| In most cases when you sign up with a FOREX | | | | use this software. Client based software is |
| broker they will provide you with software to | | | | loaded directly on your computer; in most |
| execute transactions as well as get market | | | | cases you are able to download the software |
| information. Since online trading has been | | | | from the brokers site and then install it. |
| around for quite some time now, the brokers | | | | Web based software is rapidly growing in |
| have a pretty solid understanding of what the | | | | popularity as more and more brokers offer it. |
| traders need from trading software. There | | | | The primary advantages to web based software |
| are two primary classifications of software | | | | are convenience and security. With web based |
| provided by the brokers; web based and client | | | | software you can log in to your account and |
| based. | | | | get market updates and place trades from any |
| | | | computer with an internet connection. If you |
| One of the mandatory services needed by all | | | | use client based software you are only able |
| FOREX software is real time market updates. | | | | to make trades from the computer that you |
| Since the FOREX market is so fast paced and | | | | have the software installed on. |
| volatile traders must have data that is | | | | |
| accurate to a few seconds to make decisions | | | | As well as being more convenient web based |
| on when to enter and exit their positions. | | | | software also offers a higher level of |
| All brokers make claims that their software | | | | security. During the actual transmission of |
| will remain updated with a minimum of delay | | | | data both web based and client based software |
| but the reality is that there are a variety | | | | encrypt the transmitted data with a high |
| of factors that can delay the software | | | | level encryption. On client software though |
| displaying updated information. | | | | there is the risk of data being stolen from |
| | | | the client pc by hackers or Trojans. |
| The users internet connection speed as well | | | | |
| as their geographical distance from the | | | | The most basic software packages will provide |
| broker are probably the two primary issues | | | | you with real time quotes and information as |
| that can affect the update time. If you wish | | | | well as allowing you to enter and execute |
| to be successful trading FOREX it is highly | | | | trades. Up to date quotes are provided for |
| recommended that you have a high speed | | | | most currency pairs and the software will |
| internet connection and a fairly up to date | | | | allow you to open or close a position at |
| computer. You might also consider selecting a | | | | market prices. The software should also |
| broker relatively close to you; if you are | | | | allow you to set up trades with limit orders |
| trading from the US you might want to avoid a | | | | and stop loss orders. More advanced packages |
| broker based out of Australia. During times | | | | will also offer charting capability that can |
| of extreme market volatility this distance | | | | show you many different viewpoints. |
| could cause a delay significant enough to | | | | |
| cause issues with your trades. | | | | Any good broker will provide you with basic |
| | | | software free of charge just for using them |
| Web Based or Client Based? | | | | as your broker. Many of your better brokers |
| | | | will offer an advanced version of their |
| Web Based software is not actually installed | | | | software for a fee. The advanced version |
| on your computer it runs on the brokers web | | | | will give you extra capabilities such as |
| site. You only need to have a browser | | | | executing trades right from the chart and |
| compatible with the software to access and | | | | enhanced analytical ability. |