How to Choose a Good Forex Broker for Your Trading Needs
Why Choosing the Right FX Broker Is Important
Trading the financial markets when conditions are volatile can be difficult, even for experienced traders. DailyFX – a world-leading news and analysis website – provides free analysis into the economic, political, and technical factors driving markets, helping traders find opportunity.
Apart from the educational and other resources made available through DailyFX, another important factor for traders to consider is the platform that a broker offers.
Choosing a reliable and trustworthy forex broker that meets your needs and specific trading goals is essential, but in such a highly competitive market, how do you make the best decision?
In its recent awards,FX Week named IG the best retail trading platform for 2019 at the FX Week e-FX awards,IG launched its new US-based Forex Brokerage business earlier this year, adding to its stable of regulated operations spanning across five continents supported by a team of over 1500 staff members.
Although IG has had existing operations in the US through subsidiaries such as DailyFX and Nadex, being able to offer US citizens an opportunity to use the IG platform to trade FX is a huge milestone for the company. With over 40 years’ experience in the industry, IG is a regulated broker which offers competitive spreads, 24-hour support and is also publicly listed. These are some of the reasons that IG has also won the title of Best Broker for Forex Trading awarded by Investopedia recently.
To gain access to the financial markets, you’ll need a broker that you can rely on. Read on to learn more about the factors you should consider when choosing a broker.
5 Factors to Consider when Choosing a Broker
Follow these five rules for selecting a broker that’s right for you:
- Trusted/Established Provider
Look for a broker that has a good track record/longevity in the market so that your strategy is your primary concern for navigating the markets.
IG was established in 1974 and is one of the largest leverage trading providers. They are a regulated broker with a strong global presence and a solid reputation for being transparent and for always putting clients first.The company is publicly traded and is a UK FTSE 250 member, with a market capitalization in excess of GBP 3.1 billion.
Choose a broker that’s at the forefront of innovation and generally considered an industry-leader.
IG offers both an online trading platform as well as a mobile platform giving clients easy access to markets. In addition, IG supports the popular third-party trading platform, MetaTrader 4(MT4)enabling access to a variety of markets worldwide that can be traded with the assistance of expert advisors or a customizable automatic trading strategy. IG is a world-leader when it comes to innovation and they are always looking at ways to improve and to maintain their competitive advantage.
- Commissions and fees
Ensure that your broker is transparent with fees and thosedues are competitive. IG offers competitive spreads for Forex trading with an average of 0.9 pips for EUR/USD and a margin requirement ranging between 2 – 5% depending on the pair traded.
- Round-the-clock support
Get the support you need, when you need it. IG offers 24-hour support where clients are able to call or contact the helpdesk via email, twitter or a chat service.
- Comprehensive Trader resources
Make sure your broker offers free resources like analysis, education and risk-management tools. With a wealth of knowledge from top analysts, IG and DailyFX work together to bring the latest news and insights to traders. The analysts at DailyFX offer expert assessment on current conditions in addition to educational resources, including webinars, online courses and interactive quizzes.
For most traders, the first – and sometimes only – concern is pursuing their ‘edge’. While that is surely important, along with sound money management habits, to navigating the markets; that step alone does not represent the full preparation.
As each trader dives into this important venture, it is important not to forget the most rudimentary yet crucial steps such as selecting the best broker to access the markets.
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.