Select the best forex broker online
So let’s talk about the first problem: what kind of forex agent do you need and what is out there?
You’ve probably heard of the term Cube Stores. If you can, you should avoid them, but this is not always possible. You may not have enough capital to negotiate with broker who are directly involved in the interbank market. Keep in mind that in most cases $ 20k is required to open an account. This does not mean that you should not invest, but keep in mind that they will act against you. So you win if you lose.
The next type are the book designers. You will only win with the difference (the difference in buying and selling price), so it does not matter if you win or lose. Maybe a better option than the bucket store.
Then there are the manufacturers of retail markets. A much more useful option. Once again, although they do not always have a direct link to the interbank market. But they will not act against you.
Finally, there are institutional market makers and institutional foreign exchange. Both, with which you probably will not negotiate. You need significant amounts to create an account.
From most brokers I would recommend Etoro for beginners and professionals. In fact, they offer some exceptional business tools that give you a real edge, such as the Copy Merchant feature. This tool allows you to literally copy traders from other traders and provides you with the information you need about this trader.
Which accounts are there? With the introduction of “Micro-Lots” you can already work from $ 100. However, your agent needs a high-lever account to work that way. The spread will be greater. Then there are $ 500 – $ 20000 standard accounts. They get a much better distribution and may have a lower leveraged account.
Which trading platform do you use? Most use Metatrader 4, but there are other types as well. In my experience, Metatrader 4 is the best platform for free trading because it is very intuitive to use.
What are your prices? Most require a commission per transaction of about 0.5 pips to 8-9 pips. When looking for brokers, compare the spread odds to get the best deal.
Are you reliable? This requires more research for you. Take a look at the course. See what people say about a broker. Be careful because, like trading, most people lose money and blame brokers for things that are not quite right.