A trader will not be able to do financial transactions without the aid of a forex brokerage firm/broker. So arguably if for trading we need a forex broker. Then if we know how to choose a forex broker for trading to safe and comfortable?. Why do we have to carefully choose a forex broker?. It is very important for us to know, especially for beginners.
As a trader is the first thing most important before the start of trading is a matter of choosing a forex broker. A broker is a brokerage firm that determines if we can trade with good and fit our strategy or not. Sometimes a broker could just ban the strategy we’ve set up earlier. In addition, the broker could have been cheating and can also make fraud and skim money to deposit brokers. That’s why the reason is we need to know how to choose a forex broker to trade and profit from the transaction that we already do.
How to choose a forex broker for trading
A secure and convenient trading must be desperately needed by all traders in the world. For it shall choose a broker heart – the heart. Because the broker has a full role in the transactions that we do. Do not let the broker doing cheating on transactions that we already do. Before determining the broker, it’s good we consider important things like the following:
1.The broker must have a regulation published by the financial watchdog in the country.
A forex brokerage firm can be set in different jurisdictions and regulations in each country. The regulation aims to give us a sense of security for working with brokers. The regulation gives the Comptroller to brokerage firms each State varies. But there are also companies that have no regulation, so take care with the broker.
2.The broker must have a demo account, prior to using a real account
The practice of directly making novice traders be perfect, for it is needed for a free demo account before the traders make a deposit and start trading with a real account. Have a demo account allows us to experiment with trading Forex before we actually use real money. It also lets us see what the company can offer to us in terms of features and functionality of the trade.
3.Understand some of the types of accounts offered by broker
Each broker must have had a few different types of accounts. Usually on a broker certainly available account types mini account of a cent, unlimited account or account to VIP. Make sure we select one of the accounts that correspond to the amount of the deposit we will do. Because normally each account has different rules. As the determination of the minimum Commission, spread, open lots, and the currency that we can trade.
4.How to deposit and minimum deposit trading account
We need to know the minimum amount of the deposit and the minimum or maximum withdrawal. Also, see the maximum leverage allowed by the broker to ensure we can do the trades that we want. Big nothingness because the Margin is required when an open position, it depends on the magnitudes of the leverage provided by the broker. But don’t take a very high leverage because it would increase the risk of loss in forex.
5.Check out the best Broker review
now it is very easy to get a review – a review of brokers around the world and it is not difficult to learn more about the brokerage firm om google. Look to each brokerage firm in order to determine exactly how the broker provides services to other traders how they can help us. Review score user satisfaction of customers who have joined with the broker.
6.Make sure anything we can trade
Also, make sure that multiple currencies you want to trade that represented. The regulatory side of the company will be directly related to this.
II. Things to avoid in choosing a broker
If the above together we already know how we choose a broker that is good and right, now it’s time we find out a few things that we must avoid not hooked by a rogue broker. We have to avoid when choosing a broker among others.:
1.Don’t be tempted with no deposit or bigger deposit bonus
The increasing number of brokers, making the more heat rivalries broker in search of clients who want to join the broker. Intense competition makes the offer to new traders are also increasingly insane. The offer is usually a great deposit bonus and no deposit bonus as well. Just try it if we think as a broker, the broker where benefit if it is true the broker gives a bonus to each trader register.? Should we have to jelly see which bonuses are reasonable and which the bonuses are not natural?
2.Do not easily believe the broker – a new broker
New broker, lots sprung up and many roads in places. Look at the number of new brokers, we should more thoroughly examine the regulation, permit, spread, the type of account and other things.
3.Do not easily believe the negative issues from other traders
A lot of the negative issues explained that this broker fraudster broker, less well or what is the other. Should we do not easily believe it? Because it can only issue was spread by traders who are desperate because it’s been losing a lot of money in forex trading.