Thread: 8 Efficient Ways For Choosing The BEST Forex Broker In 2020

Welcome to the topic 8 Efficient Ways For Choosing The BEST Forex Broker In 2020.

First of all my deepest sympathies to all the people who have lost their precious lives during this pandemic.

And another important thing is we gotta stay safe because we can't always stay at home due to fulfilling our needs. That's why we have to stay alert all the time.

If you have the ability to work from home then that's for the BEST. Because now-a-days people are making money from working home with the help of Forex trading.

Now let us move on to the main part. So, it is no lie that every trader wants to be successful in the FX industry. And take it from me if you follow the rule that a successful trader abides by then it won't be that hard as you read at many places.

And one of the major rules is to choose the right broker that meets your needs. Otherwise, it would be very tough for you to survive in the largest liquidity market in the world.

So, today I am gonna shed a light on 8 ULTIMATE tips for choosing the best FX broker for you.

That being said, Let's rock and roll.

Forex trading has become a common and passive profession all across the world. As a result, many people are engaging in the foreign exchange market almost every day.

Therefore many newbies in the FX market faces a lot of confusion while choosing a Forex broker. And in the end, due to lack of knowledge many times they don't choose the appropriate Forex broker for themselves.

Here are the 8 key factors when choosing a reliable Forex broker-

1. Regulations

The best thing is to start by looking at whether the broker you choose has a regulatory license and approval SA.

Regulators market investors to protect against fraud or fraudulent activity by the broker.

They also provide oversight on brokers registered with them, which guarantees fair conditions of trade, and transparency, accountability by the broker for any problems between the client and the broker.

In South Africa, the market watchdog the Financial Conduct Authority Sector (FSCA) supervises and regulates activities related to market financial institutions operating in the country.

International regulators such as the FCA major markets of the UK, ASIC in Australia, CySEC Cyprus - all doing the same thing to protect the interests of investors by regulating the market.

Some brokers show their offshore regulations and registering their clients under the rules, that is not good enough to ensure the proper protection of funds or good trading conditions.

In most cases, you will find information about the broker regulations on their website page, in the footer, or on their registration page. Always ask your broker for their FSP license number before investing.

Most regulators including - FSCA have a general search where you can search by entering the name of a broker licensed broker or the FSP number them.

There are about 100 + FSCA regulated brokers that offer forex and CFD trading for retail traders in a regulated environment.

2. Protection of Investors

This is an important consideration because Ensuring that your funds are deposited in the broker's platform where it'll be safe. In an event broker bankruptcy or similar worst-case scenario, the risk an investor will be limited.

The amount of protection offered is often pre-defined and limited.

For example in the US, the number of investor protection is up to 500,000 usd while for Europe usually 20,000 euro. This protection is usually offered by the State-run Investor Protection Funds or some independent insurance providers.

South Africa does not have state-backed investor protection funds at this time. But, some FSCA regulated brokers may still offer some protection.

For example, HotForex (HF Markets SA Pty Ltd) are regulated by the FSCA has Liability Insurance program for the protection of investors to limit € 5,000,000 in terms of risks to errors, omissions, negligence, fraud - which can cause financial loss to the broker. Brokers usually display this information in the 'security fund' on their website.

Another important factor to check the security of the funds is - if your broker has a separation of customer funds from the operational requirements of the company. This limits the broker to use client funds deposited for working capital needs.


3. Trading and Non-trading fees

Before opening an account with a broker, you should always check what trading fees charged by the broker, and if any maintenance or hidden fees.

Most brokers make a profit by charging you a fixed commission or fee per trade by volume. This is called the spread.

Some brokers may charge lower spreads, but they can charge other such non-trading inactivity fees, charges on deposits and withdrawals, account maintenance fees, etc. which makes their overall cost higher.

Also, some brokers increase their deployment during high volatility. Thus, analyze the overall cost of different trading platforms and make sure you go with a broker that offers the lowest spreads and commissions per lot on the instrument you want, with no other hidden costs.

4. There are markets & products

Make sure the asset class or instrument you want to trade with a broker is available, and that too at the lowest possible cost.

For example, if you specialize in trading the USD / ZAR currency pair, check if they broker before signing up for a Live account.

Brokers usually have a page of trading instruments available, along with the historical average spread on currency pairs, stocks, commodities, or CFD Cryptos.

You can search for pages if the instrument you are provided with is a broker who and what their average cost.

5. Trading Conditions

You can not check the condition of the broker trade without signing up for an account Live. But you can do some checks to make a decision:

Most brokers offer a demo account where traders can get a feel for the platform to trade with virtual money, without depositing money.

Although the demo platform will be different from life, still you have to check out a demo account with a broker or trading with a broker with the lowest minimum deposit to test their trading conditions, comparing the pros and cons.

Brokers often offer different types of accounts in accordance with the needs of various types of investors.

Also, several brokers provide many sorts of Forex bonuses like deposit bonuses, no deposit bonuses. If you want the best Forex bonuses which are listed here.

So, comparing the minimum deposit, the instruments available, trading platforms offered as MT4, MT5, cTrader ZuluTrade, or with various types of accounts at the broker.

In addition, you also need to ask your broker about the deposit and withdrawal times, spread average and commissions, trading execution methods - market or instant execution and leverage offered, and whether it is floating or fixed.

In addition, you need to check whether your broker is Dealing Desk (DD) or ECN / STP brokers and acting as their liquidity provider.

Requotes and frequent slippages in the case of market execution. If they are frequent, they tend to eat a trade advantage, because it is important that the trader should check the history of a quote by the broker.

Check out the reviews of the online brokerage that should help with this information.

You also need to check the Customer Support of the broker - whether they are quick to deal with any questions, problems, or complaints from customers.

You can check this by reading their replies in forums and review sites and chat online to see how to help them in solving the problem.

It is also a plus sign if your broker offers customer support in several languages as you can get help in your local language.

The final decision should be arrived at based on broker compatibility with your own trading strategy and not to see some common metrics.

6. Background check & history of the broker

A thorough background check on a broker is important for the security of your funds.

Start by checking the "About" page on the website of the broker for those operating experience in the industry. The longer they have been in business, the better their reputation is.

Check the information on the website and the website of the independent review broker brokerage experience in the FX industry, the number of accounts registered with them, globally renowned awards received (if any) and adherence to global regulators - the more the better.

Next, see if the broker is transparent about how they work. If it is public then it is a good sign, another check to see whether they are transparent by publishing their annual report, fees, and commission calculations, this separation of regulatory and accounts.

A good reputation in the industry is also a sign you need to look for in a broker. Reputation comes from having a good relationship with customers and regulators as well.

If the broker has been fined in the past for any irregularities or fraud, you may want to avoid it.


7. Beware of promises that are not realistic

Finally, beware of any Forex broker ads as a method to get rich overnight.

If the broker advertised claims of Forex as a method where you can double your money, promote illegal schemes, offers and gifts to trade wild, then the broker should be avoided at all costs because they do not offer investment choice of law.

Broker fraud playing with one of the weakest of human emotions - "Greed" to get your money.

Do not fall for bonuses or gifts, and only trade with a broker that FSCA regulated, have experience trading conditions, and offer good, easy deposits and withdrawals.

8. Use the experience of other traders

You can get a better picture of a reputable broker by checking their reviews online at the website Review, where you can read about the experiences of others who have traded with them in the past.

Look closely at how the broker is active in responding to negative reviews, not satisfied merchants, and issues raised in reviews and online forums.

I hope you find it helpful. Good luck!

Success in the forex market mainly depend on the trading strategy. Every trader has different trading style. If any trader wants to make success in forex, he needs to follow some rules. He should not take decision emotionally while trading. Success in forex market is mainly depends on the broker a trader choose.
If their strategies don't suit the broker than he can not be succeed. I use Forex4you as my broker. They are helping me to become successful in forex market by giving low spreads and dynamic leverage. Their trading style is too easy to learn and operate.

achieving success in forex is not an easy matter, so it is important for traders to be better and to get more leverage in producing profits in accordance with expectations together with Tickmill.

There are so many brokers in the forex market. Some are good and some are fake. Every trader wants to choose the best broker from the market. But it is not an easy job. The brokers who give low spreads, high leverage, 24 hours customer service, easy withdraw process, versatile trading techniques are generally known as good brokers.
I am currently trading with TP Global FX. I choose them because they have all that qualities which made them good broker. Their trading techniques are so easy. This broker is always with me like a shadow.

broker selection must be able to be considered properly, this is needed and needed so that traders can become better and can get more leverage in producing profits in accordance with expectations with Tickmill.