FxBrokerReviews.org – The forex market, which trades all major international currencies and is open twenty-four hours a day, seven days a week, is the biggest and most liquid market in the world.
You require a trustworthy online broker to trade FX. Trading in the foreign exchange market with a reputable forex broker is essential for success. As a forex trader or contract for difference (CFD) trader, you can have certain requirements for the platform, trading tools, or research requirements you need. Which forex broker is right for you may be determined by learning more about your needs and investment style.
Also read: A Complete Guide on CFD Trading: What Are The Best CFD Trading Platforms?
How to choose the best forex broker?
Here are the top three things to consider when picking an online broker for FX trading.
- Initially, confirm that your broker is duly licenced and regulated. Your deposit’s security is always put first.
- Compare each broker’s account offers, trading platforms, resources, and investing research after that.
- To determine what is most crucial for your forex trading and investing needs, read thorough evaluations of several forex brokers to compare pricing and product offerings (such as the number of FX pairs and CFDs available for trading).
How to find out whether your forex broker is regulated?
To prevent forex fraud, it is essential to select a well-known, legally licenced broker. Determine the registration number from the disclosure language at the foot of the broker’s website to determine whether your forex broker is regulated. To verify the registration number, search for the company next on the regulator’s website. Investigate more if the broker is not governed in your nation.
Also read: A Complete Guide About The Most Complete FCA Regulated Brokers List in 2022
Wondering about the difference between the dealing desk and an agency broker?
The opposing side of a client’s trades will be represented by a forex broker who is acting as a dealer, also known as a dealing desk. When a forex broker routes a client’s trade to another dealer, they are functioning as an agent (agency broker) if they are not on the opposite side of the trade.
Hybrid desks are another option; they may function as both an agency and a trading desk. Last but not least, matched principals are traders who instantly hedge their bets to avert any possible conflict of interest.
How to calculate forex trading costs?
The spread and any round-turn costs make up the total cost to execute (open or close) a trade in forex and CFDs. Additionally, there may be overnight borrowing fees, or “carrying expenses,” which might result in a net loss or gain (refund). Focus on trading the biggest currency pairs, such as EUR/USD, which provide the highest liquidity and consequently the narrowest spreads, to reduce trading expenses (lowest costs).
Best Forex Trading Brokers for long-term trading in 2022
CMC MARKETS
Established, publicly listed, and well-respected U.K. forex broker CMC Markets (CMC), formed in 1989, has effectively adapted to the rapidly evolving internet brokerage market. Under the ticker name CMCX, the corporation is traded on the London Stock Exchange (LSE). CMC does not welcome American traders, like many other forex brokers.
From the inexperienced retail trader hoping to dabble in the online trading markets for forex, CFDs, and spread betting to the seasoned pro seeking exposure to a wide range of products, CMC Markets is for all sorts of traders. The company has reasonable pricing for the sector and is ranked well on a number of our lists.
Pros
- A broad range of products and services.
- Governed by the FCA (U.K.).
- Emphasis on customer service and education.
- Leading-edge research facilities are available.
- Provides customer account protection.
Cons
- Refuses to take on American customers.
- Differences between MT4 and the Next Generation.
- For some indices, there are large CFD spreads.
- No automated trading or back-testing options.
LONDON CAPITAL GROUP
Since its founding in 1996, London Capital Group (LCG) has maintained its position in the fiercely competitive online brokerage market. The company’s most recent rebranding initiative, LCG Trader, was introduced in 2016. This includes LCG’s whole online product offering to the user, together with the popular MT4 (downloadable) platform and a useful mobile application. A wide range of CFDs and spread betting products from many asset classes are accessible through LCG. LCG prohibits American traders, like the majority of the other companies on this list.
LCG, one of the top forex brokers with headquarters in the UK, provides a broad selection of asset classes and a smooth trading environment. The company’s rates are reasonable compared to others in the field, and we give them top marks for customer support. With these favourable qualities and an apparent concentration on practical simplicity, LCG is a good option for new traders.
Pros
- Client service is the focus.
- Governed by the FCA (U.K.).
- Provides customer account protection.
- Available account and trading incentives.
Cons
- Inadequate website upkeep.
- Refuses to take on American customers.
- Differences between MT4 and LCG Trade.
- No automated trading or back-testing options.
SAXO CAPITAL
Saxo Bank Group, a 1992 founding member of the Danish banking industry, describes itself as “a leading Fintech expert concentrating on multi-asset trading and investing and offering ‘Banking-as-a-Service’ to wholesale clients.” In 1998, the firm took advantage of the technical breakthroughs of the late 1990s by introducing one of the earliest online trading platforms. Like many forex brokers, Saxo Bank does not allow American traders despite operating in the UK since 2006 through its subsidiary Saxo Capital Markets U.K. Ltd (SCML).
For experienced traders, there is Saxo Capital Markets. It provides a huge selection of brokerage services aimed at knowledgeable active traders, investors, professionals, and institutions. Smaller account holders will face several peculiar challenges, such as higher account minimums, a range of fees, and fewer alternatives for customer service. Tiered accounts reduce trading expenses and provide rewards as equity increases, but most retail traders will struggle to reach the top customer levels.
Pros
- A wide variety of options.
- Governed by the FCA (U.K.).
- The top research in the field.
- The excellent user interface
- Provides customer account protection.
Cons
- Lack of priority given to client service.
- Instrument fee schemes that are unclear.
- Refuses to take on American customers.
- No MT4.
XTB ONLINE TRADING
To comply with new Polish legislation, X-Trade, which was established in 2002 as Poland’s first leveraged foreign exchange brokerage company, changed its name to X-Trade Brokers in 2004. In 2009, it underwent a rebranding to become XTB Online Trading (XTB), and in 2016, it debuted on the Warsaw Stock Exchange under the ticker code “XTB.” U.S. traders are not accepted by the company.
XTB is a good option for traders who wish to cut their expenses, whether it’s the cost of placing a trade itself (the bid/ask spread) or not having to pay extra expenses like wire fees. For non-U.K. accounts, XTB offers maximum leverage of up to 500:1, while U.K. accounts receive leverage of up to 30:1.
Pros
- Minimal FX spreads.
- Governed by the FCA (U.K.).
- Provides account protection for clients.
- Places a focus on client service.
Cons
- Refuses to take on American customers.
- The costs of non-FX spreads are considerable.
- There is no assured stop loss.
- There are no automatic trading features.
Also read: XTB Broker Review 2022
IG
The world’s first spread betting company, IG Group (IG), was established in 1974 by Stuart Wheeler and is a division of IG Group Holdings Plc, a publicly listed corporation (LSE: IGG) that “enables knowledgeable, proactive, and intrepid people to tap opportunities in the financial markets.” IG, unlike the majority of brokers on our list, does allow U.S. forex traders and has done so since the business re-entered the U.S. market in early 2019.
IG is available to everyone who wants to trade CFDs globally. It’s for customers who wish to trade the foreign currency markets in the United States. That’s all there is to it. IG has chosen to follow the time-honoured adage, “go big or go home,” since, well, it can properly deliver on this. This broker is well-suited to compete in the online forex broker industry because of its low spread costs, accents on customer service and education, actionable research, and practical user interfaces.
Pros
- A wide variety of options.
- Takes on U.S. customers.
- Governed by the NFA, CFTC, and FCA (U.K.) (U.S.).
- Emphasis on research and education.
- Offers security for customer accounts in the UK and the EU.
Cons
- For US clients, there is no account protection.
- For American clients, there are no stop loss guarantees.
- No integration of copy trading or back-testing on the IG platform.
- Exorbitant share-CFD fees.
NAGA
The business was founded in accordance with Cypriot law and European regulations, giving it access to trade in stocks, cryptocurrencies, and virtual items that support all significant worldwide markets.
By decentralising financial technology and giving everyone access to the greatest market tools, the business hopes to revolutionise the world.Financial inclusion for everybody is NAGA‘s only goal. Everyone may use it to access financial markets, cryptocurrencies, and virtual products as well as store, trade, and invest in them. To grow and widen its product network, the organisation always sets new objectives and challenges.
Being a FinTech firm, it offers excellent software that will satisfy even the pickiest customers, along with online support, news streaming, and in-depth analytical functions.
Pros
- Broker with strong deposit security that is well-regulated.
- No deposit charges.
- Outstanding client service.
Cons
- Payment of withdrawal costs.
- Broad spreads.
Also read: How secure is the NAGA trading platform?
PEPPERSTONE
The Australia-based Pepperstone Group has established itself as a leading force in the online brokerage market since it first opened its doors in 2010. It has created a highly competitive and feature-rich trading portal that focuses on forex, shares, indices, metals, commodities, and even cryptocurrencies.
Pepperstone provides straightforward market access, allowing customers to concentrate on the challenging process of trying to trade the markets profitably. For traders who seek a manageable selection of affordable goods, several options for user interfaces and account types, and effective customer assistance, Pepperstone is the best option.
Pros
- Minimal FX spreads.
- Governed by the FCA (U.K.).
- Provides security for customer accounts in the U.K.
- Variety of platform options.
Cons
- Inadequate website upkeep.
- Refuses to take on American customers.
- Limited account protection for customers outside of the UK and EU.
Also read: Pepperstone Broker Review 2022
INTERACTIVE BROKERS
A well-known multi-asset broker with a wide selection of tradeable international marketplaces is Interactive Brokers. Along with a cutting-edge, institutional-grade trading platform suite, it offers low pricing, top-notch research, and education.
Professional traders will appreciate its extensive order type setups and powerful trading tools, but beginners may find these capabilities overwhelming as MetaTrader is not an alternative platform choice.
Pros
- Robust platform for traders with experience.
- Several international markets.
- Giving thorough research.
Cons
- The Trader Workstation (TWS) desktop platform from Interactive Brokers is wonderful for experts, but it’s probably too sophisticated for novice traders.
- There isn’t a platform alternative available other than MetaTrader.
FOREX.COM
For forex and CFD traders throughout the world, FOREX.com is a reputable brand that offers a first-rate trading experience. Along with restricted access to MetaTrader, it delivers a diverse selection of markets and an outstanding array of custom platforms
Forex traders of all levels will be drawn to FOREX.com’s multi-asset offering, even if it is not a bargain broker until you trade greater quantities.
Pros
- Several top-notch platforms.
- Fantastic market research
- Many different markets.
Cons
- On non-MetaTrader platforms, there are approximately 4,500 instruments accessible, whereas there are only roughly 600 on the MT5 platform.
TD AMERITRADE
The think or swim platform from TD Ameritrade features a wide range of amazing tools, research, and education along with more than 70 tradeable currency pairings. The best trading technology is available to American traders through TD Ameritrade.
Pros
- Excellent platform on thinkorswim.
- Giving thorough research.
- Excellent resources for schooling.
Cons
- Offers no copy trading.
- The cost of forex is a little more than usual for the sector.
Final Words
The most trusted brokers are likewise trustworthy. Your choice of broker will determine its reliability, which varies amongst brokers. You must be confident in your broker’s ability to protect the funds in your brokerage account.
A broker’s dependability may also be determined by other variables, such as whether it has sufficient financial operating capital, how long it has been in business, and if it has the necessary regulatory licences in the nations where it conducts business to assist assure compliance with local laws.
If you are confused about choosing a broker to trade forex you may choose one among the above mentioned list like CMC, NAGA etc.
HAVE A SAFE AND SECURED TRADING!!!
