One of the first and most important steps towards a successful journey of currency trading is choosing a reliable and trustworthy broker.

This is not an easy task considering there are hundreds of brokers out there with each one of them claiming to be genuine. There are many factors to consider when choosing a forex broker, but the most important of them is regulation. In this article, we are going to discuss the benefits of working with a regulated forex broker. Since there is no centralized body that oversees the forex trading market, many countries now have independent and government bodies that have been tasked to supervise currency trading in their jurisdictions.

These supervisory agencies regulate foreign exchange market by setting standards which all financial investment firms and forex brokers operating under their jurisdiction must comply with. These standards ensure that all parties involved in Forex or CFD trading are subjected to fair and ethical financial practices.

Regulatory bodies also issue license to brokers that meet certain criteria to give them the right to offer services in a certain jurisdiction. The broker will have to abide by all the rules and regulations otherwise their license may be revoked. Now that you know what forex regulation is, the next question is, how do you benefit from working with a regulated forex broker as a trader? When Forex brokers are supervised by a regulatory body, retail traders investors can be sure about the credibility of the brokerage firm.

The biggest risk of working with an unlicensed forex broker is losing your hard-earned money when the broker engages in Ponzi schemes or fraudulent activities. Some of the most common fraudulent activities in the forex industry include excessive commissions, very wide spreads, restrictions on withdrawals and hidden terms and conditions.

Regulatory authorities have created a platform wherein such case cases of fraud in FX trading can be dealt with effectively. Regulatory bodies have been mandated by the law to deal with any broker engaging in illegal practices by following the stipulated legal channels. They can sanction, restrict, or ban the broker from ever conducting business by permanently revoking their license.

The only problem here is the fact that the regulators can only deal with cases in their jurisdictions. Even so, there has been a noticeable reduction of forex trading scams. What will you do as a trader is your broker goes bankrupt or disappears with your hard-earned money?

It can painful to lose money in forex trader but if you find yourself in such a scenario, there may be some hope for you, if the broker in question is regulated. Depending on your case, you can be compensated for your lost funds as most regulated brokers have some form of insurance for their clients. For example, for a broker to be regulated and licensed by CySEC, they have to sign up for the Investor Compensation Fund ICF.

If, for some reason, your CySEC regulated broker canceled your profits, went bankrupt or engaged in actions that led to the loss of your funds, you may be eligible for compensation by ICF. To claim your compensation, you are required to visit their website and fill an online form or send a letter attaching all necessary documents to their offices.

This way, the broker will always be able to attend to your withdrawal requests without any issues. Most unregulated forex brokers will often come up with tricks to lure unsuspecting potential clients. Regulatory bodies also prevent brokers from using dangerously high leverage options, extreme wide spreads, and enticing marketing schemes.

You now know the benefits of working with regulated brokers, but how do you determine whether a broker is licensed or not? How do you know when a broker is lying they are licensed and regulated? Here are two ways to determine whether a forex broker is licensed;. Regulatory bodies require the forex brokers regulated by them to list their list details regarding their regulation on their websites. This includes their license number and the name of the regulatory authority.

This information can be found in the About Us section or at the bottom of each webpage on their website. Most regulatory bodies have a website with a tool to search license numbers of the brokers they are regulating. This allows you to verify if the license number is genuine and valid or fake. Forex trading is a very risky business to venture into.

But if you partner with a regulated broker who has your best interests at heart, you can turn it into a lucrative venture. Necessary cookies are absolutely essential for the website to function properly.

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It is mandatory to procure user consent prior to running these cookies on your website. Professional way This method involves doing your own research. The professional way of choosing trusted forex brokers is explained in step-by-step format for your convenience: Step 1: Know exactly what you want to achieve through forex trading It makes things much easier if you write down a list of features that you want in the forex broker you would like to work with.

You can achieve this by writing down answers for the following questions: What currency pairs would you want to trade in? What type of spreads would you be comfortable with? fixed, variable and how many pips Are you ready to pay a commission when trading forex? How much money can you invest in forex trading? this gives you an idea of your account size and facilities available What level of leverage are you looking at?

What are the tools and indicators required for you to trade forex? Do you need any specific trading platform? for example, MT4 Are you a scalper? Do you want to hedge? Will you need a trailing stop? What type of broker do you want to work with?

wire transfer, PayPal, credit card, etc. How much are ready to pay for funds transfer and withdrawing money from your account? Step 3: Read reviews of selected trusted forex brokers Reading reviews of forex brokers is definitely helpful, but it can be confusing, sometimes even overwhelming. It is, therefore, important that you stick to the following rules when reading reviews: a If the broker has been operating for more than 10 years, you can be sure that the company knows the business and cares for its clients.

e Finally, you should only read reviews written by professionals. Step 5: Additional tips on how to choose trusted forex brokers Your approach to identifying a trusted forex broker should be similar to one you use to choose a bank and entrust your money. Why You Must Trade With Regulated Forex Brokers The foreign exchange market, also known as forex is the largest and one of the most liquid capital markets in the globe with trillions of dollars exchanges daily.

Benefits of Working With A Regulated Broker Now that you know what forex regulation is, the next question is, how do you benefit from working with a regulated forex broker as a trader? Fraud Protection When Forex brokers are supervised by a regulatory body, retail traders investors can be sure about the credibility of the brokerage firm.

This starts at a very competitive 0. Outside of the forex department, CMC Markets also supports CFDs in the form of stocks, indices, cryptocurrencies, commodities, and Treasuries.

If you like the sound of CMC Markets, it takes just minutes to open an account with this top-rated forex trading platform. However, a major flaw here is that CMC Markets charges 2. So now that we have reviewed the best forex trading platforms of and beyond - it's now time to explain how you can find a provider yourself. After all, no two brokers are the same, so you need to ensure that the platform is conducive to your forex trading needs.

Below you will find a list of important factors that should be considered in your search for the best forex brokers. The global forex trading industry now sees trillions of dollars worth of currency change hands each and every day.

As such, in most parts of the world, this online trading scene is heavily regulated. However, not all forex trading sites obtain the required license or authorization to operate in the countries it serves. In other cases, although the platform might hold a license, this might be from a shady offshore financial body.

As such, you should only open an account with a forex trading platform if it is regulated by a reputable license issuer. By choose a forex trading platform that is regulated by one or more of the above bodies - you can rest assured that the provider is safe.

For example, our top-rated forex trading platform - eToro, is regulated by the FCA, CySEC, and ASIC. It is also registered with FINRA in the US. All in all, these bodies have strict expectations on the best forex brokers that they regulate - all of which center on fairness, transparency, and investor protection.

There are many forex pairs that you can trade from the comfort of your home. Most forex trading sites in the space will cover most major and minor pairs. These are the most in-demand pairs as they carry the largest trading volume and liquidity.

In turn, majors and minors benefit from the tightest spreads. With that said, the best forex trading platforms that we came across also offer lots in the way of exotic pairs. eToro, for example, allows you to trade many emerging currencies against the likes of the US dollar and Euro. Although more volatile, this is something that is often craved by seasoned forex traders anyway.

All forex trading platforms are in business to make money. How they achieve this can vary from platform to platform. Therefore, it is imperative that you check what fees will be applicable when trading forex at your chosen site. Some forex trading platforms charge a commission on every buy and sell order that you place. In all but a few rare cases, this will come in the form of a variable percentage.

Swap cannot be charged in Islamic forex brokers or swap free forex brokers. With that said, the best forex trading platforms of allow you to place buy and sell positions commission-free. This includes the likes eToro, Forex. com, CMC Markets, and more.

In this scenario, you will only pay a fee in the form of the spread. All forex trading platforms make money from the spread. This is the difference between the buy and sell price of the forex pair. Unlike traditional financial markets, the spread in forex is calculated in 'pips'.

In terms of what is deemed competitive, the best forex trading platforms offer spreads on major pairs at less than 1 pip. If you are unfamiliar with the spread, it is an indirect cost that you need to cover to get back to the break-even point on your forex trade.

It is important to note that most forex trading platforms offer a variable spread. This means that the spread can change throughout the day depending on market conditions. Crucially, the more volatile the forex pair in question is, the wider the spread will be. Unless you have a significant amount of capital in your forex trading platform account, you will likely need to use leverage.

When you trade leveraged products, this attracts overnight financing fees. In simple terms, this is a fee that you pay to your chosen platform for keeping the position open overnight. This fee will be deducted from your account balance and subsequently charged on a daily basis. With this in mind, you need to check how much your chosen platform charges. This is usually expressed as a percentage and multiplied against your stake.

The more you stake and the higher the leverage you apply, the more you will pay. Being able to trade forex online and make consistent profits is a difficult task. This is especially the case if you are a complete novice in the space. As such, you'll want to see if your chosen forex platform offers a selection of tools and features that can take your currency trading efforts to the next level.

As we covered earlier, being able to make a living by trading forex without a sizable amount of capital can be challenging. This is because you will be targeting very small profit margins - especially if you're looking to day trade. As such, if leverage is something that you require, be sure to check whether your chosen forex trading platform offers this.

Once again, your limits will be determined by your country of residence - with the UK, Europe, and several other regions capped to The best forex trading platforms give you access to many order types. This will allow you to trade forex online in a risk-averse manner. The best forex brokers offer automated tools. In the case of eToro, this comes in the form of a Copy Trading tool that allows you to mirror the buy and sell orders of an experienced currency investor.

In other words, every time your chosen investor places a forex trade, the exact position will be mirrored in your own account. The key point is that the size of your stake will be proportionate to how much you decide to invest into the eToro trader. As per the above, the Copy Trading tool at eToro allows you to actively buy and sell currencies without you needing to lift a finger.

This is great for newbies or those strapped for time. An additional way to trade forex online in an automated manner is to opt for an EA Expert Advisor. Otherwise referred to as a 'forex robot' the EA is a piece of software that has the ability to trade on your behalf. Unlike the Copy Trading tool at eToro, forex EAs are based on pre-programmed algorithms.

This means that it has the capacity to scan the forex markets 24 hours per day, 7 days per week. In order to benefit from an EA, you need to sign up with a trading platform that supports MT4. Many of the best forex trading platforms discussed on this page offer this.

Then, it's just a case of installing your forex EA into MT4 and activating it. To ensure that you stay had of the game at all times, it's best to choose a forex trading platform that offers alerts. Even better, these alerts should be delivered to your mobile phone in real-time. For example, you might receive a notification if a major forex pair breaches a key residence line. Or, the platform might notify you when a news story breaks that could influence the future price of a currency pair.

Either way, the best forex trading platforms ensure that you never miss out on important fundamental and technical events. If you are just started out as an online forex trader, it's best to choose a platform that can help you improve your knowledge of the industry. For example, eToro offers everything from forex trading guides and videos to weekly webinars.

In the case of research, the best forex trading platforms offer financial news and market insights. This is great for keeping abreast of key market developments and can really help with your trading decision-making process. In terms of technical data, the best forex trading platforms offer advanced chart reading tools. This should include customizable screens, technical indicators, and chart drawing capabilities.

The forex trading industry moves at an alarming pace - with exchange rates changing on a second-by-second basis. As such, you'll want to ensure that your chosen forex trading platform offers a great end-to-end user experience. For example, how easy is it to find your chosen forex market, and are there any difficulties in placing orders?

When we went through the research process ourselves, we found that there is often a huge difference in how user-friendly a forex trading platform is. For example, the likes of eToro and Forex. com are really simple to use - which is the case on the desktop version and mobile app.

However, some platforms - such as TD Ameritrade, are a lot more suited to seasoned forex pros. This is because it TD Ameritrade forex trading facility is packed with advanced functionality tools and features. While this might be great for experienced traders, it might be overwhelming for beginners. We briefly mentioned forex demo accounts earlier on this page -and for good reason. The best forex trading platforms offer demo accounts that mirror real trading conditions. This is great for learning the ropes of a complex forex trading scene - as you can keep practices until you are ready to risk your own money.

Take note, some forex trading platforms put a time limit on your long you can use the demo account facility - such as 30 days. The top forex trading platforms that we came across offer a huge selection of everyday payment methods. This makes the deposit and withdrawal process really simple.

For example, eToro not supports instant deposits in the form of debit and credit cards, but e-wallets, too. However, some of the forex trading platforms that we reviewed only accept bank transfers.

If you are using a platform based in your country of residence, you might still benefit from an instant deposit. But, in a lot of cases, it can take several days for bank transfers to arrive. This means that you can speak with a support agent in real-time without needing to pick up the telephone. At the other end of the spectrum, some of the forex trading platforms we came across only offer support via email.

This means that you might need to wait several hours to get a reply. If you've read through this guide up to this point, you should now know what it takes to find a forex trading platform for your needs.

All that is left to do now is place your first forex trading order. To ensure you know what this entails, we are going to walk you through the setup process is commission-free platform eToro. Even if you want to use eToro to trade via the demo account, you will still need to open an account. This does, however, take just a few minutes. All you need to do is visit the eToro website, click on 'Join Now, and follow the on-screen instructions.

You'll need to provide some personal information, contact details, and your national tax number. As a regulated forex trading platform, eToro is required to verify all new account holders.

Once again, this takes just a couple of minutes at eToro and will require the following two documents:. Once your deposit has been processed, your can search for the forex pair that you wish to trade. In our example, we are looking to trade the Euro EUR against the Swiss franc CHF. As such, we enter 'EURCHF' into the search box and click on the result that pops up. You can also select the exact price that you want your forex trade executed at.

To do this, click on the 'Trade' button at the top right-hand side of the box and select 'Order'. Then, enter your desired entry price. You can also enter stop-loss and take-profit orders by clicking on the respective button and entering your chosen exit price. One of the most important decisions that you need to make when trading forex online is that of the platform you decide to sign up with.

After all, you will be risking your hard-earned money - so you need to ensure the provider is regulated by a reputable body.

You also need to ensure the platform offers your chosen forex trading pairs and allows you to enter positions in a cost-effective manner. After reviewing dozens of providers, we found that the best forex trading platform in the market right now is eToro.

When looking at forex trading fees - you need to consider commissions and spreads. We found that eToro is the best-priced forex trading platform, as the provider charges no commissions and offers tight spreads on most of its FX markets.

If your main priority is having access to heaps of markets - our CMC Markets forex trading platform review found that the provider offers more than pairs.

If you are looking to access the multi-trillion-dollar forex trading market for the first time - you might want to consider using eToro. The popular online platform was built with newbies in mind, making it ideal for those of you with little to no experience. All of the forex trading platforms discussed on this page are safe - as they all hold at least one license with a reputable financial body. Unfortunately, there are also forex trading platforms active in the online space that operate without the regulatory remit to do so.

As such, always tread with caution. Some forex trading platforms make money by charging a commission. Others make money from the spread - which is the gap you see between the buy and sell price of your chosen forex pair. Forex trading platforms can also make money by charging fees related to deposits, withdrawals, overnight funding, and inactivity. eToro allows you to deposit and withdraw funds with Paypal. It also supports Skrill and Neteller. The best forex trading platform for US residents is arguably Forex.

This heavily regulated platform offers over 80 FX pairs - all of which can be traded commission-free. Kane Pepi is a British researcher and writer that specializes in finance, financial crime, and blockchain technology. Now based in Malta, Kane writes for a number of platforms in the online domain.

In particular, Kane is skilled at explaining complex financial subjects in a user-friendly manner. Kane has also written for websites such as MoneyCheck , InsideBitcoins , Blockonomi , Learnbonds , Buyshares and the Malta Association of Compliance Officers. Home » forex. Best Forex Trading Platform — Cheapest Platforms Revealed. Kane Pepi Pro Investor. Updated: 13 July Fact Checked.

In This Guide 1 Top Forex Trading Platforms 2 How to Choose the Best Trading Platform for You 3 How to Start Forex Trading 4 Conclusion 5 eToro - Overall Best Regulated Forex Trading Platform 6 FAQs.

Featured Broker. Visit Site. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Mobile App Rating. FX Pairs. Additional Fees. Rolling fee.

Foreign exchange or Forex markets are extremely risky arenas. The world has seen people who made fortunes within no time. The world has also witnessed people who lost fortunes in the blink of an eye.

That is what Forex markets are all about. Such a risky market demands you to find and work with a top-class forex broker. The best forex brokers and trading platforms ensure a safe trading environment without excessive exposure to risk, state-of-the-art tools, reliable execution of your trades, and affordable prices for their services.

You should keep all those factors in mind when picking a forex broker for yourself. Furthermore, there is a multitude of forex brokers and trading platforms.

Therefore, it is an overwhelming task to find one that suits your requirements. If you are looking for the best forex broker, you are on the right platform at the right time. Also if you want to find the best forex books, we created a dedicated article here.

You can analyze each one of them and then choose one that suits the most to your requirements. IG is the best forex broker and trading platform because of several commendable features.

It is the most trusted, safe, and secure forex trading platform for being regulated by six top-tier regulatory authorities. Advanced trading and research tools, a wide list of tradable instruments, extensive educational content, and competitive prices make IG the leader in the industry.

The most enticing features of IG include:. com has been among the most reliable forex brokers and trading platforms since its inception in It allows trading on more than 80 currency pairs.

Multiple jurisdictions regulate Forex. com including the CFTC in the US and FCA in the UK. It offers various enticing features that make Forex. com one of the best forex trading platforms in the world right now. Forex traders can choose from three different account types — Standard, Commissions, and STP Pro. All account types have different pricing options you can check details on the official website.

However, the average spread is between 1. Pepperstone has become one of the leading forex brokers and trading platforms just after eleven years of inception.

The platform developed, expanded, and became the best trading platform quickly after being launched in Australian Securities and Investment Commission ASIC , Financial Conduct Authority FCA , and sixteen other authorities regulate Pepperstone.

That indicates that this platform is one of the safest and secure forex trading platforms. Pepperstone has the following commendable features. The average spread is 0. Active trader account pricing depends on your monthly trading volume and trading tier. Saxo Capital Markets is an award-winning forex trading platform that gives you access to over 40, instruments.

More than , traders are currently using this remarkable platform. Such a huge customer base indicates the reliability of the Saxo Capital Markets. It offers the following attractive features that attract you like a magnet. Saxo Capital Markets spread for a standard account is 0. You can visit the official website for further details. CMC Markets is another remarkable platform for trading your favorite instruments from across the globe.

The advanced platform technology and exceptional customer support services make it the best choice for serious traders. CMC Markets offers a lot of features that deserve your utmost attention.

Interactive Brokers is among the best forex brokers and trading platforms because of several justifiable reasons. Its wealth of advanced trading tools, remarkable platform, and reasonable pricing make it the most coveted platform for serious traders. Interactive Brokers has the following splendid features in store for you. XTB Online Trading is another one of the best forex brokers and trading platforms. It is one of the most innovative trading platforms that allow you to trade on fifteen hundred plus financial instruments.

XTB Online Trading is a global platform with more than , traders currently using the platform across the globe. XTB Online Trading offers the following remarkable features to transform your trading experience. eToro is one of the safest brokers in this list of the best forex traders and trading platforms. Two tier-1 and one tier-2 jurisdictions regulate this platform. eToro is also a platform that has uniquely combined simple trading and copy-trading on a single platform.

Its other praiseworthy features are;. The average spread cost is 1 pip. The platform also charges withdrawal fees and holding a position for longer than usual.

Start trading forex with eToro now! Plus is another suitable option for forex traders looking for the best forex brokers and trading platforms.

You can protect your profits and limit losses by using the latest Plus trading tools. The plus point of choosing Plus is that you can practice on a free unlimited demo account until you feel ready to go for real trading.

Plus has the following remarkable features. Plus is the best trading platform because it offers almost all major forex trading services free of cost.

However, the platform charges additional fees such as holding positions longer than a day, inactive fees, etc. TD Ameritrade FX is another one of the best forex brokers and trading platforms that grants access to state-of-the-art technology and modern forex trading tools. You can trade with 70 plus trading pairs. The average pips spread of TD Ameritrade FX is 1.

London Capital Group has been in the business for the past 20 years. The group enables you to trade on more than instruments across nine asset classes. London Capital Group is one of the best forex brokers and trading platforms because of its various features. London Capital Group offers competitive pricing with a spread of just 0. There is a multitude of online forex brokers and trading platforms. Each one of them claims to be the best forex broker or the best forex trading platform.

It is true that most of them offer good services. It is a difficult task to pick one that suits you. However, if you follow the following guidelines, it will be easy for you to choose the best forex trading platform you.

Regulatory compliance is paramount for forex brokers. You should make sure that your forex broker is regulated by authorities such as NFA, CFTC, FCA, ISA, etc. You should look for the account requirements such as minimum deposit, deposit and withdrawal methods, and so on.

It helps you analyze whether or not account requirements suit you. Pricing is an important factor that you cannot afford to overlook. Find out how your broker makes money. It is important to find a broker with the most competitive rates. Leveraged trading enables you to trade on a bigger scale than your account balance allows you. Therefore, leverage trading significantly enhances profit margin. All the best forex trading platforms offer a wide variety of currency pairs.

You should check whether the platform of your choice offers currency pairs of your interest or not. An advanced trading platform with the latest fundamental and technical tools is crucial for forex traders. Therefore, a comprehensive analysis of the platform is important before picking a forex trader. You should also consider the level of emphasis on customer support by a forex broker.

Why hope for your trading to work when you can precisely know the performance stat of every pattern? A step by step guide to help beginner and profitable traders have a full overview of all the important skills and what to learn next 😉 to reach profitable trading ASAP.

First Name. Get All Tips for Profitable Trading. Do you want to follow a great video course and deep dive into 26 candlestick patterns and compare their success rates? Then make sure to check this course!

Picking his platform and broker for day trading can be complex. How should you pick the best one? We did the work for In a hurry? We summarized the article for you. The 1 best paper trading tool from our selection is TradingView!

com, our evaluations of online brokers and their products and services are based on our collected quantitative data as well as the qualitative observations and qualified opinions of our expert researchers. com is a sponsor of Arsenal and Plus has been the main sponsor of Atletico Madrid for several years. In practice, for free, you can try the platform without any limits. In other cases, although the platform might hold a license, this might be from a shady offshore financial body. Will you need a trailing stop? Though perhaps better known to US-based forex traders for its stock and exchange-traded funds ETFs offerings, the IBKR Mobile platform also allows US clients to trade options, futures and other non-forex products across over financial markets.

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