Best of the Week
Most Popular
1. Investing in a Bubble Mania Stock Market Trending Towards Financial Crisis 2.0 CRASH! - 9th Sep 21
2.Tech Stocks Bubble Valuations 2000 vs 2021 - 25th Sep 21
3.Stock Market FOMO Going into Crash Season - 8th Oct 21
4.Stock Market FOMO Hits September Brick Wall - Evergrande China's Lehman's Moment - 22nd Sep 21
5.Crypto Bubble BURSTS! BTC, ETH, XRP CRASH! NiceHash Seizes Funds on Account Halting ALL Withdrawals! - 19th May 21
6.How to Protect Your Self From a Stock Market CRASH / Bear Market? - 14th Oct 21
7.AI Stocks Portfolio Buying and Selling Levels Going Into Market Correction - 11th Oct 21
8.Why Silver Price Could Crash by 20%! - 5th Oct 21
9.Powell: Inflation Might Not Be Transitory, After All - 3rd Oct 21
10.Global Stock Markets Topped 60 Days Before the US Stocks Peaked - 23rd Sep 21
Last 7 days
Bitcoin Price TRIGGER for Accumulating Into Alt Coins for 2022 Price Explosion - 30th Nov 21
Omicron Covid Wave 4 Impact on Financial Markets - 30th Nov 21
Can You Hear It? That’s the Crowd Booing Gold’s Downturn - 30th Nov 21
Economic and Market Impacts of Omicron Strain Covid 4th Wave - 30th Nov 21
Stock Market Historical Trends Suggest A Strengthening Bullish Trend In December - 30th Nov 21
Crypto Market Analysis: What Trading Will Look Like in 2022 for Novice and Veteran Traders? - 30th Nov 21
Best Stocks for Investing to Profit form the Metaverse and Get Rich - 29th Nov 21
Should You Invest In Real Estate In 2021? - 29th Nov 21
Silver Long-term Trend Analysis - 28th Nov 21
Silver Mining Stocks Fundamentals - 28th Nov 21
Crude Oil Didn’t Like Thanksgiving Turkey This Year - 28th Nov 21
Sheffield First Snow Winter 2021 - Snowballs and Snowmen Fun - 28th Nov 21
Stock Market Investing LESSON - Buying Value - 27th Nov 21
Corsair MP600 NVME M.2 SSD 66% Performance Loss After 6 Months of Use - Benchmark Tests - 27th Nov 21
Stock Maket Trading Lesson - How to REALLY Trade Markets - 26th Nov 21
SILVER Price Trend Analysis - 26th Nov 21
Federal Reserve Asks Americans to Eat Soy “Meat” for Thanksgiving - 26th Nov 21
Is the S&P 500 Topping or Just Consolidating? - 26th Nov 21
Is a Bigger Drop in Gold Price Just Around the Corner? - 26th Nov 21
Financial Stocks ETF Sector XLF Pullback Sets Up A New $43.60 Upside Target - 26th Nov 21
A Couple of Things to Think About Before Buying Shares - 25th Nov 21
UK Best Fixed Rate Tariff Deal is to NOT FIX Gas and Electric Energy Tariffs During Winter 2021-22 - 25th Nov 21
Stock Market Begins it's Year End Seasonal Santa Rally - 24th Nov 21
How Silver Can Conquer $50+ in 2022 - 24th Nov 21
Stock Market Betting on Hawkish Fed - 24th Nov 21
Stock Market Elliott Wave Trend Forecast - 24th Nov 21
Your once-a-year All-Access Financial Markets Analysis Pass - 24th Nov 21
Did Zillow’s $300 million flop prove me wrong? - 24th Nov 21
Now Malaysian Drivers Renew Their Kurnia Car Insurance Online With - 24th Nov 21
Gold / Silver Ratio - 23rd Nov 21
Stock Market Sentiment Speaks: Can We Get To 5500SPX In 2022? But 4440SPX Comes First - 23rd Nov 21
A Month-to-month breakdown of how Much Money Individuals are Spending on Stocks - 23rd Nov 21
S&P 500: Rallying Tech Stocks vs. Plummeting Oil Stocks - 23rd Nov 21
Like the Latest Bond Flick, the US Dollar Has No Time to Die - 23rd Nov 21
Cannabis ETF MJ Basing & Volatility Patterns - 22nd Nov 21
The Most Important Lesson Learned from this COVID Pandemic - 22nd Nov 21
Dow Stock Market Trend Analysis - 22nd Nov 21

Market Oracle FREE Newsletter

How to Protect your Wealth by Investing in AI Tech Stocks

How do I Choose an Online Trading Broker?

Stock-Markets / Learn to Trade Jun 09, 2021 - 03:01 PM GMT

By: Sumeet_Manhas


The Internet is full of stories of people who have become successful Forex brokers without even financial experience and education. Undoubtedly, it is tempting for every person to try themselves in Forex trading to understand if it is the niche where they can make money. If you are one of them, one of the first steps is the selection of a Forex broker and a platform. When it comes to the choice of a broker, there are some crucial aspects to take into consideration.

What does a Trader Face When Choosing a Broker?

When a trader decides to make money in the market, they need an intermediary that will provide access to this market, that is, a broker. It is a difficult task for both novice and experienced traders because the abundance of promises of easy enrichment makes novice traders overemotional.

What guides a trader when choosing a broker

Every novice trader is sure that he/she is guided by one’s own mind, that is, intellect. Traders or future traders usually analyse:

  1. how many people are already trading with a broker — the more, the more reliable a broker is;
  2. how many people a broker has successfully trained;
  3. how many years this broker has been on the market, and so on.

And it may seem strange, but a novice trader manages to find positive answers to all these questions. Then, a future trader will switch on an internal calculator to calculate how long it will take to double/ triple a $100 deposit by opening a trading account with this broker and buy a flat/car/trip… You can congratulate yourself — you are on the hook.

Why do people fall for the broker’s hook?

The answer is simple. There is no logic in pseudo-logical promises of quick money on which one so wants to rely. And our subconscious mind knows this very well. However, the rational mind receives thoughtful information, and we force ourselves to believe in these promises. Therefore, it is crucial to rely on not only bright ads and internal feelings but statistics and unbiased information.

  1. The safety of the deposited funds depends on the reliability of the broker. It is no secret that today there are enough dubious offices and one-day firms on the Internet. Therefore, it is crucial to trust your finances to only reputable companies with experience and well-known names in the industry.
  2. The best forex brokers like Forextime offer clients various investment options that best suit their trading strategy. For example, a good intermediary has a whole line of trading accounts of different types: standard, ECN, NDD, swap-free accounts, etc. It is best to partner with a company that provides multiple trading options.
  3. The honesty and quality of the company. Forex quotes from different brokers may differ. The closer the quotes are to the market ones, the easier it is for a trader to make a profit. Dishonest brokers often resort to such a trick: in a period of high volatility, they artificially close part of the client’s trades using stop loss, referring to the fact that at some point, the price has reached this level. But upon careful examination, it becomes noticeable that the chart of other brokers did not reach the critical level. It can be either a technical failure or a deliberate deception. Regardless of the reason, it is unlikely to make a profit with such a broker.

Useful Tips for Choosing a Forex Broker

It is not easy to choose a Forex broker since there are many intermediary companies today. But a beginner trader from the United Kingdom or any other country may not have enough experience for a correct assessment. In this regard, it is better to follow these tips:

  1. Evaluate how clear and informative the company’s website is. Ideally, the beginner should be provided with all the conditions, including training and exchange of experience with professional traders. Companies should offer market analytics and expert opinions to their clients. Another plus if the site has leverage, advisors, and robots. It is not necessary to use this — the main thing is to check how seriously the intermediary carries out trading.
  2. Make sure that there are no serious and fundamental complaints against the broker. Accusations of massive fraud, unreasonable blocking, and poor server performance should alert you.
  3. It is advisable to avoid brokers that promise their clients generous profits effortlessly. High income in trading is possible only for those clients who independently analyse the market, study, and verify each transaction. Promises of effortless, risk-free profit have nothing to do with the reality of trading in the Forex market.

Make your choice reasonable because only a reliable broker can become your key to making profits in the future.

By Sumeet Manhas

© 2021 Copyright Sumeet Manhas - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

© 2005-2019 - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.

Post Comment

Only logged in users are allowed to post comments. Register/ Log in