How to find a forex broker with an excellent reputation?
Forex is a foreign exchange market that is gaining more and more popularity every year. In today's world, the Internet and access to information are developing rapidly, making it possible to trade while sitting at home, on the road or even in a traffic jam.
The volume of forex trading is growing fast and according to the latest data, amounts to nearly 4 trillion dollars every day, which increases the number of depositors. Attractive conditions are specially created to attract more and more traders to the currency market. Only large companies take part in the market. In fact for this purpose it is necessary to get the license and to have a considerable capital. Physical persons have no opportunity to take part in trading.
Why do I need a broker?
When trading on the financial market, a trader earns money on the difference of sales and purchases of currencies, securities, precious metals, oil, etc. It is not possible for a new participant to start trading on this market, because the necessary amount of the transaction is about 5 million dollars, plus the commission payment is added.
But that's not all, you have to have a computer platform for trading. The volume of participants is growing, and having a large number of individuals on the market would lead a well-established system into chaos, which is wrong at the very least. That's what agents are there for, to handle situations. Brokers are involved in transactions both on their own behalf and on behalf of individuals.
There are as many brokers as there are tempting offers from them when registering. Some, for example, at registration and depositing add up to 100% to your account. Others allocate a certain amount of real money, on which you can trade. They also organise competitions and promotions specifically for you to receive additional funding from the broker into your account. All this is done so that you can bet, as they have direct income from it.
In any case, before you choose which broker to work with and to whom to entrust your capital and desired earnings, install the program for testing and register a demo account. Determine for yourself a convenient time when you will take part in trading, and find out whether the working hours of this broker coincide. Next, test the software in detail, how quickly you will respond to applications in trading and assess the online support in action. The choice of who you work with is very important, because it is the support you need to ask questions and make direct money.
After working on a demo account, testing is not over. You need to open a real account, put down the minimum deposit and trade on the platform with real money and in real time. It often happens that the demo is faster than the live account.
A company can provide a trader with funds, increasing their financial income. A large number of brokers provide forex forecasts, which can be relied upon for buying and selling currencies. This information is made available throughout the trading session.
How to choose a reliable broker
There are basic criteria for selecting a broker, these are experience, favorable terms for trading, prompt work of the company's team, and its technical support, work of the platforms in the network, legality of the broker.
The first thing worth considering is trading conditions. After all, if there is one thing that does not suit a trader, there is no point in analyzing the broker further. Requests for opening and closing orders should be received and processed very quickly in order to minimize your losses. Processing of an order, by standard, should not exceed 4 seconds. If a broker assures you that they work for free, you should not trust them. They make a profit on commissions for each of your trades, but there are pitfalls.
Before you choose any broker, check if they are legitimate. There must be licensing and registration documents, which show the legal address, availability of an office, and documents authorising the operation. Find out how to contact the management of the brokerage company. Find out which banking institutions the broker works with and how to deposit and withdraw funds. Make sure that the banks the broker cooperates with are large, then this is another big plus to have confidence in the company you have chosen.
Brokers with impressive experience inspire confidence in traders. The most reliable way to analyze the performance of the chosen broker is to check it yourself while trading, rather than trusting dubious reviews. A trader can only get and check the whole list of services provided if he opens an account and trades. Reliable and stable companies are calm about the trader's doubts and create all conditions to dispel them and start a long and high-quality cooperation.