Forex trading is now the largest trade in the market that runs 24 hours every day making it absolutely liquid! This trade is also one of the most popular and lucrative ones. That’s why it’s no surprise this attracts all sorts of traders!
So whether you’re new or have been in the trade for a while now, you can’t say you never heard about this trade. The credit for it being so famous can’t only be because of how profitable it is, it’s also because this trade deals with one of the most relevant things in the world: MONEY.
But just like any other trade, Forex trading also shares one thing in common with the rest – its volatility. So to be able to profit well in this trade you need to set your cards out right – have good knowledge about trade and its markets, have a stable strategy and choose a reliable broker.
Everything you choose at the start of your trading career can affect the outcome of your profits, that’s why it’s crucial to make the best decisions before wagering your money. So to help you out the best way we can, below is a list of the best forex brokers:
This is an Australian-based platform that was founded back in 2010. It’s one of the leading brokers in Forex trading and CFD trading. It’s regulated by ASIC, FCA, SCB, DFSA, CMA, CySEC and BaFIN, so you can count on this brokerage to be credible. Another notable thing about them is that they also carry MetaTrader 4 & 5, cTrader and TradingView.
What are the pros and cons of Pepperstone?
To get better acquainted with Pepperstone you need to know its advantages and disadvantages. So check them out below!
- It offers low costs on spreads.
- Has competitive trading conditions.
- Offers quality trading tools, platforms and technology solutions.
- It is strongly regulated.
- Carries a wide scope of trading platforms to choose from.
- Is reputable and credible.
- It is globally expanded and is available in Australia. Europe, Asia, MENA and Africa regions.
- Offers educational material.
- Offers an array of base currencies. (AUS, USD, HKD, SGD, NZD, JPY, EUR, GBP and CHF)
- It doesn’t offer 24/7 support.
- The only markets it supports are Forex and CFDs.
- Free demo accounts are only valid for 30 days.
- Upon entry, conditions may vary.
- Its minimum deposit is a whopping $200.
Another Australian-based broker to consider is FP Markets. This was founded back in 2005 and is now a renowned broker along with many awards. This suits traders with all levels of experience but is exceptionally ideal for beginners since they’re rich in educational resources and materials. It’s also regulated by ASIC, St. Vincent, CYSEC, FSP and Grenadine. Plus this carries platforms like IRESS, MetaTrader 4 & 5.
What are the pros and cons of FP Markets?
To better know if this brokerage is for you or not, here’s a list of its advantages and disadvantages to consider:
FP Markets’ pros:
- It is strongly regulated.
- Offers tight spreads. (0.0 pips)
- Suitable for all sorts of traders with different levels of experience.
- Has various industry awards with high rankings.
- Has low deposit requirements. ($100)
- Significant trade tools and an ECN environment.
- Offers quality educational resources and material.
- Has around 10 available base currencies.
- Offer 24/7 support.
FP Markets’ cons:
- Upon entry, conditions may vary.
- Some added fees when withdrawing.
- Spreads on stocks can be pricey.
Founded in 2010, HFM is a multi-asset Forex broker located in Cyprus. This brokerage used to be known as HotForex. This supports platforms such as MetaTrader 4 and 5 and its FHM trading App. This is regulated by CySEC, FCA, FSCA, FSA, CMA and DFSA. In the list, this broker has the lowest minimum deposit of $5! Plus they also offer great educational resources.
What are the pros and cons of HF Markets?
Know if this broker is for you or not by knowing its fair share of advantages and disadvantages. Check them out below!
HF Markets’ pros:
- Offers low fees.
- The initial deposit is low. ($5)
- It has multiple awards.
- Is well-regulated.
- Offer great technology.
- As one of the best scopes in commodities and forex markets.
- Low cost on spreads. (1 pip)
HF Markets’ cons:
- Only offers CFD and Forex products.
- Doesn’t offer 24/7 support.
- Offshore offerings are made internationally.
How do I know if my forex broker is legit?
It’s crucial to work with a broker that’s legit since today online scamming has become a huge problem investors face. But picking out a forex broker that’s legitimate and credible isn’t as hard as you think. Although there are certain things you need to consider checking, the process of verifying isn’t as tedious as you think.
What you can do to check the legitimacy of a broker:
- Check the company’s registration status, business history, and disciplinary record by contacting the CFTC.
- Consider asking other clients about the brokerage firm and their personal opinion of their experience.
- Ask what your obligations are if you decide to join.
- Ask them to provide a written risk disclosure statement.
- Double-check the information they put out on their website.
Red flags to “keep a lookout” in forex brokerages:
- Getting essential information about the company/contact person is difficult.
- Brokerages that advise you to trade on the interbank market.
- Rushes you to transfer money via mail, the internet and so on.
- Makes unrealistic promises. (ex. There is no bear market in forex trading)
- Offering you something you desire but cannot have while teasing the possibility of financial success.
- Try to convince you to join by mentioning known traders that have already invested with them.
- They are asserting a limited quantity in order to convey a false feeling of urgency.
Now you know the top 3 best forex brokers for beginners, you can now make a more accurate choice of who you want to stick with throughout your forex trading career. Each of these brokerages has its own set of features, perks, processes and prices, so it’s up to you to decide which one suits you best!
And use your new-found knowledge in legitimacy checking to good use and test out brokers you feel iffy with! Remember it’s better to be safe than sorry, so use the information above when you decide to do some verifying.