Both newbies and Forex professionals want to enlarge their earnings, that's why everyone tries to choose a reliable broker to trade with. But how can we find a really trustworthy one?
Team of JustForex broker is going to share some useful tips on choosing a right company for profitable working on the market. We are willing to help you no matter whether you will stay with us, or choose some other broker.
Of course, an unregulated company can hardly be honest. Everything would be chaotic if the Forex market had no rules. That's why a license and regulations are very important. Following that rules doesn't allow a broker to cheat its traders.
There are different types of regulatory bodies: strict (like FCA, CFTC), and more loyal ones (like IFCS, CySec). It's up to you to choose the one you need. The first group will be suitable for traders who prefer calm working with a small leverage. If you want to have more freedom, take part in actions and get bonuses, choose the second category.
Check out if a broker gives enough information about its work in general. How many traders have already joined this company? What is its business model? Does it have a real ECN?
You can find this information on every company's website. Just read it carefully and ask the support for more info, if you are interested in something particular.
3. Account details and trading conditions
We don't need to clear this point to the professional traders with a great experience, but still, it's useful for beginners.
So, what is essential?
- The initial deposit. How much money should you have for the start?
- The margin and leverage. What about leveraging your trades? Look at how much money you need not to face a margin call.
- Spreads and commissions. Too high or too low spreads and fees can tell us about a not very honest broker.
- Available currency pairs. How many pairs does a broker offer? Think of what ones you want to trade and check which of them are present in a broker's list.
- The execution. Fast market execution is what you need. Its quality depends on the power of servers used by a company.
4. Trading platform
It's some kind of a trader's portal into the Forex market. So, it has to be secure, efficient and comfortable. Easy to understand interface, clear 'Buy' and 'Sell' options, analysis tools, as well as visually pleasing view are worth paying attention.
MetaTrader 4, MetaTrader 5 and NinjaTrader are the most convenient platforms for the everyday work.
5. The customer support
If broker's support answers your questions slowly or doesn't respond at all, don't pay attention to such brokers. You will hardly get some help from them in the difficult situation.
A bonus tip for you: We recommend using demo and cent accounts for testing a broker. Cent accounts are even better option, cause they give you an opportunity to work with real money. But it is practically the same safe as demo trading. You can test it here.