- summary:
- The 10 best Forex brokers are placed in organizational compliance boxes, differences, safety, and customer support among other major indicators.
What is the Forex broker?
FX is a type of financial service provider that facilitates trading in foreign currency. Foreign currencies/FX/Forex, is simply buying and selling different currencies. Traders depend on the brokers to reach the FX market, requests, and maintain the tabs on their deals.
Basically, brokers facilitate transactions between market participants, and the collection of buyers and sellers. Foreign exchange market is a central system for interconnected banks all over the world, instead of central stock exchanges such as the New York Stock Exchange or the London Stock Exchange
Forex mediation regulations
Despite the lack of centralization of the market without a prescription, the financial authorities in many countries regulate Forex brokers. As a trader, it is important that you only deal with the brokers who have been licensed as you should work on your site. Otherwise, you may only risk losing your money, but also important personal data. For example, if you live in Malaysia, you must do due care to know which brokers are legal in Malaysia.
How does Forex brokers earn money?
The intermediaries of the Forex market often earn their profits from the differences, which is the difference between buying and selling currency rates in a trading pair. Here, the broker achieves profit by purchasing at a lower price (offer) and selling at a higher price (ASK). Also, some brokers receive commissions, financing overnight, and other fees. As a trader, you need to search for a Forex broker with the slightest spread, because, in the end, it can prove the difference between profit and loss.
How does Forex trading work?
Trading currencies are trading in Forex in pairs, where each currency has a unique symbol. To buy one currency, the trader needs to know the extent of the other currency currently being sold on the market. For example, the price of the EURUSD currency pair shows the number of US dollars that will take it to buy one euro.
There is always a single basic currency and a single quotation currency in the currency pair. The basic currency is the first currency in the pair, like the euro in the Eurusd pair. On the other hand, the quotation currency is the second currency, like the US dollar in the Eurusd husband.
When you buy a pair of the currency, you are mainly betting that the value of the basic currency will increase in relation to the quotation currency. On the contrary, people who sell currency pairs do this because they expect a decrease in the basic value of the currency in relation to the quotation.
Types of currency pairs
FX pairs are classified into three types: majors, minors and exotic.
Main pairs: The majority of currency traders focus on major pairs. These currencies make up more than 80 % of all foreign exchange deals in the world; They are the currencies of some of the world’s largest economies. An example EurusdGBPUSD, Audusd, Usdchf, USDJPY and USDCAD
Secondary pairs: also known as cross -husband, simple husbands are pairs of currency that do not include the US dollar. Examples include Cadjpy, EURCHF, EURGBP, GBPJPY, etc.
Exotics: The exotic currency pairs consist of a major currency and a much less trading, such as the US dollar against Rand South Africa, USDZAR.
When can one Forex trade?
Forex market is open for five days a week, from Sunday at 5 pm to 5 pm at 5 pm. The global Forex market is divided into four major trading sessions, named after the leading four commercial centers, Tokyo, Sidni, London and New York. Because of the different time zone, these trading sessions overlap.
How to choose the best broker
Before choosing a mediator, think about your needs and goals, and know if the tools they provide are working for you. Also, to avoid losing profitable opportunities, you should also think about the time difference between your site and the markets covered by your mediator.
For example, a trader in Hong Kong You may find that it is appropriate to use an intermediary like ATFX because it allows access to the moderate trading activity that was reported during Hong Kong working hours, and also allows access to American and European sessions, which have greater fluctuations and greater sizes of trading activities.
Choose a Forex trading platform
The most popular trading platforms are Metatrader 4 and Metatrader 5. Because of their suitability for social circulation and copies, the Forex Metatrader 4 and Metatrader 5 broker is very popular with merchants. However, some brokers have developed a special trading program/third -party trading.
Top 10 brokers
fxtm
FXTM has built a name for itself thanks to the license by many of the good reputable organizers, including FCA, CYSEC, FSC MARITIUS, etc., it provides its customers with a very high crane, up to 1: 1000. In addition, it provides access to deep liquidity, hosting VPS, and a variety of accounts. The famous Metatrader 4 platforms and Metatrader 5, offered by FXTM, provides a user interface rich in features with rapid and easy implementation. However, a great weakness on its part is that it receives non -activity fees and withdrawal fees.
Anda
With a long history of merchants around the world and have licenses from respectable bodies such as CFTC, ASIC and FCA, Oanda has a busy record since its foundation in 1996. Oanda provides its customers access to a wide range of trading and investment tools.
This broker offers a floating up to 1.0 points, and it is a huge competitor in the FX market. Oanda provides VPS hosting and trading on Metatrader 4 platform, allowing the implementation of rapid trade. However, the fact that it receives withdrawal fees is the main defect of the company.
ATFX
ATFX was established in 2017, providing access to more than 350 trading tools through its Forex and CFD platforms. Not only does IT technology support standard MT4 services, but also provides MT4 additions, as well as the MT5 platform. To ensure fast and safe implementation, it comes with free VPS hosting.
Due to the rich content and supporting tools, it is an excellent choice for both professional and beginners merchants. Also, comprehensive education resources and distinguished customer assistance makes ATFX stand out.
XM collection
This broker also works as a market maker in the global financial markets. Therefore, traders can take advantage of the competitive offers of the XM group because the company has direct access to liquidity. There is a variety of accounts available, including a very varied and natural cliches, with minimal deposit requirements and leverage requirements that meet the criteria set by European organizers.
FBS
FBS has a wide presence around the world, and is licensed and organized by multiple financial powers including FSC, CYSEC and ASIC. Regardless of the lack of floating commissions and differences up to 0.6 points, this broker offers some of the most competitive mice in the market. In order to improve the speed of trade, FBS also provides a VPS hosting. As the trading platforms go, the mediator offers both metatrader 4 and 5. However, it has no special platform.
CMC Markets
With the average job differences of 0.61 points on the Euro/US dollar pair, CMC Markets provides competitive prices that exceed the average industry. CMC Markets provides a great business experience with low prices and a high reputation in the world. However, there are fewer trading codes in the Metatrader 4 (MT4) product for CMC Markets.
Pepper
Peppperstone was established in 2010, 65 different currency pairs of trading, licensed by organizers across levels 1,2 and 4 judicial states. With both Metatrader and Ctrader, it meets both algorithm and copying merchants. It allows users access to TradingView, CTRADER and Metatrader. Moreover, it already enhances its impressive wing of platforms with a wide range of additional additives and ingredients.
Tickmill
Tickmill was founded in 2014, a high degree of confidence thanks to its organization in multiple judicial authorities, including by the first -level organizers. It supports trading in Metatrader 4 and Metatrader 5 platforms.
In addition, Tickmill facilitates social trading and has a special trading platform. It is also a good option for algorithm and professional traders due to trading and drawing features. One of the big defects of Tickmill compared to its competitors is the lowest number of markets it offers for trading.
IC Markets
With the low levels of difference and minimum deposit requirements, IC Markets provides competitive prices through different types of accounts. In addition, merchants who trade more than 100 standard pieces per month are qualified to obtain additional discounts. Along with providing excellent automatic transcription strategies, it provides trading in 61 different pairs of the currency. However, its educational information is limited in the range, lacking a special FX trading tool.
Swiss Swiss
Swissquote is proud of deep liquidity, thanks to its first -class banking network and non -banker regional liquidity providers. It provides trading in small, inpin and normative classes across all platforms, and provides trading in 80 different pairs of currency. To help traders improve their returns in investment, Swissquote provides a crane up to 1: 100.
Swissquote provides access to the leading Metatrader 4 and 5 platforms, enabling it to go face to face with her peers. Moreover, she combined TradingView charts into her CFXD platform, which is very easy to use and is very complicated. While Swissquote offers commission -free trading, labor differences and barters are higher than the average industry.
In conclusion
Forex brokers are a central column in enabling the purchase and sale of currencies. It provides a variety of services and its competitiveness is based on factors such as organizational approval, differences, fees, commissions, safety, customer support, educational materials, and tyranny of the user, among other things.
In the end, your choice should be informed of your needs and goals. The brokers who have been discussed above are some of the best in the market, but it is important to do due care before choosing any one to go to.
