Hello traders, are you profit today ??
well, after last day we disscused about online forex brokers and Type of online forex brokers
now, we start discussed about : How To Choose An online forex brokers
let’s start. With so many types of online forex brokers, we as traders must choose which one? Well, for that, there are some things that ought to be traced. What’s it?
1. The Status of the Regulation
Regulatory status of an online forex brokers often synchronised with the security of your funds in the brokerage. As such, then the online forex brokers with the regulation of the elite class as mentioned in the previous section is a broker with the highest prestige, overtaken by the broker with the regulation of the middle class, the regulation of offshore, then the broker not regulated. However, actually each there are advantages and drawbacks.
Getting good quality regulation of an online forex brokers, then the more elaborate process of registration, deposit, and withdrawal. For registration in the United States broker or brokers who connect with the European bank and Dukascopy Varengold as, for example, during registration can be requested also the various files that must be sent via postal mail to their Office. This is far different from the registration process to the regulatory offshore broker or the regulation of the middle class can be done completely online and can be completed in just minutes. For this reason, so many traders choose online forex brokers with mediocre rather than regulation regulation class elite or broker is not regulated.
If you are interested to invest in a number of the tens of thousands to hundreds of thousands of dollars, then it would be better to sign up for an good regulated online forex brokers . But if you only want to invest in small-medium, then a broker with a medium-level regulation could be more practical.
2. Transaction costs
No matter you will sign up to the online forex brokers, there will be a transaction fee charged on your forex transactions. In general there are two types of transaction costs: spreads and commissions. an online forex brokers can charge the Commission only, spread, or even both.
Spread is usually a few pips added to the bid/ask price prevailing at the time buy/sell do. Whereas the Commission is usually calculated in the amount of us dollars per lot traded. Commission spreads and quantities in each broker varies, so you can customize it with your trading style.
3. Deposit and Withdrawal Methods
A good online forex brokers will allow You to deposit and withdraw funds easily and as quickly as possible.
In General, there are four types of deposit and withdrawal methods of online forex brokers, namely through bank transfer, credit/debit cards, e-payment, and third parties. Bank transfer if it can run through local banks, it will be very easy; but when you have to bank wire to a foreign country, then could take days and any pieces of his bank. Next alternative, using credit/debit cards can be instant, but pieces of his bank would be great.
The Favorites option at the moment is with e-Payment such as PayPal, WebMoney, Neteller, Fasapay, and the like. This way tend to be frowned upon because all transactions can be done online, quickly, and with a relatively lower cost. In addition there are also transfers through third parties such as local exchanger, where the cost of the transfer could be zero and in terms of the speed of any superior. However, both the latter option is often doubtful safety.
4. Trading Platform
In online forex trading, the most important is the trading platform. Therefore, you should ensure that the trading platform can facilitate your trading style, easy to wear, and has the features you need.
One of the most popular trading platform in the world is Metatrader4 (MT4), in addition to charting features and because technical indicators fully, this platform also allows the use of VPS and trading robots easily. But in addition to these platforms as well as many other platform variations, such as cTrader, SIRIX, and others that could be specifically made by the forex broker related.
Due to the manifold a lot, then it’s good you tried used to trade on demo account on the trading platform provided the online forex brokers before committed in the form of large investment funds.
5. Execution Price
online forex brokers should allow traders to Transact on the price in accordance with market prices in the interbank and with almost instant speed. This is because the quality of execution will decrease if the price is not suitable or execution is slow. The difference of a few points could determine whether trading profit or loss will be, especially for the scalper.
For this reason, the competing online forex brokers in presenting the best price quotations and the smallest possible latency. You, however, we recommend that you choose a broker who can guarantee the best price quotations directly from its liquidity providers, as well as capable of executing the price sharply.
6. Customer Service
online forex brokers are not the angels, so of course they also have shortcomings and in a relationship with them, you can just have some problems. Therefore, it is important to choose a broker who is the customer service (CS) his responsive and able to walk properly. CS online forex brokers should not be only active at the time of registration and deposit only, but should be ready to help solve Your problems later, including also guide the withdrawal of funds.
there is an article about – how to choose online forex brokers