The best Forex brokers for beginners all offer three key benefits to newcomers. First, they’re a trusted and regulated brand that provides a user-friendly online platform. Second, they offer a robust range of helpful educational tools. And third, they have an established reputation in the FX market. By comparing the offerings of the top 8 forex brokers in south Africa, these are the three areas where you should focus to get the best deal on the money.
Education. When we say “quality market research” what we mean is unbiased, real-time information from the experts. When comparing the best forex brokers, you’ll be able to find information that’s not spun by a marketing department. You’ll also be able to learn about the types of trades being offered, the entry and exit prices, as well as average gains and losses over time. These are fundamental pieces of information that the platforms cannot provide.
Minimum deposit requirements. As a new trader, you need to know whether you will be required to open a brokerage account. Some forex brokers require minimal initial deposits, but some will require a full account minimum. Your choice should depend on your current financial situation. If you have the means to pay a higher minimum deposit or to pay an increased account minimum after you have been trading for a while, then you should go with the broker who charges the least fees.
Experience. This one might seem obvious, but it’s surprising how many beginning traders don’t know how much experience the foreign exchange brokers have. Foreign exchange is a competitive arena, and experienced traders can find smaller, less stable forex brokers to work with than with larger, more established firms. A good foreign exchange broker should let their clients know how long they’ve been trading, and what types of trades they’re capable of making.
Low costs. There are many brokers that charge very high fees in order to provide FX services. However, you may not be able to find a forex broker that has low costs. You will have to weigh your options, but you may want to consider working with an experienced broker who has low costs.
Variety. You want to work with forex brokers who offer a wide range of services. Many brokers only offer a handful of different currency pairs, while others offer a huge array. You need to make sure that you are getting a variety of services, including services that many other traders are also missing out on.
Education and mentoring. You’ll find that the best forex trading platforms are not always provided through major banks or investment firms. Often times, you’ll find that smaller banks and brokerage houses are the most popular places for beginners to learn about forex. You want to make sure that the broker you work with is willing to mentor you, teach you about the markets, and provide you with the tools you need to be successful. A reputable broker will do all of these things.
Platforms. Every forex broker offer several different platforms to their clients. These platforms can be beneficial because they give you the ability to trade on multiple exchanges without being stuck on one. However, some traders prefer to use their own proprietary trading platform, which can be more difficult to learn and more expensive to use in the long run. Either way, it’s important to work with a platform that you’re comfortable with.
Trading Education and Training. The best forex broker provides a number of training courses and educational videos for traders. Usually, these courses are designed by well-respected experts in the field and they are hosted on the company’s website. They will provide you with everything you need to know to become a successful trader including live streaming videos, paid education via email, and personal support from experts.
Online Trading Experience. When working with an online brokerage, one of your priorities should be to work with a company that you feel comfortable with. After all, trading can be risky business, and you want to make sure you’re working with a company that will help you increase your success rate. A good online brokerage will allow you to trade with small amounts on their platform without the need to place a large amount of money at risk. Additionally, forex traders often like to have access to forex practice accounts to test out their strategies before placing any real funds at stake.
Customer Support. It goes without saying that a good online forex broker offers good customer support. You’ll want to be able to chat with a customer service representative during any time you need to discuss any problems that you may be experiencing, or any questions that you have regarding your trading strategy, etc.
When you first decide to become involved in forex trading, you will be happy to find that there are numerous Forex brokers to choose from. There will also be a wide range of different types of accounts. In this article, we will explore some of the benefits that you can gain by dealing with a specific type of Forex broker. Many people choose to work with a Forex broker through a platform such as Metatrader. However, there are many other types of brokers available, and we have listed some of the most common below.
The most popular Forex broker is regulated forex brokers. These are the brokers, who are regulated by the Commodity futures Trading Commission (CFTC). The CFTC works to help prevent manipulation of the foreign exchange market. This type of broker is required to have a minimum margin requirement. The minimum margin requirement will be based on the value of your account. Once you have reached your minimum balance, your account will be closed.
Interesting Related Article: “Beginners Guide To Trading Forex“