| If you want to trade forex you need a forex broker | | | | execute your own trading signals. |
| and there are plenty around, here we will give some | | | | Useful EXTRA Services |
| tips on picking the best for forex brokers and how | | | | Some brokers give extra services away that are |
| to maximize your potential with them. | | | | useful such as discounts on trading tools, books and |
| Many traders see brokers as the enemy who lose | | | | newsletters which a lot of traders like - but there is |
| them money but the fact is there neither your friend | | | | one service we saw recently which is excellent for |
| nor your enemy - their simply there to transact your | | | | novice traders and it's called: |
| orders in an efficient, cost effective and timely | | | | A PROTECTED ACCOUNT |
| manner and that's it. | | | | If you are new to forex trading, then you will |
| The most important points to consider when dealing | | | | probably try a demo account to get the feel of |
| with a broker are the following: | | | | trading but useful as they are for learning the |
| 1. Competitive Spreads | | | | mechanics, they don't replicate the feeling of dealing |
| Pay no more than 5 pips on the majors and if you | | | | with real money. |
| shop around you can get 2 - 3. This is your cost of | | | | Many brokers to help get novices feet wet with |
| doing business and needs to be kept low. | | | | limited risk offer Protected Accounts, to act as a |
| 2. A Reliable Trading Platform | | | | bridge between a demo account and a full trading |
| If you are trading online this is imperative and most | | | | account. |
| trading platforms today are excellent - but make sure | | | | They allow traders to trade with small amounts of |
| you test drive it, for usability via a demo account to | | | | money and do as many trades as they like in a set |
| prove it to yourself. | | | | period (normally a couple of weeks) and the trader |
| 3. Leverage | | | | can still trade even if he is debit! |
| Any broker today will give you more leverage than | | | | At the end of the period the broker covers the |
| you will ever need. 100:1 is fine - but many brokers | | | | losses if any and the trader takes the profits. |
| will go up to 400:1. | | | | This means a trade as much as he wants - even |
| 4. Security OF Funds | | | | when he is debit on a set leverage and has a set risk |
| Look for well established brokers who use | | | | in advance. |
| segregated accounts have been in business for years | | | | These accounts give the feel of forex trading but |
| rather than months. The longer they have been in | | | | have set risk and will show a forex trader his |
| business and and the bigger they are the better. | | | | potential, before moving to a full trading account. |
| What You do NOT Want From a Broker | | | | Finally .. |
| A lot of brokers sell higher fees based upon the | | | | Getting the right forex broker is easy and you only |
| service they give you in terms of trading | | | | have to keep a few points in mind and then you're all |
| recommendations etc. | | | | set, to enter the exciting and lucrative world of |
| Keep this point in mind - if brokers were good at | | | | currency trading. |
| trading they wouldn't be brokers, ignore them and | | | | |