitter when their trades don't make anything or lose money.
So how do you find a good broker, from the long forex broker list?
By looking at 5 things.
1.Low Minimum Account Opening and Trading Amounts.
You should only trade with as much as you can afford to lose. Using a broker with low trading and account opening amounts, means that traders can trade at a level they are comfortable with.
Many experienced traders 'learned' with smaller amounts and built their way up gradually.
The spread is the difference between the bid and the ask price. The lower the spread the 'cheaper' the trading is.
3.Instant Execution Of Orders.
It's very important that a trader doesn't settle for a broker that re-quotes when they try to buy or sell. This 'slippage' can have a significant effect.
Often this comes down to the liquidity a broker can provide, which is often indicated by the volume of trading that is going through them.
4.The Opportunity for Good Education and Training.
If you are new to Forex, you cannot form a real trading strategy without a full understanding of the fundamental and technical aspects of the industry.
A good broker will offer the opportunity for this, as well as free professional charting and technical analysis tools.
leverage is effectively borrowing money to trade. For example if you used 10:1 leverage then you would trade with ten times as much money as you put down. If you used $1 from your account, you would actually trade with $10.
This can be a double edged sword, because it means the profits and losses can be much greater and happen much more quickly. A good broker will give traders flexibility to trade with as much or as little leverage as they need.
Based on these 5 aspects, I have used my experience of the industry to put together this site to review the current Best Forex Brokers in the marketplace.
The Best Forex Brokers #1 Choice
eToro offers a completely intuitive trading platform that is suitable for anyone, from novices right through to professional traders. There is a video tour through the system to get everybody ready to place their first trade.
One of the first things you notice is that they operate a very reliable system, so that trades are executed with precision. Spreads also go as low as 2 pips!.
The platform itself has a beginners mode which is easy to use and takes on a fun vibe, to make trading very visual and enjoyable. As you progress through, you can choose the expert mode which still has the same ease of use and functionality, but with a more traditional appearance.
The platform has actually just won a World Finance Award for the 'Most Innovative Trading Platform 2010', which gives a real indication of just how good it is
There is a full education section that allows you to learn the fundamental and technical aspects of the industry and develop your strategies with their Forex tutorials and trading guides.
Also in July of last year eToro started what is one of the best new developments for Traders in Forex that I have seen. It's called 'OpenBook', and it's basically a social network for traders. It allows trader to watch experts trade in real time and communicate with other experienced traders.
A network like this really is gold dust, as it allows traders to develop strategies by watching and having contact with people who really understand the markets. You know they understand the markets because their trading history is there for everyone to see. Traders can choose to watch, contact, or copy any of the other traders in the system after researching their strategies and trading background. It also quickly allows traders to find out what is important in the marketplace and to gage market sentiment. It's one of the best ways for a new trader to cut the Forex learning curve right down. You can see more about OpenBook here.
There is also a full suite of professional tools including online forex charts, graphs, up to the second financial news, trading orders and history.
A practice account can be opened for free and you can start using their platform in real time with virtual money, which is great for novice traders to gain confidence, or develop strategies under real trading conditions.
You can start real money trading with just $50 and with leverage starting from 5:1.
You can trade with eToro 24 hours a day. The customer service teams are also there during that time via email, live chat, or phone to help with any problems.
eToro is also very focused on creating a community feel for it's traders and have many features including public and private chats, as well as a full online forex forum to exchange ideas and share experiences. They also have have weekly prizes and trading challenges.
My only real criticism is that you need to download the platform to your computer, before you can start trading.
Click Here to visit the eToro official website.
I Just wanted to say thanks for recommending etoro to me. I have been trading for about 6 months now and it is an amazing platform. It's such a great tool for people to get into Forex with.
Obviously I started with the practice account for a while and then progressed, once I was confident with what I wanted to do. I'm now doing pretty well!
The Best Forex Brokers Recommended Forex Broker Review.
Easy-Forex has a proprietary trading platform that provides 24/7 access to the Forex markets. Easy Forex started in 1998, with the philosophy that they wanted to help ordinary traders to be able to trade as easily as big players and banks could.
Easy Forex is also very good for the newbie to Forex, and provides comprehensive Forex training programs as well being very easy to use, you can also trade over 100 currency pairs.
There is a guided tutorial through putting on your initial trades. Every account holder has a personal account manager, who is always available during business hours.
One advantage of Easy Forex is that it is a totally online forex broker there is no software to download or run, everything is online. It means that someone can trade anytime and anyplace with an Internet connection.
You can use credit cards or paypal to make deposits and withdrawals are organized with a phone call.
There are full accounts or Mini Accounts start with a margin of as little as $12.50. There are also other accounts including Gold, Platinum and a Tailor Made Import-Export account.
However, the spreads are generally higher at Easy Forex for example 3 pips on the EUR/USD pair.
Also their is no demo account for traders to practice on.
Click Here to visit the Easy Forex website.
Just a quick note to say thanks for telling us about Easy Forex. We've been trading for about a year now and we've managed to develop a good strategy and steady profits.
John and Nadia Lattney, Tacoma, WA.
So What's Next?
Whilst both platforms are good, I recommend eToro first because of it's usability and also because you have the opportunity to use a practice account to develop confidence and strategies without the pressure of real money. It's spreads are generally cheaper too.
It's easy and quick to set up an eToro account and you can download the software for free, just Click Here now.
I just wanted to let you know I'm really happy with the reliability of eToro. I was unhappy with the 'sticking' I was getting from my last broker, especially during the Australian hours before the Euro opening when there's less liquidity, so it's great to finally trade with a broker who can always get me the prices I want.
Josh Baxter, Sydney, Aus.