Choosing your Forex Broker – we have now made it easy for you to choose your first broker

Use our professional service to select a reliable Forex broker to choose the best company for your needs

The Most Important Factors for choosing the Best Forex Broker

The following terms are useful for all beginner traders to know when choosing a Forex broker. They are also important to know when learning the important in getting to know the basics of Forex Trading:

Reliability.

is the most important factor to look for in a broker. It is the broker's experience on the exchange, license availability, its reputation among other traders most important. Ensure to read customer reviews.

Commission amount.

You should learn about the number of swaps and spreads, as it is the broker's earnings.

Orders execution speed.

It’s an important for the broker to show how quickly your trading in the market will close.

Amount of the initial deposit.

Different Forex brokers on the exchange have different conditions to open an account. When starting as a beginner choose a broker that accepts the smallest minimum deposit.

Capitalization of a Forex broker.

Ensure that your broker is stable. A stable broker will be able to pay out its traders in all circumstances.

Tips For Selecting A Good Forex Broker

  • Spread amount.

    It is important to understand whether a company offers a fixed or a floating spread, this can seriously vary with significant market changes;
  • Features of money replenishment and withdrawal.

    You will want to know what options your broker offers for deposits and withdrawals of funds;
  • Additional restrictions.

    Some brokerage companies set limits on the minimum amount of funds on deposit and the number of trades;
  • Cooperation agreement.

    It is necessary to learn the dispute resolution mechanism written in the contract before signing it with a broker;
  • Company history.

    It is important to find out all other information about the broker: when it started working, when the license was issued, where it is registered, what the amount of capital is, what customers say about it. The more you know the better your chance of success.

How to Identify And Avoid Forex Scams

When choosing a Forex broker, it is important to be aware that fraudulent brokers do exist. The so-called "bucket shop" or the company "without an address". In order to help you figure out the difference between a twisting brokerage company and a reliable one, we have listed the difference between reliable and dishonest brokerage company:
Reliable Brokerage company
Frauds

The information about the company indicates all the pros and cons; the broker works with both beginner and experienced traders

Prefer to work with beginner traders, and target their promotional materials at beginners

Commissions and spreads are clearly indicated

Hidden commissions and payments

No slippage or malfunction

Problems with active scalping, servers “freeze”, frequent slippage

Customer service responds quickly, the consultants are well-qualified

Customer service doesn’t respond, it is impossible to solve the problem quickly.

Funds withdrawal is carried out promptly

Customers feedback on problems with the earned funds withdrawal

A company with a long history, large capitalization, a license and a huge number of positive reviews

The company was created recently, the origin and the amount of the authorized capital is not known, the license is not published, customer reviews are negative, or the reviews are positive, but they are written as if “carbon copy”

The main advantages for traders working though Traders Unions:

Benefits for Traders
Additional payments as part of the spread daily and monthly;
Support in resolving disputes arising with brokers with the help of Traders Unions lawyers;
Competent and efficient customer service;
Direct payment of earned funds to trading accounts;
Providing relevant market analytics from leading experts.

About the Author of this Article

Jack Moore
Jack Moore,
Financial Analyst, Trader
  • Jack has been engaged in trading and forecasting in the Forex market for more than 9 years. During this time, he’s gone from a novice to an expert in stock and financial markets. Jack consults well-known brokerage companies and he also helps private clients to choose a broker.
  • In 2013 he commenced at System Capital Group (trading stocks and currencies online using investments of companies and individuals). He held this position for 5 years.
  • Jack Moore advises all traders to work with brokers through Traders Unions. Throughout his professional career he is proud to receive excellent recommendations from numerous clients who have been satisfied with the advice that he has provided.

FAQs About Choosing a Broker

1

How to choose a reliable Forex Broker?

When choosing a broker, reliability will be based on the history of the company, license availability, the amount of capital, the minimum deposit amount, the amount of the spread, payment systems, as well as whether there are commissions for withdrawing money and commissions for trading.
2

Which category is most important to take into consideration when choosing my first brokerage company?

It is preferable for a trader to choose the brokerage company that offers the smallest minimum deposit of $1 or $10. The next category to consider are the brokers who provide demo accounts and cent accounts. And then consider the category of brokers who conduct training for traders.
3

How to open an account with a Forex broker?

To open an account, select appropriate categories to meet your requirements, then choose a broker from the corresponding list, go to its official website and register on its website through Traders Union.
4

How do I trade in Forex and be legally protected?

After opening an account with a broker through Traders Union, you are provided with free legal assistance from the Union. Through the Traders Union, you can request a free consultation on matters of concern from Traders Union consultants.