 |
forex-signals-broker
|
How
to Choose your Forex Broker? |
| |
Most investors who trade FOREX or
stocks use a
broker. A broker is an individual or a company, who buys and sells
stocks according to the investor's wishes. Brokers earn money by
collecting commissions or fees for their services, before setting up an
account with a FOREX broker you will need to do some investigations:
1-You should check that a broker is registered as a Futures Commission
Merchant (FCM) with the Commodity Futures Trading Commission (CFTC) as
protection against fraud or abusive trade practices.
2-A FOREX broker also needs to be associated with a financial
institution, such as a bank in order to provide funds for margin
trading.
3-Picking the right FOREX broker for you will take some work on your
part. There are brokers who charge a flat fee and some that charge
commission. It may be a good idea to talk with friends and business
associates about their brokers. You may get some good leads, and you're
certain to hear who to stay away from. There is nothing like word of
mouth advertising.
4-If you are thinking of investing online, you could choose several
online brokers and contact their help desks. Seeing how quickly they
respond to your questions could be key in how they will respond to
their customers needs. If you don't get a speedy reply and a
satisfactory answer to your question you certainly wouldn't want to
trust them with your business. Just be aware that as in other types of
businesses, pre sales service might be better than after sales service.
5-Before you choose an online broker get a copy of their online demo
account. What features are included? Is the software reliable? Does it
offer automatic trading? Are there extra software features that cost
more?
6- How quickly will these brokers execute your buy/sell orders? What is
their policy on slippage? What are the transaction fees? What is the
spread, fixed or variable? What are the margin requirements and how are
they calculated? Does the margin change with currency traded? Is it the
same for mini accounts and standard accounts?
Don't forget to ask about minimum account balances and interest
payments on account balances. Make sure that your funds will be insured.
We personally use Fxsol for currencies. Fxsol maximum leverage
is 1:400.
Fxsol have
demo account we urge you to try
before you commit to any or to whatever is your favorite
broker.
To try Fxsol demo account follow
this link.
To open a live account with Fxsol please click here.
|
|
 |
|
|
