Forex Review, Pros & Cons , Best Forex Trading Platform
Everyone dreams to make easy money; people are always on a lookout for ways to earn multitudes of cash with minimalistic or no work.
Interestingly globalization, unified trade platforms, and increasing production have bestowed people with mediums with whom although they cannot supersede Jeff Bezos but still make earnest money.
For many people, dealing in stocks, which prospered due to flourishing international trade, is equivalent to making free money. This is because when stocks go up, or bond yields rise, investors enjoy the money flow without sweating.
The only thing to be done is to decide when to sell. However, if you have a higher adrenaline rush, trading currency on the Forex might be a lucrative way to get richer.
What exactly is Forex ?
Forex is comprised of two words foreign currency and exchange. It is a global marketplace for exchanging national currencies against each other.
Forex markets tend to be the largest and most liquid asset markets in the world because of the worldwide penetration of trade, commerce, and finance.
For instance, if you are living in Germany and want to purchase crude oil from the US, either you or the company that you buy crude oil from has to pay the US for the crude oil in dollars(USD).
This means that the German importer would have to exchange the equivalent value of euros(EUR) into dollars(USD). The same goes for traveling.
A British tourist in India cant pay in pounds to see the Taj Mahal because its not the locally accepted currency.
As such, the tourist must exchange the pounds for the local currency, in this case, the Indian rupee, at the current exchange rate.
What do I require for Forex Trading?
Forex trading isn’t rocket science; anyone with a little amount of capital and a broking account can do forex trading. The online broker gives you access to the trading platform.
There are many different brokers to choose from, but they may not all be reliable.
A majority of brokers have stringent rules and hidden fees, which might cheat you of your hard-earned money. Also, the interface of the account must be easy and encourage hassle-free trade.
Perform some research to find the most reputable ones that offer free demo accounts for you to use. If a broker doesn’t offer a free demo period for trying the trading software, don’t use it.
It’s also important that your broker is registered with a major financial regulator.
A demo account gives you access to virtual money, letting you complete trades to practice your Forex skills before creating a real account. Fill in your credentials, on the brokers website to start
accessing your demo account.
Consider opening demo Forex account opening with several different brokers so you can test out every different trading platform and decide which one you like best.
What to look for in a Forex Broker
Despite the general lack of normal online forex brokers based in India, other than three stock exchanges, you can still trade forex through foreign-based online brokers. Generally, a quality brokerage should have a minimum of 5 following characteristics–
• The deposit limit is minimum and affordable
• Accepts trading across all major and minor forex currency pairs.
• The maximum leverage ratio must be compatible with your trading strategy and have the adequate risk tolerance
• Offers competitive dealing spreads
• Keeps re-quotes and slippage on orders to a minimum
Which Forex trading platforms satisfy the aforementioned characteristics and have the best Forex review accounts?
Make sure that your broker is overseen by a major financial regulator, such as the U.K.’s Financial Conduct Authority (FCA) or Cyprus’ Securities and Exchange Commission (CySEC), which generally comply with the European Union’s rigorous Markets in Financial Instruments Directive (MiFID) rules.
Not all forex brokerages offer the same services, so before finalising the best forex account check thoroughly that whether your needs as a trader are adequately met by the forex broker.
Major broking platforms in India are
• Forex.com– Forex.com is the first choice for beginners as well as veterans when it comes to foreign exchange. Due to its easy-to-navigate interface and a wide range of educational tools and research widgets, it suits the demands of everyone. It offers access to over 80 currencies thus makes trading convenient.
•eToro.comThe biggest plus point of eToro, apart from its simple platform that is easy to master, is that it offers a virtual dummy account that lets you practice trade for up to $100,000.
• easyMarkets– easyMarkets has the credit for launching the first web-based trading platform. It also has a trade cancelling feature where if in case you get a better deal prospect or have changed your mind then you can cancel the deal.
It also boasts of competitive fixed dealing spreads wherein people compete for the best minimum spreads while trading. Now let’s have a look at the world’s best forex broking accounts that provide world-class facilities to their consumers.
The broking platforms that are recognised globally-
• Oanda– The USP of Oanda is that it has a $0 minimum for live accounts, besides the goodwill the company has established for its quality of trade execution and transparency with pricing and charges levied. It offers the best technology and latest trading widgets to its beneficiaries.
• IG Group– The veteran amongst all the trading platforms but still remains the first choice amongst its consumers for privileges like lowest spreads and commissions in the forex trading industry. It trades with a traditional broker-spread or the comparatively less expensive raw spreadplus commission model.
• CMC Markets– CMC offers the best competitive spreads that widen with larger trade and bet sizes. It doesn’t differentiate among customers using various platforms as all account holders get access to guaranteed stop losses and also get the privilege of free bank wire withdrawals.
What if I am not well versed with long, short, bids and spreads (for the uninformed this is the terminology used in forex), isn’t there a comparatively easier way to make higher money without any technical expertise?
Yes, you’ve got a better, easier and profitable option than Forex Trading, it’s known as binary options trading. Binary options trading relies on a simple question – will the underlying asset be above or below a certain price after a specified time?
If your observation is correct, then you can make substantial profits with one of the most straightforward financial instruments to trade.
Now lets understand the underlying mechanism of how binary trading works. Put simply, binary options are a derivative that can be traded on any instrument or market.
They are enticing because they are straightforward and don’t require any robust analysis also it has got an added advantage that you know precisely how much you could win, or lose before you make the trade.
If you anticipate news announcements, quarterly reviews, or global trends, then you may be able to make an accurate determination as to whether the price is going to increase or decline at a certain point in the future.
Also, unlike Forex where you trade only currencies, binary trading has a whole lot of derivatives to trade, from commodities like crude oil and aluminium to stocks of major MNCs like Amazon &Facebook, whichever area appeals you, you can try your hands in it.
