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Forex Brokers

Choosing a Forex Broker? Here’s What You Need to Know…

When looking to get into Forex trading, the new trader is bombarded with massive amounts of ads, offers, and, of course, online forum noise. In this article, I will try to analyze some of the most important issues to consider when choosing a Forex broker. After all, the most important function of a Forex broker is to enable it to trade with the liquidity provider, and at the end of the day, most features work similarly. However, that does not mean that there are some things I should pay close attention to.

Are they all regulated?

Surely the most relevant thing to keep in mind is whether the Forex broker you are choosing is regulated or not. In addition to that, the place where they are regulated is also important. Unfortunately, not all regulatory bodies are the same, and therefore, some traders are absorbed by reputable brokers because of this reason alone.

The regulation allows the trader to feel somewhat protected, as there is a government agency that is paying attention to what the Forex broker is doing. Years ago, when Forex trading was something new to retail traders, there were many nefarious companies out there willing to take their money.

Since then, we have seen an adjustment and maturation of the industry, so almost all Forex brokers are regulated at this point. If they are not, it is a great red flag and must be avoided at all costs.

Apart from this, the standard regulation in a country like the UK or Germany is very different from regulation in a country like Belize. Some of the stricter regulatory regimes can be found in the UK, the US, the EU, Australia, and Japan. In short, countries with more advanced economies often have better regulatory protections for the retail Forex trader. It is important to note that some countries, such as the United Kingdom, offer deposit protection insurance, which means that even if your agent goes bankrupt, the government will eventually reimburse you for the balance of your account.

What products do you offer?

Obviously, you need to know if the broker you are interested in offers the markets you want to trade. For example, if you want to exchange the CAD/JPY pair, the broker must offer it. Not all brokers offer all currency pairs. There have been brokers I have seen offering only 10 pairs, but I have seen other brokers offering several hundred. In general, larger brokerage firms will offer at least 25 pairs, quite often 40. Some of the most institutional liquidity and brokerage providers may offer several hundred, giving you the opportunity to engage in exotic trades. Make sure you can get the product you are looking for before completing the paperwork.

ECN or operating table?

An electronic communication network, or ECN, links orders directly to each other, making the market transparent and fair. Trading Table Brokers, on the other hand, will seek to match orders or trade directly with you. A reputable broker will follow the rules and regulations of the regulator and treat it fairly regardless. It may be considered foolish to say this, but experience has dictated that there is no difference in the type of brokerage I choose, although the differentials may vary greatly between these two different models. Normally, if you get an ECN Broker to facilitate your order, you will be charged less and extended, but you will be charged a commission. One area for which ECN works best is scalping, as it allows quick entry and exit operations and you don’t have to worry about any desktop delays. If you want to scalp, keep in mind that many brokers do not allow scalping-style trading, so be sure to check it out.

Analysis

Some brokers offer expert analysis, while others do not. It all comes down to whether or not you need some extra help to form trading ideas, or whether you’re comfortable trading on your own. However, beyond that, there are many places online where you can find a lot of analysis for free.

Extras

Some brokers will go beyond the usual calendar and announcements and offer many extras. Sometimes those are deposit bonuses, sometimes they’re webinars or even trading education. Again, all this can be found free online, but some Forex brokers have pretty good educational sections for example. Imagine something like buying a car, you can opt for the reduced version, which is always cheaper, or you can buy a more expensive model that comes with all the accessories as standard. Brokers are a lot like this.

CFDs Offered

Let’s not forget the CFD market. Unfortunately, CFDs are not available for trading everywhere (as in the United States). However, most of the world allows CFD trading, and this is something to pay attention to. If you have the ability to conduct Forex trading, why not do index trading or crude oil trading? This gives you the possibility to trade with the world in a single account, which, of course, has a great advantage if you understand the correlation between markets. One of the main advantages that the rest of the world has over the United States is the ability to carry out trading in these markets since it is not necessary to enter through a full futures contract to make trading with natural gas, You can just put a small amount of margin.

Longevity

Just like any other business, the better you treat your customers, the longer you stay alive. That said, as a general rule, you should feel a little more comfortable with a broker that has existed for 10 years compared to the one that just started this year. However, if they are regulated in the right sense and based on a sound and financially mature country, it should be fine. Be sure to read as many reviews as possible, but keep in mind that some of them should be taken with a little salt, as trading is emotional, and some people will review Brokers negatively after losing money (which is not the Broker’s fault). In general, however, you can see through these negative publications, as they tend to be a bit exaggerated.

In Conclusion

The best way to choose a Forex broker is simply to use common sense. There are some things I would consider about brokering before depositing. Are they regulated? If so, where? Do they offer demo accounts? Do they have the coins I’m looking for trading Basically, you think that, if the answer to any of these basic questions is “no,” you should keep looking for another broker.

Categories
Forex Brokers

The Secrets Behind How Professional Traders Choose Brokers

What the best broker is for you might not be for someone else. They come in many different flavors, although some of them do better than others in all categories. To try one broker you will have to open an account, hopefully, what you get on the demo you get on the real account. Yet it is hard to know if the one you have selected is good for you unless you have some experience.

To get this idea you need a comparison. However, few will try 20 different brokers just to say this one is right. There are so many brokers out there, and most have some part of business traders would probably dislike. When you want to start out trading for the first time, you do not have a clue what to look for and what to avoid in the first place. At some point, you are probably going to get dissatisfied with the one you are with, you will want to find another because you do not like how you are treated.

The decision is so critical that even if you have the best trading system and great results, it is the broker that holds your money. Getting this right is very important so deep research has to be made. This article will present how one prop trader is carefully setting the rules to find the right one, and also some of the example brokers you might find interesting and why they might be good. 

Country-Specific Qualifications

Traders from the US might have a problem with the selection since the regulations are harsh and brokers have an easier time just not to accept clients from this country. This is the first question-stop on your research – do they accept clients from your country? Brokers like it if you stay a long time with them. More trading is done and more chips for them. Clients that do not understand the long game about forex trading get wiped pretty soon. These clients do not leave much on the broker’s table. Traders who follow a money management system, have their algorithm or a strategy are very welcome. Honest brokers want trading-educated customers, unlike the other side where fake investment platforms look for random naïve victim-clients. 

Security First

Investors or clients want security first. Your capital is at risk when you trade, this risk is under the inherent broker risk you take once you deposit. It is an unavoidable risk you want to be at the minimum. How safe is a broker is determined by several factors we are going to speak about. There are no special calculations or analysis, just common-sense conclusions – all you need to stay away from shady investment platforms. The second factor you want to investigate is the Ease of Use. No one wants to have delays, unclarities, frequent changes, unintuitive account management apps, perpetual requests, and so on. You want orders executed without gimmicks, the broker is there to give you just that.

Trading Conditions Matter

After these two most important factors on how to find a generally good broker, you want to have good Customer Support too. When you trade for a long time, it is very likely there will be a problem with liquidity, your orders, slippage, and other abnormalities you want to know more about. More importantly, you want the issue solved as quickly as possible. Most brokers save in this area, professional and knowledgeable staff is not easy to afford and come by. Whatsmore, the broker agents need to understand the problems you are experiencing. You cannot afford to have broker related irregularities unsolved because of the language or knowledge barrier. The final factor some might set as critical is trading and other costs related to your account. Now, when we talk about the spreads, they should be the broker’s main income source and trader’s main expense.

Spreads Matter, Too

Nowadays when we have good competition between brokers, the spread became small enough it is not a deciding factor, even when you trade frequently. If we compare the spreads, the difference is hard to see. If you decide to go with the broker with a lower spread you saw directly from the platform, you might be surprised it is higher in the evening when you trade than with the other broker. Spreads dynamics across time and assets are unknown to you and can only be measured with special tools that need time. Even then, judging a broker based on the spread only is not going to be a good choice, there are other specifics traders are interested in according to their trading style. The days when the spreads were an issue are over, brokers with high spreads got pushed away from business or lowered their spreads to keep the clients. 

Jurisdictions and Regulations

Safety first, then we can worry about other risks. Here is an opinion on what information to pay attention to when assessing how safe is a particular broker. Jurisdictions are a big factor in how a broker can conduct business so you need to pay attention to where they reside. Countries like the USA, UK, Australia, Singapore, and Japan have high-standard control measures that are applied promptly, leaving no room for unethical practices with your capital. Brokers who do not want to mess opening an office in these countries do not put your capital safety first too. Capital adequacy levels are also high here, giving you extra peace of mind. Brokers outside of these countries could also be classified as safe although they will have to fall under ESMA, CySEC, FCA, or other reputable regulatory bodies.

Of course, having regulations on brokers also carry more effort to sign up with them, but it is a good thing to have safety procedures if it means safety to your capital too. On the other hand, countries like Malta, Russia, Costa Rica, Belize, Vanuatu, other island countries, are not very appealing when it comes to funds safety. Not all brokers from these countries are bad, scam, or unethical in another way, they just create precaution since the chances of finding one such broker here is high. Brokers with great offers could go with regulations or jurisdictions from offshore countries just because they do not require a lot of capital adequacy to start a brokerage. However, no matter how good they are, it is better to go with medium and large capital brokers for several reasons. To get recognized, a broker has to stay in the business for some time, more than 3 years. A legit broker can survive only if they have a well-established business plan, structure, and execution supported by the traders’ reviews. All this takes time. Brokers that have the above traits create enough capital to be adaptable to sudden changes, which in turn means they are less likely to pose a risk to your investment. 

Ease of Use

Ease of Use comes after you sign in for a demo account once you establish a broker is safe enough. If you are getting confused with the tools they provide or do not get the quotes you were expecting, how can you be sure other surprises are not on the way? When it is time to make a decision, there is no room to get confused. If you find yourself searching for something for too long, it is a sign of a badly organized platform, website, or other tools. There is a risk it can cost you if you are not well informed with terms or not well acquainted with a particular platform. Some platforms can be promoted as made for professionals with an abundance of options, yet there might be too much to comprehend them correctly. If trading requires too many steps to check and type, it is not intuitively made. This also creates negative associations towards trading in general affecting your future decisions. Most of the brokers will offer MetaTrader 4 or 5 platforms which are enough for the majority of traders. Proprietary platforms should not create obstacles of any kind if they are offered by the broker. 

Another consideration is the execution times. Traders should not only aim for low latency but also consistency in order executions across asset categories. This can be tested with a demo account, however, be sure to check other assets, even if you are not going to trade them. A problem in one could mean liquidity is not a top priority for that broker. If you find out your price levels on orders are not precise when executed, and the issue is not caused on your side, be sure to mark these moments. A broker is not suitable for trading if it repeatedly cannot follow your order specifics precisely. This happening more than once per year is a sign you should think about migrating. Contacting customer service to correct this issue is where we come to the next criteria.

Customer Service

Customer Service can give you an additional headache. Experiencing long waiting times on chat or phone call is a sign the broker is understaffed or many have problems similar to yours. Understaffed customer service department points the broker is cutting costs, and this could further mean inadequate management, capital, or other issues that increase the broker risk. Another sign of this is outsourced, non-native English agents responding to your questions. Communication needs to be flawless when your money is at stake yet many brokers outsource Customer Service and fail to give proper integration. Customers dislike this trend across industries and the right broker knows this. A broker with native English customer support agents is a very good sign you at the right place to invest. 

Crypto Considerations

Since the cryptocurrency era started, a new type of brokers emerged to the scene, offering a very easy sign-up, great trading conditions, almost unrestricted client acceptance, and, unfortunately, very high safety risk. Interestingly, the benefits come by using cryptocurrency for transactions, cutting whole departments other brokers need to have, making it relatively easy to open such brokerage business. There are no safety regulations when it comes to bitcoin transactions, there are no guarantees your capital is safe or stored in a bank. The absolute holder of your funds is this broker. However, the popularity of such brokers is growing. The need for such easy-going trading on a smaller account scale is high. Brokers like this rely on positive client reactions to keep clients coming, the deposits are not as big as with the large and regulated brokers but fill the need of small traders to enjoy trading with all the benefits cryptocurrencies give. 

Security & Safety

The safety research is relatively quick to do. Other criteria such as Ease of Use takes some time to be checked. We will present two examples that fulfill what most traders would like to have with a broker. Starting with the Blueberry Markets, this broker from Australia is one of the top-rated brokers on the two most reputable review websites. They are mid to highly capitalized and backed up by a network of companies. Blueberry Markets follow the minimalist approach, provides hassle-free trading with great customer support and a trading environment. Professional traders like pure trading, no need for any bells and whistles. When you see the Blueberry Markets website there is nothing special, it is very basic except they can show one of the best ratings a broker can enjoy, for more than 2 years.

Trustpilot and Forex Peace Army good ratings are hard to achieve, especially when you have random bad ratings off traders who lost their accounts by their fault. Trustpilot is general but FPA is a forex specialized website, top ratings on both is an amazing achievement. Now, Blueberry Markets is an ECN broker, trading is done via MT4 and MT5 with great conditions, customer support is native English, and is focused on traders’ needs. This broker took a similar business approach to customers like Google, as our professional prop trader describes. When you compare Google search engine with Yahoo or others back then, it is obvious the only thing you see on a page is a search bar and two buttons. Yahoo and other search engines were stuffed with other materials. The simplicity, focus, and investment in what customers need to make Google the best search engine today. Blueberry Markets has the right approach even though some demanding traders might need a wider asset range than offered. 

The second broker example is Markets.com. This very highly capitalized and CySEC regulated broker does not enjoy the ratings like Blueberry Markets. They are worldwide, well known, and has an amazing array of trading platforms and assets for even the pickiest of traders. Having a well-managed company with big capital invested in platforms, assets, and liquidity providers is showing at every step. The sign-up process is not very easy with this Dealing Desk type broker. The website is far from simple, and the platforms will still require you to learn new features if you are familiar with the MT4/5. Markets.com is almost the complete opposite of Blueberry Markets. So many options, offers, assets, platforms might be too much, especially for a beginner trader. There are a lot of tutorials, however, only traders with some experience will like what they see. Markets.com is a great pick once you want to expand from trading only forex currency pairs into a rarely seen array of asset categories. You will have English speaking customer support and in other European languages, good executions, platforms, and additional content. 

Many other brokers fit the criteria we have set. Scam and dishonest brokers also dominate outside them. Having examples and other info above will be enough to guide you to the right one no matter your trading style, just be sure to put the effort into research before you put the money in.

Categories
Forex Brokers

The Hidden Truths About Dealing Desk and ECN Brokers

Forex traders have always expressed their concerns in respect of choosing the right broker that would exude stability and trust. In terms of broker types, traders are generally offered two options: Dealing Desks (DD), which are also called Market Makers, and No Dealing Desks (NDD) that consist of two subgroups – Straight Through Processing (STP) and Electronic Communication Network + Straight Through Processing (ECN+STP). Most often the question of selection is narrowed down to Dealing Desk and ECN brokers, which both have their own groups of avid supporters. Today, we are going to compare and contrast the two kinds of brokers and look into the matters that seem to be causing all the commotion.

Dealing Desk Brokers

The first group – Dealing Desk brokers – is known for making money through spreads as well as the liquidity that they provide their clients with. The other name of this type of brokers that we mentioned above is quite descriptive of their ability as they can literally create a market for their clients by taking the other side of their trades. Many traders immediately assume that this approach is questionable in terms of conflict of interest, when in fact the reality is somewhat different. What DD brokers actually do is offer sell and buy quotes, thus filling both types of client orders. They, hence, have no connection to the individuals in their making of trading decisions. Despite being the broker of choice for the majority of forex traders, DD brokers are usually under great scrutiny due to traders’ fear stemming from these brokers taking the opposite side of the trade and knowing the spreads in advance. 

ECN Brokers

As an NDD broker, the second group discussed today – the ECN brokers – do not pass client orders through a Dealing Desk. What they do allow is for the client orders to interact with other participants’ (such as banks, retail traders, hedge funds, or other brokers) orders in the ECN. These interactions enable these participants to offer their best bid and ask prices and, therefore, trade against one another. In addition, clients relying on ECN brokers will have the option of seeing the Depth of Market or the buy and sell orders of other market participants. Unlike DD brokers, this type of brokers earns their compensations in the form of a small commission. ECN brokers are also recognized for their smaller spreads and are generally perceived differently from DD brokers owing to their inherent differences. 

While from the realistic point of view, some characteristics and past events revolving around the two may truly invoke some feelings of discomfort, buy traders often take matters too much to heart thinking that brokers aim at destroying traders. This, however, could not be farther from the truth especially because brokers are only interested in having a sufficient number of participants in the market that can provide them with money. Brokers, be them DD or ECN, will generally go at great lengths to ensure that traders stay in the game because without traders there would, naturally, be no brokers. Therefore, those statements often uttered by traders such as Dealing Desk brokers are always against you while ECN brokers always support you are quite superficial and do not reflect the state of the matter. Many traits and services of the two brokers are taken for granted and assessed from too emotional a standpoint, without allowing for a more objective analysis. No broker is invested in seeing traders as individuals, let alone putting effort into sabotaging their traders, which does call for an intervention to stop spreading myths. 

Profits from Spreads

Brokers will generally make money from the spreads, where DD brokers will earn by taking the other side of the trade and ECN by charging the commission. Therefore, both of them equally see benefits from the spreads themselves, yet they have a different approach to demanding compensation for what they do. It is important to note that brokers will never prevent traders from earning more, like what you can see in casinos for example, because the list of participants is simply too vast and there will always be traders who will keep losing and putting money directly in brokers’ pockets. Still, as discussed before, brokers are not aimed at sabotaging traders, secretly wishing that they lose, as this goes against their own needs and goals. Like with insurance companies, brokers need traders to keep making money.

Aside from the major concern regarding DD brokers taking the opposite side, the question of safety in connection with ECN brokers is equally present and shared among traders in the forex market. Quite understandably, the most pressing concern involves the fear of a potential crash that could take ECN brokers out of business along with traders’ money. After what happened with FXCM (Forex Capital Markets) during the EUR/CHF crash, safety became an even more important requirement besides ease of use and customer service. Many of the brokers were impacted by the currency pair crash of 2015 due to the fact they did not have an added hedge that taking the other side of the trade provides to DD brokers. Naturally, the panic spread to other traders who were not trading the pair in question, especially because the loss of money directly affected other brokers’ solvency and this left an impression of insecurity and instability among everyone in the market.

Matters of Security

The topic of security of one’s finances is legitimate, but the overall consequences of the above-mentioned crash have at times been blown out of proportions. The event later proved to have concealed many facts and that the crash resulted from the choice that had been made before. The scandal came to prominence after CFTC, a US regulatory body stepped in and demanded that FXCM exit the US market. Nonetheless, these brokers were left intact because they worked with thousands of traders who in return were granted safety for the same reason. Despite the mistake they had made in the past, the company was bought off right away. And, most importantly, what traders often fail to grasp nowadays is that FXCM did not truly lose traders’ money, but the money was already lost by traders themselves, which further proves how all the concerns over the possibility of a crash causing brokers’ instability illogical and overblown.

Aside from the issues presented in the paragraphs above, the main question of today falls right down to the selection of spreads. All traders are understandably keen on finding better, lower spreads nowadays and, as explained before, ECN brokers are well-known for their narrow spreads. Nevertheless, with the competition rising by the day, spreads have become more or less equal in this respect regardless of the broker one opts for. The differences are simply too small to make a trader go for one broker rather than for the other. Also, even if a trader looks at sites where they can see real-time spreads (e.g. on MyFxBook), the numbers change quite rapidly and, within one hour or so, traders will be presented with a different spread of winners and losers.

These differences, however, further lose their importance if you are someone trading the daily chart where these matters are simply not relevant as with other trading styles. The varieties one can spot between different spreads should not be of concern for any trader regardless of how they trade (e.g. whether it is a five-minute or daily chart) because, at the end of the day, these will not matter after a year passes. At times it may be a wiser decision to trade a portion of a pip for convenience or quality of life. The end result will not depend on the spread itself but on other, more important factors that make someone a good trader overall.

The Role of Each Trader

Forex traders have the option of testing each piece of information nowadays, which is an important item of knowledge especially when emotion-fueled stories start to circulate. Traders have an obligation to assess everything and prevent the myths from factoring in their decision-making processes. We can see how news is mostly blown out of proportions and, especially with communities gathered around the same topic or goal, clarity and vision can get rather obscure. As every main brokerage house can proudly offer smaller spreads, traders need not concern themselves with matters that do not impact their trades. Therefore, the debate over which broker to use, the DD or the ECN one, now becomes futile.

Aim to maintain a sense of objectivity and stop making matters too personal. Dealing Desk brokers will always take the opposite side of a trade and it does not pose a threat to any individual trader. ECN brokers, likewise, should not be judged for a past mistake that is highly unlikely to ever be repeated. Simply put, your broker has no interest in bringing you down and, as long as there are interested parties, they will do whatever it takes to keep the game going. Last, instead of weighing yourself down by unnecessary questions and concerns, you truly need to go and see what is offered in the market and test it yourself before allowing panic to affect your trading.

 

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Crypto Daily Topic Forex Daily Topic

How to Trade Forex Anonymously with Bitcoin

Anonymous trading used to be a reserve for high-profile investors. But with the increasing acceptance of crypto in forex trading, anyone can trade anonymously now. There are both advantages and limitations to trading anonymously. If you choose to trade forex anonymously, you could use Bitcoin or any altcoin accepted by your broker. 

In this article, we’ll look at what it means to trade anonymously, why you would do it, and, most importantly, how to use Bitcoin in this endeavor.

KYC-Based vs. Anonymous Forex Trading

Unlike crypto trading, forex investment is a highly-regulated industry. For this reason, regulators require forex brokers to conduct extensive know-your-customer (KYC) processes before allowing traders in. Traditionally, exchanges have had no provision for anonymity. However, over time, many have switched to anonymous/hybrid trading practices. 

So, what is anonymous trading? Anonymous trading happens when investors choose to conceal their identity, although their trading activity remains visible in the order book. Usually, an investor will choose between trading on an anonymous (national) exchange or opt for the more private dark pools. 

Anonymous brokerage firms are still regulated and thus do not provide complete anonymity – regulators can still access personal information about a particular trader and their activity. On the other hand, dark pools are private trading platforms that are generally out of the investing public’s reach. They can be registered and operate legally, like conventional brokerages. 

Whether you’re trading in an open brokerage or a dark pool, crypto is particularly useful in keeping transactions identityless. 

With that, let’s find out why you would consider trading anonymously. 

Why Trade Forex Anonymously?

Motivations for trading anonymously may differ slightly between investors. However, the following are common reasons. 

  • Protecting identity – For personal reasons, you might opt to remain an unknown investor on the market. Sometimes one just desires privacy – be it to circumvent some restrictions, keep away stalkers, etc.
  • Protecting your strategy – If you’re a particularly savvy trader, your tricks will always be at risk of being copied. But if you trade with your identity concealed, you’re making it difficult for them to join the dots that make up your strategy. 
  • To conceal your intention – Crypto markets are sentimental, and if traders see you buying or selling in large volumes, prices can move, sometimes to your disadvantage. In such a case, buying or selling anonymously allows speculation to shape the course of price movements.

Using Bitcoin to Trade Forex Anonymously 

It’s very possible to trade forex using crypto. And while you can use any crypto to trade forex (as long as your broker allows it), Bitcoin has some advantages. Obviously, the main one is its wide acceptability. BTC’s volatility also makes it a suitable currency for investment. That said, this is how you can use Bitcoin to trade forex. 

#1. Get Bitcoin – Naturally, the first step is to acquire Bitcoin. For this, you will need to visit an exchange (not a forex exchange, though). Familiarize yourself with the likes of Coinbase, Binance, and Changelly. 

#2. Find a good broker – Not all forex brokers accept Bitcoin. Those that do may be referred to as Bitcoin deposit forex brokers. 

#3: Deposit Bitcoin with the broker and provide them with the finer details of the trade they should execute.

Of course, this is a high-level overview of the process. There are intricacies involved, such as how to evaluate brokers and the risks and the benefits of using Bitcoin to trade crypto that you need to be aware of. Let’s take a look at these below: 

Top 10 Bitcoin Deposit Forex Brokers

The list of Bitcoin deposit forex brokers is growing by the day. Some of the truly tried-and-tested include the following. Links go to a full review of the broker, where available.

#1. IC Markets – This broker is regulated by the Australian Securities and Investments Commission. They accept deposits from $200 in any of the supported currencies, including BTC. With IC Markets, you can get a leverage of up to 500:1. IC Markets allows its customers to trade Forex, Metals, indices, bonds, stocks, and digital currencies.

#2. EagleFX – EagleFX is a beginner-friendly broker with whom you can trade from as low as $10. The platform offers fast account setup and supports over 55 currencies and 32 digital assets. Withdrawals are also pretty fast. With leverage of 1:500, experienced traders can equally benefit from the platform. One of the things making EagleFX stand out is that it appeals to all levels of traders – from beginners to seasoned investors.

#3. CedarFX – CedarFX is a rather interesting option, as it offers zero commission trading with very tight spreads. This broker offers traders six asset classes: digital assets, stocks, indices, metals, futures, and commodities. When trading with CedarFX, the best part is that investors get to choose from a wide array of options. CedarFX’s leverage goes up to 1:500 and also accepts a minimum $10 deposit.

#4. FX Choice – Just like IC Markets, FX Choice is an electronic communication network (ECN). They accept deposits from $100 in a range of crypto and fiat currencies. The broker offers maximum leverage of 200:1 and a variety of Forex pairs, metals, indices, and digital assets.

#5. Longhorn FX – This broker seeks to attract beginner investors with low minimum deposits starting from $10. You can get leverage up to 1:500 to trade with over 55 currency pairs. Withdrawals are fast and easy, which increases its appeal. 

#6. Cryptorocket – This broker allows investors to trade various instruments that include crypto, commodities, stocks, and forex. Leverage of up to 1:500 is possible, and it can be applied to trade some 35 crypto pairs, 55 fiat currency pairs, among other asset classes. The broker features institutional-grade liquidity that guarantees investors competitive pricing. Also, Cryptorocket uses straight-through processing – so you can be sure there will be no price manipulation.

#7. Think Markets – Think Markets is a market maker non-dealing desk kind of broker. You can start with any amount for your deposit, which is encouraging for new users. It is regulated by the Australian Securities and Investments Commission (AU), the Financial Conduct Authority (UK), and the Financial Sector Conduct Authority (ZA). 

#8. FXTM – FXTM is an ECN market maker regulated by the Financial Services Commission of Mauritius. You can start trading from a minimum of $5 (or its equivalent in any of the supported currencies). The broker offers maximum leverage of 1:1000.

#9. HotForex – HotForex is also a market maker that accepts deposits from $5. It is regulated by the Dubai Financial Services Authority and accepts several base currencies. The maximum leverage you can get is 1:1000. 

#10 Hugosway – Hugosway is a well-established broker with offices in Kingstown, St. Vincent and the Grenadines. The broker accepts bank transfers as well as crypto funding while offering its customers fast times on deposits and withdrawals. It allows trading in digital assets, forex, indices, and metals.  The minimum deposit is $50 using credit card and bitcoin, and $10 using Vload.

Benefits of Trading Forex with Bitcoin

  • Increased privacy – When you trade forex using Bitcoin, you don’t need to share your personal financial info.
  • Increased leverage – Many brokerage firms offer leverage to Bitcoin traders. If you know how to use leverage, this can be hugely beneficial.
  • Potentially lower costs – Bitcoin deposit forex brokers are reportedly lowering brokerage fees to attract the new breed of BTC-forex investors.
  • Lower deposits allowed – Again, it appears like Bitcoin deposit forex brokers are using this strategy to attract new investors.
  • Easier cross-border trading – Thanks to Bitcoin being a global currency, you can trade with any broker from anywhere.

Risks of Trading Forex with Crypto

  • Volatility – Since Bitcoin’s prices change continuously, a broker may take advantage of traders by receiving their Bitcoin using the day’s lowest rate and exchanging it at the day’s highest rates. 
  • The leverage temptation – The special leverage used to entice BTC-forex brokers is a great risk to novice investors.
  • Mixing of asset classes – Bitcoin and forex are different asset classes. This use of an ‘intermediary’ currency increases trading complexity and risks.
  • Bitcoin’s inherent risks – Bitcoin, like all cryptos, can be easily stolen if not properly secured. A broker that is licensed and reputable ensures the safety of your funds.

Final Thoughts

Using Bitcoin to trade anonymously offers several benefits. You can take advantage of the higher leverage, lower deposits, lower costs, easier cross-border trading, and so on. There is also an ever-increasing number of Bitcoin deposit forex brokers you can experiment with. However, ensure to employ plenty of caution and thoroughly research brokers so you don’t lose money, and start slow, testing it with minimum deposits and thin trades. Overall, anonymous forex trading with Bitcoin is an exciting endeavor that you can explore – whether you’re a veteran or new to the game. 

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Forex Course

158. Where to Find Authentic Forex News and Market Data?

Introduction

Fundamental analysis is an integrated part of forex trading. It provides an exact logic and reason behind the movement of a currency pair. However, the fundamental analysis depends on several fundamental releases and news. Therefore, it is evident for a trader to know the source of this news.

What is Forex News and Market Data?

Forex news is economic, geopolitical, and financial news that may directly affect the price of a currency pair. Moreover, fundamental data are economic releases that show the current and upcoming economic conditions of a country.

The price of currency pairs depends on many factors, and traders evaluate it to anticipate the market movement. For example, if a country achieved its targeted inflation rate, and the central bank raised the interest rate, it will indicate stronger economic conditions that may influence traders to take traders in a specific direction.

However, it is essential to find the source where the forex news and market data are available.

Where to Find Forex News and Market Data

Forex trading becomes very easy nowadays as most economic news and market data are available on the internet as soon as it releases. Therefore, forex trading becomes very attractive to retail traders as they can operate all their activities from home with a computer and a stable internet connection.

Let’s have a look where we can find this information:

Forex Brokers

Many forex brokers provide integrated market news and an economic calendar where the upcoming economic releases and events are scheduled. It will update as soon as the news comes and will provide historical data. Some brokers provide exclusive technical and fundamental analysis based on forex news and market data, which is also helpful for traders.

News Portal

Besides the forex broker, there are many websites where forex economic calendar and events are released. It also provides technical and fundamental analysis based on the available information. However, some trading portals offer live charts with economic data.

Image Source: www.forexfactory.com

Forex Indicator

Besides the MT4 and MT5 trading platform’s stock indicator, several custom-based indicators show the upcoming news in a box within the price chart. When the news comes, it shows the result immediately on the chart. On the other hand, MT4 and MT5 have a built-in economic and fundamental news service, which is very useful.

Conclusion

It is not very hard to find forex news and market data as it is available publicly, and anyone can access it. However, the challenging part is getting the news immediately after release. The news’s timing may differ based on the quality of the internet connection and execution speed of the news providing website.

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Categories
Forex Brokers

What Are the Most Common Forex Broker Promotions?

Currently, the number of online Forex and CFD brokers has multiplied and everything seems to indicate that this trend is certain to continue in the near future. These markets have become significantly popularized worldwide and these companies seek to take advantage of the boom of these sectors as more and more people seek to make profits in the financial markets, which potentially can offer great benefits to the trader.

Due to the strong competition among online brokers, which is growing, these companies have started to offer different promotions to their clients (both new and existing), ranging from fund deposit bonuses to trading competitions with excellent rewards to winning traders.

  • In general terms, the objectives of these promotions are:
  • Attract new customers who open trading accounts and deposit funds.
  • Encourage existing customers to make additional deposits of funds.
  • To ensure that existing customers operate regularly with the broker, carrying out transactions frequently and with an increasing volume of trade.

In this section of the article we will describe the main types of promotions offered by Forex brokers and online binary options:

Bonds for the Deposit of Funds

As their name suggests, they are bonuses that clients receive when they open an account with a broker for depositing funds with the aim of trading in the market. Usually, the amount of the bonus is a fixed percentage of the capital deposited by the customer (10%, 20%, 30%, 50%, 100%, etc.) or a fixed amount of money depending on the trader’s deposit, such as $100 for a deposit of $500 or $300 for a deposit of $1000. We can distinguish two basic types:

Welcome Bonuses: These are deposit bonuses that apply only to the first deposit made by the customer after opening the account. Depending on the broker and the promotion, we can find welcome bonuses up to 100% or more.

Bonuses for each deposit: These bonuses apply to each deposit made by the trader in your account, not just the initial deposit. They aim to encourage trader loyalty and get you to deposit more money into your account.

There are also promotions of this type in which the broker grants a bonus to the customer for depositing funds through a specific payment system such as Skrill or Neteller, for example.

In most cases, deposit bonuses can be withdrawn once the trader meets a number of requirements (depending on the promotion), such as completing a certain volume of trades in the market, for example. In other cases, the bonus cannot be withdrawn but can be used as an additional credit to trade in the market. It is recommended to carefully read the conditions of the offer as some brokers stipulate almost impossible conditions to fulfill for the withdrawal of the bond.

Free Bonus without Deposit

These promotions consist of free bonuses that do not require a previous deposit from the customer. In other words, the only requirement is that the trader opens an account with the broker. In some cases, the customer is asked to verify their identity, email, mobile phone, or current address, while in others the trader receives the bonus just open the account.

Usually, the bonus amount is $5 to $100 depending on the promotion. The trader can use the bonus to trade in the market with complete freedom and can keep the gains from their trades. You can usually withdraw your winnings even though some brokers require additional conditions that many might call unethical.

In most of these promotions, the bonus money cannot be withdrawn (it is only for trading purposes). Although in some cases this is possible, but for this, the trader must fulfill a series of quite difficult conditions (usually must complete a certain volume of trades).

Promotions of Cash Rebates

They can be said to be bonds for trading in the market. Cash rebate promotions consist of the return of a percentage of the profits earned by the broker (usually a percentage of the spread) with the trades performed by the customer. This return is given in the form of an amount of money determined by a trading volume unit (such as X USD per standard traded lot). Therefore, the more frequency and volume a trader trades, the more money they can get through these promotions. Traders who do a lot of intraday trading get a significant additional amount of money through cash rebates as there are no limits on the amount they can earn (the more the trader trades, the more the broker earns).

In some cases, the amount of cash rebates a trader can earn depends on monthly trading. In other words, the broker may increase or decrease the profit per lot traded based on the monthly volume of trades made by the trader. For example, a broker can offer a standard cash rebate of $3 per lot to traders who complete a trading volume of 100 to 200 lots and a standard cash rebate of $5 per lot to traders who complete a volume of 200 to 1000 lots. Of course, this depends on each broker and the promotion.

Trading Skills

They are tournaments organized by brokers where their clients compete in tournaments that offer cash prizes to the winners, in some cases quite good. Usually, the winners are determined according to their performance as traders or by some other condition (for example, traders who carry out the greatest number of trades or complete the largest trading volume during the period of the competition). Its duration is variable, from a few hours to several months. We can distinguish two basic types:

Real Account Competitions: These are real account trading tournaments in which traders trade with real money and therefore carry a level of risk for the customer, as they may lose part or all of the capital of their account. These competitions usually offer the biggest prizes to participants, in some cases thousands of dollars.

Demo Account Competitions: These are trading tournaments for demo practice accounts in which traders trade with virtual money. Therefore, they do not present any level of risk for the participants, although the prizes are usually less than those offered by the competitions for real accounts.

Bonus for Referring Other Customers

These are promotions in which the broker gives the customer a fixed bonus for referring other clients who open an account with the company and deposit funds. These bonuses are paid only when referred traders deposit funds into the account (there is usually a minimum amount for the bonus to be credited). An advantage of this type of offer is that there are no limits as to the number of customers that can be referred, which means that there is no limit to the amount of bonuses that can be obtained.

In some cases, the broker increases the amount of the bonus depending on the number of referred traders, meaning that it rewards the customer for their performance. For example, a broker can pay $150 to refer 1-50 traders and $200 to refer 51-100 traders. Money from these bonds can be withdrawn without restrictions or used to trade in the markets.

Free Seminars and Webinars

Some brokers offer on a regular basis free seminars and webinars focused on different topics of trading and financial markets and/or company services. They are usually quite educational and can be quite useful for novice traders interested in learning about financial markets. Some brokers offer seminars and webinars on a wide variety of topics, such as trading strategies, technical analysis tools, fundamental analysis, monetary management, risk management, graphical analysis, and many others. These promotions are a useful resource that can be taken advantage of even by more experienced operators.

Bonuses and Forecasting Competitions

It’s a relatively new kind of promotion. They are basically competencies that reward the customer for forecasting the outcome of various key indicators (such as Non-Agricultural Payroll), the latest quote of a given instrument (such as a currency pair such as EUR/USD) at the end of a specific period, or by carrying out precise market analyses and forecasts.

Winners usually get cash bonuses that are deposited in their accounts and can be withdrawn. Depending on the promotion, in some cases, the withdrawal of prizes requires the customer to comply with a number of conditions, such as completing a certain volume of trades in the market.

Drawing with Prizes for Winners

Sometimes brokers organize different draws between their customers (new and existing) offering different prizes to the winners, including cash prizes (in the form of bonuses) and travel among others. Each of these draws can differ significantly with respect to the conditions, prizes offered, how to participate, and how the winners are determined.

For example, some sweepstakes require the trader to open an account, verify it and deposit a certain amount of funds. Others require the trader to complete a certain amount and/or volume of trades. Winners are usually chosen at random from among the participants, although this depends on the draw. Prizes are awarded depending on the nature of the prizes, as they can be cash bonuses or even paid-for trips.

Additional Resources and Services

Sometimes brokers offer special promotions that consist of different resources and additional free services for customers who meet a number of requirements. For example, a broker can offer trading courses, ebooks, personal training, or other special benefits to new customers who open an account and deposit funds. Similar promotions also exist for existing customers who deposit additional funds or complete a certain volume of operations.

In this sense, there is a great variety of promotions of this type that offer all kinds of useful resources. For example, some brokers have programs that reward their clients with «points» for trading in the markets or other shares, which can be exchanged for cash bonuses, prizes, additional services such as those mentioned above, improvements in existing services, improved trading conditions and others.

We also have cases of brokers offering a free VPS service to clients who maintain a certain level of capital in their account and/or complete a certain volume of transactions per month.

Free Resources for the Trader

In order to get new customers and promote their brand, some brokers offer all kinds of free resources to the trader, which in some cases do not even require the trader to open an account with the company. These resources include trading courses, free ebooks, training, and more.

Categories
Forex Brokers

Neat Forex Review

Neat Forex is an online ECN forex broker based in the United Kingdom. “A comprehensive range of trading options, instant technical support 24/5, and individual approach are available to all our customers, regardless of their investment. Our primary objective is to support each of our customers at every step, starting from new account registration to money withdrawal.” That is their statement as to why traders should choose them as their broker. We will be using this review to find out if it would be a good choice to join them, or if it would be better to avoid.

Account Types

Should you decide to join up with Neat Forex, you will be presented with a choice of five different accounts; they each have their own individual requirements to open as well as their own trading conditions. So let’s look at what they are.

Micro Account

This account has a minimum deposit requirement of $10, it comes with a spread starting from 2 pips and there are no added commissions. The account can be leveraged up to 1:400, there are no swap charges on this account. Expert advisors are allowed and the minimum trade size is just 0.01 lots. The margin call level is set at 40% and the stop out level is set at 40%, the account also comes with 24/7 free support.

Mini Account

This account has a minimum deposit requirement of $500, it comes with a spread starting from 1.5 pips and there are no added commissions. The account can be leveraged up to 1:400, there are added swap charges for holding trades overnight on this account. Expert advisors are allowed and the minimum trade size is just 0.01 lots. The margin call level is set at 40% and the stop out level is set at 40%, the account also comes with 24/7 free support.

Premium Account

This account has a minimum deposit requirement of $2,500, it comes with a spread starting from 1 pip and there are no added commissions. The account can be leveraged up to 1:300, there are added swap charges for holding trades overnight on this account. Expert advisors are allowed and the minimum trade size is just 0.01 lots. The margin call level is set at 40% and the stop out level is set at 40%, the account also comes with 24/7 free support.

ECN Account

This account has a minimum deposit requirement of $5,000, it comes with a spread starting from 0.2s pip and there is an added commission on the trading. The account can be leveraged up to 1:300, there are added swap charges for holding trades overnight on this account. Expert advisors are allowed and the minimum trade size is just 0.01 lots. The margin call level is set at 40% and the stop out level is set at 40%, the account also comes with 24/7 free support.

VIP Account

This account has a minimum deposit requirement of $5,000, it comes with a spread starting from 0.0 pips and there is an added commission on the trading. The account can be leveraged up to 1:200, there are added swap charges for holding trades overnight on this account. Expert advisors are allowed and the minimum trade size is just 0.01 lots. The margin call level is set at 40% and the stop out level is set at 40%, the account also comes with 24/7 free support.

Platforms

MetaTrader 4 is the available platform to use. MT4 offers smart automation functionality and delivers optimal order execution on each and every trade. Take advantage of low latency with fewer re-quotes, while accessing real-time market data at a single click. The platform also offers additional benefits such as customized automated EA’s, multi-language/currency support, instant trade execution, professional trading charts, streaming market updates, top technical indicators, and more. The platform is also highly accessible and can be used via a desktop download, mobile app, or web trader.

Leverage

The leverage that you can receive is determined by the account type you are using, the Micro and Mini accounts can be leveraged up to 1:400, the Premium and ECN accounts can be leveraged up to 1:300 and the VIP account can have leveraged up to 1:200. The leverage can be selected when first opening up an account and can be engaged by getting in contact with the customer service team.

Trade Sizes

Trade sizes on all accounts start from 0.01 lots, they then go up in increments of 0.01 lots so the next available trade would be 0.02 lots and then 0.03 lots. We do not know what the maximum trade size is but would suggest not trading over 50 lots in a single trade due to execution speeds, we also do not know how many open trades or orders you can have at any one time.

Trading Costs

There are some added commissions on the ECN and VIP accounts, however, we do not actually know what they are, it is a little strange for this not to be mentioned on the site. The Micro, Mini, and Premium accounts do not have any added commissions as they use a spread based system that we will look at later in this review. There are also swap charges on the accounts (except for the Micro account) and these are charged for holding trades overnight and can be viewed within the trading platform you are using.

Assets

The assets have been broken down by Neat Forex into a number of different categories. We have outlined them below along with the instruments within them.

Forex: AUDCAD, AUDCHF, AUDJPY, AUDNZD, AUDUSD, CADCHF, CADJPY, CHFJPY, EURAUD, EURCAD, EURCHF, EURGBP, EURJPY, EURNZD, EURUSD, GBPAUD, GBPCAD, GBPCHF, GBPJPY, GBPNZD, GBPUSD, NZDCAD, NZDCHF, NZDJPY, NZDUSD, USDCAD, USDCHF, USDJPY, USDMXN, USDSGD, USDZAR.

Metals: XAUUSD, XAUEUR, XAGUSD, XPTUSD.

Indices: AUS 200, ESP 35, EUR 50, FRA 40, GBR 100, GER 30, HK 50, JP 225, NAS 100, SPX 500, US 30.

Energies: US Oil and UK Oil.

Cryptocurrencies: BCHUSD, BTCEUR, BTCUSD, DASHUSD, EOSUSD, ETHEUR, ETHUSD, IOTAUSD, LTCEUR, LTCUSD, NEOUSD, OMGUSD, XMRUSD, XRPUSD, ZECUSD.

Spreads

The starting spreads that you receive depends on the account you are using, we have outlined the starting numbers below.

  • Micro Account: Starting from 2 pips
  • Mini Account: Starting from 1.5 pips
  • Premium Account: Starting from 1 pip
  • ECN Account: Starting from 0.2 pips
  • VIP Account: Starting from 0.0 pips

The spreads on all accounts are variable which means they move with the markets, the more volatility in the markets the higher the spreads will be, different instruments will also have different natural starting spreads.

Minimum Deposit

The minimum amount needed to open up an account is $10 which allows you to open up the Micro account, once an account is open, the minimum reduces down to $5 for a further top-up deposit.

Deposit Methods & Costs

There are a few different methods available, we have outlined them below along with any potential deposit fees.

  • Bank Wire Transfer – Deposits over $5,000 no fee, Below $ 5,000 bank fees depending on bank
  • Visa / MasterCard – 3.35% fee on deposits below $ 5,000
  • Skrill – No added fee
  • Neteller – No added fee

Be sure to check with your own bank or processor to see if they add any transfer fees of their own.

Withdrawal Methods & Costs

The same methods are available to withdraw with, for clarification these are Bank Wire Transfer, Visa/MasterCard, Skrill, and Neteller. There are no added fees however you will be expected to pay for any bank fees when using Bank Transfer and you should also check that there are no added fees by your own bank for processing.

Withdrawal Processing & Wait Time

Withdrawal times for Visa/MasterCard, Skrill, and Neteller should process the same day as the request or the next working day if requested after opening hours. When using Bank Wire Transfer it will take on average between 3 to 5 working days based on your own banks’ processing times.

Bonuses & Promotions

The only bonus mentioned on the site is something called Gadget Power, however, it ended on 30th June 2019. We will outline some details about it anyway as it will give an idea of the sort of promotions that they offer, if you are after a promotion you should contact the customer service team to see if there is anything coming up that you could take part in.

Gadget Power: Neat Forex introduces IB contest, the IB contest is designed to reward active and effective Introducing Brokers who are able to scale different trading Volumes by the end of the month, Aside from your normal IB commission we further reward you with gifts as specified below for your hard work. Simply, refer people to join and earn various rewards from phones to laptops.

Educational & Trading Tools

There are a few different tools available, the first being an economic calendar, these tell you about upcoming news events and also which markets they could affect, there is also a blog but it hasn’t been updated since June 2019. There is also a market news section and an educational section that details different aspects of trading such as trading strategies, forex market history, benefits of trading, and a forex foundation class, nothing that will help make you an expert.

Customer Service

The customer service team is available 24 hours a day 7 days a week. You can contact them using the online submission form, a postal address, email, phone number, skype or even WhatsApp.

Address: 3rd Floor 207 Regent Street, London, England, W1B 4ND, United Kingdom

Phone: +44-1622370215

Email: [email protected]

Skype: nfsupport

WhatsApp: +35799061993

Demo Account

You can open up a demo account with Neat Forex, however, the button to open one up, loads a broken page, so we weren’t able to see any conditions or actually open one which is a shame, hopefully, this is just a temporary issue. Demo accounts allow you to test out trading conditions without risking any of your own capital.

Countries Accepted

The following statement is available on the site: “NF Group Limited does not provide services for citizens/residents of the United States, Cuba, Iraq, Myanmar, North Korea, Sudan.” If you are still not sure of your eligibility, we would suggest contacting the customer service team prior to signing up for an account.

Conclusion

There is a large selection of accounts available from Neat Forex, each having their own conditions, the conditions on offer seem quite competitive, the only issue is that we do not know what the commission charged on the ECN or VIP account actually is, so the full extent of the trading costs is not known to us. There are plenty of assets available to trade which is great and there are a few different methods available to deposit and withdraw with minimal fees. The demo accounts at the time of writing this were leading to a broker page so this was a little concerning. If the demo accounts get fixed then the trading conditions seem ok, the decision to use them though is up to you.

Categories
Forex Brokers

LMAX Review

LMAX Global is an FCA regulated broker based in the United Kingdom. They have been around a long time and claim that many of their key features are their tight spreads, they offer plenty of tradable assets, reliable, high-performance platforms, and the fact that they are FXA regulated. We will be using this review to delve deeper into the services on offer so you can decide if they are the right broker for you.

Account Types

The accounts that you use will depend on the trading platform that you are going to use, we have outlined some of their main features below.

MetaTrader 4 Account This account requires a minimum deposit of at least $1000, it has trade sizes starting from 0.01 lots with a full lot being equal to 100,000 base units. Spread starts from 0 pips and the account has access to Spot FX, Spot Commodities, Equity Indices, and Crypto CFDs. The margin level is set at 100% with the stop out level being set at 70%. You are allowed to hedge on this account and there is an added commission of $5.2 per lot traded.

MultiChart Account: This account requires a minimum deposit of at least $1000, it has trade sizes starting from 1 lot with a full lot being equal to 1,000 base units. Spread starts from 0 pips and the account has access to Spot FX, Spot Commodities, Equity Indices, crypto CFDs. The margin level is set at 100% with the stop out level being set at 70%. The account has a commission for metals, energies, and CFDs of  0.0020% of the notional traded in the second named currency.

LMAX Client This account requires a minimum deposit of at least $1000, it has trade sizes starting from 0.1 lots with a full lot being equal to 10,000 base units. Spread starts from 0 pips and the account has access to Spot FX, Spot Commodities, Equity Indices, crypto CFDs. The margin level is set at 100% with the stop out level being set at 70%. The account has a commission for metals, energies, and CFDs of  0.0020% of the notional traded in the second named currency.

Quantower: This account has the exact same features and conditions as the LMAX Client account.

API Trading: This account has the exact same features and conditions as the LMAX Client account.

Platforms

There are a few different platforms available. We have outlined them below along with some of their main features.

MetaTrader 4 (MT4): MetaTrader 4 is a hugely popular trading platform and comes in the form of a desktop download, WebTrader, and mobile application. The platform has thousands of compatible indicators and EAs that allow you to analyze and automatically trade with the platform. There are a variety of timeframes available for each asset that provide a detailed analysis of price dynamics. MT4 further provides a large number of built-in indicators and tools to help simplify the process of analysis.

LMAX Global Platform: Not a whole lot of information is given away about this platform, but some of its features include direct access to all LMAX Global markets, low latency, anonymous trading, a streamlined efficient, and superior execution, and an easy to use and feature-rich professional user interface.

Quantower: This is a platform from the Quantower company and comes with a number of features including that fact that it has easy access to the platform’s features through the control center, charting, analytics, trading interface, multiple simultaneous connections to different brokers, one-click trading, basic and smart order types, and more. 

MultiCharts: This is yet another trading platform that offers features such as direct access to all markets on LMAX Global, the ability to trade in Micro lots, native stop orders and contingent orders, high-definition charting and direct chart trading, multiple DOM windows, backtesting, and optimization, EasyLanguage® compatibility, entry, and exit automated trading, and 64-bit format to enable unlimited computer memory usage.

Leverage

The retail account follows the recommendations of the ESMA which are as follows:

Leverage limits on the opening of a position by a retail client from 30:1 to 2:1, which vary according to the volatility of the underlying:

  • 30:1 for major currency pairs;
  • 20:1 for non-major currency pairs, gold, and major indices;
  • 10:1 for commodities other than gold and non-major equity indices;
  • 5:1 for individual equities and other reference values;
  • 2:1 for cryptocurrencies;

Should you be considered a professional trader then you will be able to get increased leverage up to 1:200.

Trade Sizes

There are a lot of differences between the accounts, we have outlined them below, we have the minimum trade sizes and also the contract sizes.

  • MetaTrader 4: 100.000 contracts – Forex 0.01 lot min, CFDs 1 lot min
  • MultiChart: 1.000 contracts – Forex 1 lot min, CFDs 1 lot min
  • LMAX client: 10.000 contracts – Forex 0.1 lot min, CFDs 1 lot min
  • Quantower: 10.000 contracts – Forex 0.1 lot min, CFDs 1 lot min
  • API: 10.000 contracts – Forex 0.1 lot min, CFDs 1 lot min

We do not know what the maximum trade sizes are or how many open trades and orders you can have at any one time.

Trading Costs

When trading on the MetaTrader 4 account you have an added commission of:

  • USD: FX $ 5.20, CFD $6.40 per standard lot Round-Trip.
  • EUR: FX € 4.00, CFD € 4.80 per standard lot Round-Trip.
  • GBP: FX £ 3.25, CFD £ 4.00 per standard lot Round-Trip.

When trading on any other account there is an added commission on FX, BULLION, ENERGY, CFDs: 0.0020% of the notional traded in the second named currency.

There are also swap charges when holding trades overnight, they can be viewed within the trading platform, there is also an inactivity fee of $50 per month after 6 months of inactivity.

Assets

Sadly there does not appear to be a full breakdown or product specification available, all that we do know is that there are Spot FX, Spot Commodities, Equity Indices, and Crypto CFDs available to trade. It is often good for brokers to display their available assets as certain potential clients will look to see what assets are available, so not knowing will mean that they may well look elsewhere.

Spreads

Spreads on all accounts are stated to start from 0 pips, however, the spreads are variable which means that they will be influenced by the markets, they will often move higher when there is more volatility or less liquidity in the markets. While some spreads may be as low as 0 pips, others will naturally be higher.

Minimum Deposit

The minimum amount required to open up an account is $1,000, this is the amount needed for all of the accounts and also the minimum for further top-up deposits on an already open account.

Deposit Methods & Costs

Just Bank Wire and Credit/Debit Cards are available to deposit with, it would be good to see some additional methods being available. The good news is that there are no added fees from LMAX, however, you should always check with your own bank or card issuer to see if they add any fees of their own.

Withdrawal Methods & Costs

The same two methods of Credit/Debit Card or Bank Wire are available to withdraw with, just like with the deposits there are no added commissions or fees from LMAX but you should check with your own card issuer or bank to see if they charge any incoming transaction processing fees.

Withdrawal Processing & Wait Time

Withdrawal processes should be processed within one working day from the date that the request was made, it should then take a further 1 to 5 working days for the withdrawal to fully process.

Bonuses & Promotions

There does not seem to be any promotions or bonuses active at the time of writing this review, there are also no signs that there have been promotions in the past. Should you wish to check, you could contact the customer service team to see if there are any promotions coming up that you could take part in.

Educational & Trading Tools

There are a few little tools available to use, there is an economic calendar which details different news events that are coming up, it will also give you an indication of the impact that those news events could have. There is a volume-weighted average price chart, global insights, and a VPS is on offer, however, we think you will be required to pay for this from a dedicated forex VPS company.

LMAX videos

Customer Service

LMAX is offering a number of different ways to get in touch with them which is great, you can use the usual online submission form, fill it in and you should then get a reply via email. You can also use the provided postal address, email address, or phone number. The customer service team is available 24 hours a day between Sunday 22:00 and Friday 22:00 UK time.

Address: 220 C Blythe Rd, London W14 0HH, United Kingdom

Email: [email protected]

Phone: +44 203 192 2555

Demo Account

A demo account is available and they allow you to test out the markets and strategies without any real risks to your own capital. The only options that you get are the platform that you wish to use and the base currency of USD or EUR, the other trading conditions will be matched to those that the platform you chose offers.

Countries Accepted

The following statement is present on the website:

“PLEASE NOTE WE ARE UNABLE TO ACCEPT APPLICATIONS FROM AFGHANISTAN, ALBANIA, AUSTRALIA, BELARUS, BOSNIA-HERZEGOVINA, CONGO DR, COTE D’IVOIRE, CANADA, GUINEA, GUINEA BISSAU, KOSOVO, LEBANON, LIBERIA, MACEDONIA, MONTENEGRO, TUNISIA, ERITREA, GAZA STRIP, HAITI, IRAN, IRAQ, LIBYA, MYANMAR, NORTH KOREA, PAKISTAN, SIERRA LEONE, SERBIA, SINGAPORE, SUDAN, SOMALIA, SYRIA, UNITED STATES, WEST BANK, ZIMBABWE RESIDENTS.”

Conclusion

There are a lot of accounts on offer which are based around the trading platforms, which there are a lot of, so you should be able to find the platform that suits your style. All accounts require a minimum deposit of $1,000, but the leverage on them is restricted down at 1:30 which is far lower than what a lot of retail brokers are now looking for. The spreads are starting low but there is an added commission of $5.2 per lot read, just slightly below the industry average of $6 per lot traded. There is a limited number of ways to deposit and withdraw and while the site states over 100 tradable assets, there is not a breakdown of them. You now hopefully have the information that you need to decide if they are the right broker for you.

Categories
Forex Brokers

The Importance of Good Customer Service with Forex Brokers

When choosing a broker, there’s a lot to consider – what type of accounts do they offer? Which trading platforms are supported? How much will you be paying in fees? How can you fund your account?

There’s so much to contemplate that we might overlook some of the small details. Customer service is one thing that you might not think too much about until after you’ve opened a trading account unless you need help with the account opening process. If support is easy to reach, fast, and polite, you won’t have to worry about having your problems solved quickly later down the road. However, you might find yourself with a big problem and realize that you’ve chosen a broker with horrible customer service when you need help the most. Consider these scenarios:

You have lost the login information to your trading account and can’t get a password reset through email for some reason. You need to get into your account quickly to make or close a trade – but support isn’t online. You wind up waiting days for your account to be unlocked and your broker doesn’t care that you’ve missed out on some important trades.

It’s well past your broker’s outlined timeframe for withdrawals, but yours never hit your bank account, so you reach out to customer support. The agent you speak with is rude and doesn’t seem to care about your problem. They might request certain documents that you can’t get in your country and aren’t willing to work with you at all. You realize that you may never receive your money.

A more technical issue with a trade is causing you to panic because you feel that things aren’t right. Support informs you that they will forward the issue to the trading department – but the specialist won’t be in the office for days because of a limited work schedule.

As you can see, bad customer service can really affect your experience trading with certain brokers. This is why it’s crucial to look at the following factors before opening a trading account through a broker:

#1: How can you get in touch with an agent? In our opinion, LiveChat or any other online instant messaging option is the quickest, most convenient way to contact support. However, some brokers advertise these contact options but rarely have agents online, even during business hours. Be sure to test instant messaging options first to make sure that they are actually used. You also might want to speak to someone on the phone, but every broker does not list a direct phone number. If email is the only contact option, chances are you’ll have to wait at least 24 hours for a response. Imagine having an urgent problem with no option but to wait for days for a response. What if you need to speak to support through multiple messages? Talk about a drawn-out headache.

#2: What hours is support in the office? Some brokers are in the office 24/7 and many others operate 24/5. Having access to support on the weekends is great because this is when most traders decide to open accounts and have questions. Other brokers might have shortened hours that cause them to close earlier in the day. We’ve also seen cases where the trading department or financial departments only work on certain days of the week, which causes a big delay for traders that need to speak to a specialist.

#3: What type of attitude does support have? Think of the scenario we provided earlier where the support agent was unhelpful when dealing with the client who needed to provide a document he couldn’t get because of the country he lived in. Support agents can’t break policy – but we’ve seen cases where agents went above and beyond to find a solution for their clients, even if it meant consulting with the big boss or asking others for advice about how to solve the problem. You should try talking with a few members of your considered broker’s customer service team to find out if the agents are polite and helpful or rude and pushy. It isn’t a good idea to work with a broker that allows their agents to be standoffish towards clients.

#4: What languages are supported? Your browser might translate a broker’s website for you if you speak another language, but it often fails to translate inside of a LiveChat window. If you speak English but are using a broker from another country, or if you speak another language, consider looking for a broker that offers support in multiple languages. There is a way around this, as you can use Google Translate, although this can be a bit inconvenient.

Finding a broker with a professional customer service team is important, as you’re probably going to need to speak with someone at some point in your trading career, whether you have a quick question, are having an issue with a withdrawal, need to speak to the trading department about a trade, get locked out of your account, or for some other reason. Traders often need help quickly when these problems arise so that they don’t miss out on important trading opportunities. If your broker has convenient contact methods, is available most of the time, and is polite and willing to help, then you’ll be provided with quick and easy resolutions. On the other hand, choosing a broker with rude staff and limited contact options will surely create a headache for you later on. Be sure to test out any considered broker’s customer support options before opening an account to find out what to expect.

Categories
Forex Basic Strategies

We Have Simplified The ‘Dolphin Trading Strategy’ For You!

Introduction

One of the most annoying things for a trader is getting stopped out of a ‘long’ trade on the lowest possible tick, after which the prices reverse and move higher. Likewise, nothing can get more annoying than getting out of a ‘short’ trade on the highest possible tick of the move, after which prices reverse and ultimately move in our direction for profit.

All of us would have experienced this unpleasant reality more than once. We have designed a strategy specifically to take advantage of these spike moves in currencies by carefully getting into a trade by anticipating a reversal.

Traders who like to bank on consistent and small profits might feel this strategy appealing despite experiencing frequent stop-outs. Before going through the strategy and the trade setup, we must understand that while it misses infrequently, but when it misses, the losses can be very large.

Therefore, it is absolutely crucial to honor the stop-loss in these setups because when it fails, it can mutate into a relentless runaway move than could blow up our entire account if we continue to hold on to our trades.

Time Frame

This strategy works well on all time frames above the 1 hour. This strategy cannot be used for scalping as the risk is higher.

Indicators

In this strategy, we will not be using any indicators as it is based on pre-determined rules and price action.

Currency Pairs

This strategy applies to almost all the currencies listed on the broker’s platform. However, illiquid pair should be completely avoided.

Strategy Concept   

The trade setup that is formed using this strategy lies on the assumption that support and resistance points of tops and bottoms exert an influence on price action after they are breached. They act like a magnetic field attracting prices back to these points after a majority of the stops have been triggered. The thesis behind this strategy is that it takes an enormous amount of power to breakout or breakdown from tops or bottoms that are created after an extended move.

In the case of a top, for example, making a new ‘high’ requires not only huge capital and power but also enough momentum to fuel the rally further. By the time it makes a ‘new’ high, much of the momentum has passed, and it is unlikely that we will see a new ‘high.’ Dolphins have a very strong memory, and since this strategy is based on the memory of the price, we have named this strategy as ‘The Dolphin Strategy.’

 Trade Setup

In order to explain the strategy, we have considered the EUR/USD pair, where we will be applying the strategy on the 1-hour time frame. Here is the step-by-step approach to executing the strategy effectively.

Step 1

First, we need to identify a sequence of ‘higher highs’ and ‘higher lows’ on the chart when looking for a ‘short’ trade setup. Similarly, we need to identify a sequence of ‘lower lows’ and ‘lower highs’ when looking for a ‘long’ trade. Then we are required to mark the highest point (‘short’ setup) or the lowest point on the chart (‘long’ setup).

In our case, as will be executing a ‘short’ trade, we have identified a swing ‘high’ on the chart shown in the below image.

Step 2

Assuming that we have calculated our position size, we will ‘sell’ half of our position size at the ‘high,’ which was identified in the previous step. In a ‘long’ setup, we will ‘buy’ half of our position size at the ‘low’ identified previously. If the market is strongly trending upwards or downwards, we have to take a position of size lesser than ‘half.’

We are taking half of our ‘short’ positions at the previous ‘high’ once the market starts moving upwards after a retracement.

Step 3

In this step, we have to measure the distance of the ‘retracement’ or ‘pullback,’ which takes place after the price makes the ‘high’ or ‘low’ that was identified in the first step. Measuring this distance with the help of a measuring tool is crucial as further steps of the strategy are based on this distance.

The below image shows the distance of the ‘pullback’, measured with the help of a vertical pink line.

Step 4

In this step, we need to measure the exact same distance that was measured in the previous step above the ‘high’ in an up move or below the ‘low’ in a down move. In a ‘short’ setup, when the price starts moving above the ‘high,’ we will execute the remaining half of the positions at the half-way mark of this distance. Likewise, in a ‘long’ setup, we will execute the remaining half of our positions at the half-way mark of this distance, when the price starts moving lower.

The below image shows the point on the chart where we have executed the remaining positions.

Step 5

Now that we have entered the market with full position size, we have to set an appropriate stop-loss and take-profit for the trade. The ‘stop-loss’ is placed at the price corresponding to the distance of the ‘pullback’ that was measured in ‘Step-3.’ We take profits at two places in this strategy.

The first ‘take-profit’ is at support turned resistance or resistance turned support line. And the second ‘take-profit’ is at the ‘higher low’ from where the market goes back to the ‘high’ identified in the first step. In a ‘long’ trade, it will be at the ‘lower high’ from where the market goes back to the ‘low’ identified in the first step.

Strategy Roundup

One of the concerns for some traders might have with the ‘Dolphin Strategy’ is its asymmetrical structure and complex rules. Readers with good maths skills and trading experience notice the best of the trade setups using this strategy and harvest high risk-to-reward ratios. Traders need to be very strict with their stop-loss as the market might move in one direction only. However, the strategy works in our favor as it is a high probability setup.

Categories
Forex Brokers

Kirik Markets Review

Kirik Markets is an international forex exchange broker that is governed by the status and laws of St. Vincent & the Grenadines. The company specializes in FX and CFD options, with a few cryptocurrency pairs available, while largely focusing on Social Trading. The broker explains that they provide platforms that can help traders achieve short-term investment success and that their client’s happiness is one of their main concerns. Kirik Markets has managed to attract more than 30,000 clients from 45 countries during their 4+ years of operation. If you’re thinking of joining the thousands that have chosen to invest through this broker, you’ll want to keep reading to find out more about their live account types, trading conditions, and more.

Account Types

Kirik Markets features three separate live account types; AED Gold, and Prime/Pro Royal accounts. Account-holders are given the option to choose between MetaTrader 5 and Kirik Markets WebTrader trading platforms, both of which support FX and CFD trading. Those opening an AED Gold account would need to deposit 500 AED, while the Royal accounts offer USD-based deposits of $100 for the Prime account and $1,000 for the Pro account. Despite initial advertisements on the account pages, the broker supposedly bases leverage levels on account equity, with a maximum 1:1000 cap available on any account that holds a balance of less than $500 USD. Another plus to trading through the broker would zero commission fees on all accounts, alongside fairly tight spreads, especially on the Pro Royal account. Account details have been provided below.

AED Gold Account
Minimum Deposit: 500 AED
Leverage: 1:1000 (based on equity)
Commission: Zero
Spread: From 1.8 pips

Royal Prime Account
Minimum Deposit: $100 USD
Leverage: Up to 1:1000 (based on equity)
Commission: Zero
Spread: From 1.8 pips

Royal Pro Account
Minimum Deposit: $1,000 USD
Leverage: Up to 1:1000 (based on equity)
Commission: Zero
Spread: From 1 pip

Platform

Kirik Markets features the MetaTrader 5 platform as their sole trading platform option. More often than not, brokers tend to offer MT5’s predecessor, MetaTrader 4, which is the most commonly available platform on the market. We don’t get to see MT5 offered as often, so it’s nice to see the newer version, which does come with some updates. On the downside, some traders may be used to MT4 and prefer that option, so it is a little disappointing that the broker doesn’t offer a choice between the two. Still, MT5 is a sufficient option that should come with enough features to be sufficient enough for any trader. We’ve provided some of the platform’s highlights below.

  • Available on web-browser, PC, or download on mobile devices and tablets
  • Available in 30+ languages, demo accounts, navigable user-friendly interface
  • Customization options plus multiple charting tools
  • Pre-programmed analytical tools
  • Real-time summary for clients and daily statements, economic calendar
  • More pending order types, timeframes, technical indicators, and languages

Leverage

Leverage options are advertised as being from 1:100 to 1:400 on the Royal accounts and up to 1:500 on the Gold account, however, the broker lists conflicting information on other sections of the website. Under their terms & conditions, Kirik Markets claims that a cap of 1:200 is applicable on all accounts. According to their trading conditions, the default leverage for each account is generally set based on the account’s equity, with 1:1000 being the highest cap. Obviously, there is a big difference between the three advertised options. We’ve listed the equity-based leverage caps below in case these options are the actual offers, which seems to be the most fact-based offer.

Traders should note that the above maximum leverage caps are very competitive, especially compared to strict regulator guidelines through ESMA or others, where traders are restricted to caps of around 1:30. On the downside, one should be very aware of the fact that the broker adjusts leverages based on the account’s funds, and that a higher leverage may be applied on accounts that have been opened by beginners. Trading with high leverage can be extremely risky and the setup may cause some clients to lose funds without much warning.

Trade Sizes

The minimum allowed trade size is one micro lot (0.01). Hedging is supported and Expert Advisors (EAs) are allowed on all accounts. The website does mention that execution speed may be slowed down when the underlying market is very active, which could cause it to take longer for order confirmations to be received. Based on other information regarding execution speed, it seems as though the company may have a more delayed execution time, which is a potential downside considering that this can result in orders being filled pips away from the intended amount.

Trading Costs

Kirik Markets profits from spreads and overnight interest charges. The fact that the broker offers zero commissions on all three of their live accounts makes it easier for traders to keep up with the overall charges of placing a trade. Spreads start from fairly tight options on the broker’s cheaper accounts and are especially competitive on the Pro account, even before one takes the lack of commission fees into consideration. Rollover refers to the interest that is either charged or applied to the trader’s account on positions that are held past the 5 pm ET market closing time. Swap rates are tripled on Wednesdays to account for the upcoming weekend. There do not appear to be any inactivity fees, maintenance charges, or other extra fees.

Assets

The broker offers 28 currency pairs, which consist of majors and minors. Exotic options are not available, resulting in more limited options for this category. Traders will also have access to spot metals Gold, Silver, and Copper, along with oil options UK Oil and US Oil, plus 13 indexes. In addition, traders will find the cryptocurrency pairs BTCUSD, ETHUSD, and BCHUSD, which aren’t as readily available elsewhere. Commodity options like Coffee, Cocoa, Corn, Cotton, Soybean, Sugar, and Wheat are also featured products. On the downside, the lack of exotic options, stocks, and other options do take away from the overall diversity of the broker’s investment portfolio.

Spreads

According to the account types page, spreads start from 1 pip on the Pro Royal account and from 1.8 pips on the AED Gold and Prime Royal accounts. The higher spreads are more reasonable due to the lack of commission fees that are charged by the broker. Bear in mind that certain conditions may affect the spreads that one would see. For example, during the first few hours that the market is open, thinner liquidity may result in wider spreads than those advertised. Rollover can also widen spreads, or generally any time of high market volatility. The website does provide us with a list of typical spreads based on each instrument, but the list is a little confusing, considering that the chart only lists one option per instrument when there are three account types and two different spread. The listed options seem to fall into the lower category that would apply to Pro Royal accounts. We’ve provided a few examples below.

  • AUDJPY: 1.1 pips
  • AUDUSD: 0.7 pips
  • EURUSD: 0.6 pips
  • XAUUSD (Gold): 1.2 pips
  • Brent Crude Oil: 2 pips

Minimum Deposit

The AED Gold account lists a deposit requirement of 100 AED, which roughly translates to $27 USD. Of the two Royal account types, the Prime version is the cheaper option with a $100 USD deposit. The amount is fairly average, and traders would have to deposit $100 regardless based on each payment method’s minimum deposit requirements. The Pro Royal account asks for the most expensive $1,000 USD deposit. This account type may not be affordable for some traders, but Kirik Markets does manage to keep its accounts at more affordable levels than many of its competitors.

Deposit Methods & Costs

Accepted deposit methods consist of the card-based options Visa/MasterCard, Neteller, Maestro, American Express, Diner’s Club, and JCB, along with bank wire, Skrill, Neteller, and Kirik Pay. There is a $100 minimum deposit requirement per deposit made through any method and zero fees are applied to deposits. Aside from bank wire, which has a 3-5 business day processing time, deposits are credited to the trading account instantly.

Withdrawal Methods & Costs

Withdrawals are processed back to the original bank account or payment method that was used to make the deposit. Any earned profits that exceed the amount of the original deposit must be withdrawn to bank wire. Note that the website provides conflicting information for Visa/MasterCard deposits, where the fee is listed as being 3% in one section of the withdrawal chart and $5 in another section. One of these fees would certainly apply. The payment methods Neteller, Maestro, and Skrill will be charged the 3% fee, while American Express, Diner’s Club, and JCB are charged $5 per transaction. Bank wire withdrawals are charged a 0.2% fee, with a minimum payment amount of $30 USD/GBP/EUR.

Withdrawal Processing & Wait Time

Once the withdrawal request has been received and any required information has been provided, it takes the company up to 48 hours to process most withdrawals. In the case of bank wire withdrawals, it can take 5 business days for funds to be released. The process is rather slow compared to the typical 24 hours timeframes offered by most brokers. This could also cause a lengthy delay when it comes to receiving profits sent through bank wire, considering that the bank’s processing times must be factored into the overall wait time.

Bonuses & Promotions

One might consider the broker’s free training program (more info on that later) to be a special opportunity, especially considering that a free trainer is provided to traders that complete the program; a service that many other brokers would charge for. However, Kirik Markets doesn’t offer any direct offers like bonuses, contests, rebate or loyalty programs, or really anything we would consider to be a promotional offer. On their website, the broker explains that bonuses used to be offered but proved to be less than fruitful, so their attention was turned elsewhere.

Educational & Trading Tools

The highlight of Kirik Market’s educational material comes as a free training course, which aims to provide traders with insight into the market, a detailed overview of the MT5 platform, steps to building a professional trading system, and how to understand risk management while avoiding mistakes. Upon completion of the free course, traders are provided direct support with a trainer and Skype consultant that help to tailor one’s strategy. Yet another plus is the ability to participate in this program online, at an office location, or even in person in your own home. The personal approach to the program is unlike many other offers we’ve seen before, so beginners should certainly consider taking advantage of the offer. We’ve also provided an overview of various other resources below.

  • Trading Psychology (Parts 1-4)
  • Trader’s Glossary
  • Trading Central
  • How to Trade Chart Patterns
  • Forex Versus Stock Market
  • Daily News & Forecast
  • How to Build a Trading System
  • More

Demo Account

Along with the majority of other forex brokers, Kirik Markers recognizes the benefits that demo accounts can offer their clients and have therefore made these accounts available to any trader free of charge. The non-expiring demo accounts can be opened by clicking on the “+” sign at the top right corner of the website and filling in the short form. The form allows traders to choose leverage from 1:100 up to 1:500 and an amount of virtual funds from $1,000 to $1,000,000 can also be chosen. The customization options are a bit more detailed than some of the demo accounts we’ve seen before, where leverages are pre-set and funds are often set at unrealistic amounts. Fortunately, the broker does make it possible for the account to be more personalized.

Customer Service

Traders can reach out to support through LiveChat, phone, email, or by filling out a contact form on the website. Business hours aren’t listed exactly, but the broker does provide a 24-hour timeframe for email responses. This timeframe would likely apply to business days (Monday – Friday), with a slightly longer wait time for inquiries received on weekends. Fortunately, agents do seem to be very active on chat and we were even greeted through the chat window once we loaded the website’s page, so it seems as though contacting support is fairly quick and convenient. Contact details have been listed below.

Phone: +501 223 2144
Email: [email protected]

Countries Accepted

Due to their more lenient location in St. Vincent in the Grenadines, it’s possible for Kirik Markets to get by with providing service to clients located in more seriously regulated countries, like the USA, Canada Japan, and etc. However, we did notice a few missing options, including North & South Korea. US residents will also need to select the US Virgin Islands on the registration list.

Conclusion

Kirik Markets is a St. Vincent based forex exchange broker that offers 28 currency pairs, metals, oil, indexes, commodities, and the cryptocurrency pairs BTCUSD, BCHUSD, and ETHUSD on the MT5 platform. The broker offers a competitive maximum leverage cap of up to 1:1000, however, conflicting information on the website suggests that leverage options could be significantly lower. Commission fees do not apply on any of the three live account types and spreads start from a 1-1.8 pip range, which is fairly tight. A variety of funding methods are accepted with fee-free deposits. Varying fees are charged on withdrawals, including a $30 minimum charge on outgoing wire transfers. Withdrawal processing times take up to 48 working hours or 5 business days in the case of wire.

Support is available on weekdays and can be contacted instantly through LiveChat, or via phone and email. In lieu of promotional offers, the broker places a large emphasis on education and even offers a free training program, plus direct support with a trainer and a Skype consultant once the program has been completed, along with educational articles that cover the psychology of trading and various other important topics. The educational offers and competitive trading conditions make the broker worthy of consideration, but traders should keep some of the negatives, like slower execution speeds and withdrawal fees in mind.

Categories
Forex Brokers

ProCFD Review

PROCFD is operated by the Investment Service Company UR TRADE FIX Ltd (registration number 336677) and this company is licensed and regulated under the Cyprus Securities and Exchange Commission (CySEC). They offer quite a wide variety of assets to choose from and also a Demo account for those who want to test out their trading conditions without investing real funds into the account. Keep reading to find out more about this broker and what they have to offer.

Account Types

PROCFD offers four different account types to choose from namely, the Standard, the Gold, the VIP, and the Islamic account.

The Standard account has fixed spreads, daily market analysis, fast executions & quick withdrawals and payments, and quite a high leverage of 1:500.

The Gold account is suitable for advanced traders who have a good hold on the do’s and don’ts of trading. This account comes with a personal account manager, special offers, ALGO trading, live coverage of the market match, and also high leverage of 1:500.

The VIP account is the most ‘luxurious’ account on offer, according to the broker. Customers who hold a VIP account receive a personal dealer who provides them with – market updates, trading ideas, and VIP promotional offers. This account also comes with super low fixed spreads and a leverage of 1:500.

The broker also offers an Islamic account that has similar characteristics to the other accounts however this one is interest-free. The broker states that the guaranteed spreads of this account are equivalent to those in their regular accounts.

You can find more details about each account on the PROCFD’s Accounts page on their website.

Platforms

PROCFD offers its customers a choice of 3 platforms options to use when trading on their PORCFD accounts, these are the Mobile Trader, Desktop Trader, and Web trader. These platforms are linked and can be accessed by the customers using one username and password.

The Mobile trader enables customers to stay up to date with the most recent market rates. Some key features of this platform are, the ability to trade over 200 stocks, indices, currency pairs and commodities, the ability to constantly monitor positions, complete access to balance sheets, equity and margin details, and customizable layout for easy usage.

The desktop trader is ideal for professional traders that use Microsoft.NET technology. The platform comes equipped with advanced integrated charts and it also allows customers to execute one click trades and it is also customizable to fit the customer’s particular preferences.

The Web trader was created to suit the needs of those customers that have issues because of security systems installed on their computers, such as Firewalls, which tend to make trading using the download version more difficult. With this platform, customers are allowed to access a large number of features directly from their own computer, opening, and closing positions, depositing and withdrawing funds, and also viewing the account history.nUnfortunately, PROCFD does not offer the MT4 platform which is by far the most popular platform around.

Leverage

This broker offers a very high leverage of 1:500 for all of their available accounts. Customers must be extremely cautious when dealing with such high ratios as this can bring about major losses as well as major wins.

Trade Sizes

The website of PROCFD seems to be missing some key information, especially when it comes to trading conditions, so unfortunately we cannot comment any further regarding what trade sizes are allowed to be traded when using a PROCFD account.

Trading Costs

The broker does not specify if there are any added trading costs customers might encounter apart from the spread so we cannot comment any further regarding this.

Assets

PROCFD has quite a vast array of currencies available including popular pairs such as EUR/USD and EUR/JPY along with some minor and exotic pairs available as well. As for commodities, this broker offers Coffee, Corn, and Natural gas to mention a few and Apple, Amazon, Cisco, Facebook, Google, IBM, and some others as Shares. PROCFD also has some indices available for trading including Poland 20, US 500, and Netherlands 25 amongst others. You can find the full list of available trading assets on the broker’s website.

Spreads

Apart from mentioning that their accounts have super low, fixed spreads, PROCFD does not provide factual information about how low the spreads actually are, so we cannot comment on this for the time being.

Minimum Deposit

On online customer reviews, we found that this broker asks for a minimum deposit requirement of $100, which is quite standard in the industry. We cannot confirm if this is 100% accurate as the broker does not include this information on their site.

Deposit Methods & Costs

No information is provided regarding how customers can deposit funds into their accounts or what costs they might encounter when doing so.

Withdrawal Methods & Costs

Same as with deposits, there is no mention of withdrawal methods and costs on the website.

Withdrawal Processing & Wait Time

Since there is no information regarding withdrawals on the site, we cannot comment on this for the time being.

Bonuses & Promotions

Customers of PROCFD can apply for one PROCFD promotional offer during the promotion period stated by the broker. The total refund given by the broker will not exceed the initial deposit amount deposited by the customer when opening his/her account. In order for customers to withdraw their bonus funds, they must first generate 10000 times the volume of their net deposits, but first, in order for customers to actually claim the bonus, they must send an email to PROCFD’s promotions department.

Educational & Trading Tools

The Useful Information segment found on this broker’s website has a Forex History article, which mentions briefly the changes the industry has gone through throughout its history, which although makes for an interesting read, it is not very useful for those looking for information to actually help them when it comes to trading. They do have another article which covers a number of points when it comes to influences on currency prices as well as general information about Forex. This segment of their website also has a list of different strategies and analyses customers can choose to adopt during their trading.

Customer Service

Customers wanting to get in touch with PROCFD can do so via email or telephone. We did try contacting them to clarify some of the information that is not clear or completely missing from their website, but we did not receive any reply to our email. Here is their contact information:

Address – Kanika International Business
Centre 4, Profiti Ilia Street,
Germasogeia, CY-4046 Limassol, Cyprus

Telephone – + 44 77522 899 621
Email – [email protected]

Demo Account

PROCFD has a Demo account available for those wanting to get an idea and familiarize themselves with the brokers trading conditions. The broker also states that the Demo account and the trading platform itself has an educational area where customers will have access to tutorials on a variety of aspects of technical analysis and chart patterns.

Countries Accepted

PROCFD does not mention any specific countries that are restricted from using their services.

Conclusion

PROCFD is a Cyprus based broker that offers a variety of accounts available and a number of different assets available for trading. We did find that their website is missing a lot of key information potential customers would be looking to find before creating an account with them which is obviously a disadvantage. Our experience with their customer service left much to be desired as our emails were not answered and as a result, we could not provide all the necessary information. If you’re interested and would like to know more, head on to PROCFD’s website and try contacting them yourself and determine whether PROCFD would be a good choice for you.

Categories
Forex Brokers

MM Financial Experts Review

MM Financial Experts is an FX and CFD broker that is also a binary options provider. The company is owned by Elit Property Vision LTD, a Bulgaria-based company that also owns other brokerages, including GrahamFE and WellingtonInv. These providers don’t loudly advertise their affiliation with the company, which is never a good sign. Taking a look at this specific brokerage’s offers on its own, we see a diverse range of asset classes that can be traded from 8 different live accounts. With so many options to choose from, opening an account can quickly become a tricky process. We’ve gathered all the information we could to bring our readers a comprehensive review that can help with the decision of which account to open, or answer the question of whether this broker is a suitable candidate.

Account Types

MM Financial offers a diverse range of accounts, including Test and Micro accounts, along with Standard, Silver, Platinum, Sapphire, Trader, and Business accounts. As one reaches higher account tiers, then extra benefits will be unlocked. Some of those advantages include expedited withdrawals, spread discounts, earned interest on profits, and risk-free trades. This is a common tactic used by brokerages that push for traders to make larger deposits. Traders will find that this broker’s website can be vague where it counts, especially when describing trading conditions and prices. We were able to determine that spreads start at 4 pips with discounts given once one reaches the Silver account or higher, but we couldn’t find any mention of commission charges at all. Traders will notice that those spreads are much higher than average, and potential commission charges could quickly raise the trading cost to an alarming rate. A quick overview of each account has been provided below.

Test Account
Minimum Deposit: $1,000 USD
Leverage: Up to 1:200
Spread: From 4 pips
Commission: NA

Micro Account
Minimum Deposit: $5,000 USD
Leverage: Up to 1:200
Spread: From 4 pips
Commission: NA

Standard Account
Minimum Deposit: $10,000 USD
Leverage: Up to 1:200
Spread: From 4 pips
Commission: NA

Silver Account
Minimum Deposit: $25,000 USD
Leverage: Up to 1:200
Spread: From 3.6 pips
Commission: NA

Platinum Account
Minimum Deposit: $50,000 USD
Leverage: Up to 1:300
Spread: From 3.4 pips
Commission: NA

Sapphire Account
Minimum Deposit: $75,000 USD
Leverage: Up to 1:400
Spread: From 3.2 pips
Commission: NA

Trader Account
Minimum Deposit: $100,000 USD
Leverage: Up to 1:500
Spread: From 2 pips
Commission: NA

Business Account
Minimum Deposit: $750,000 USD
Leverage: Up to 1:500
Spread: From 1.2 pips
Commission: NA

Platform

The broker offers a simple web-based platform named “Trading Platform” in place of a more popular option like MetaTrader 4 or 5. Beginners may find the registration process to be simpler through this option since one only has to go to the “Trade” tab on the website to register and access the platform. However, more seasoned traders will likely suffer at the hands of the bland platform that doesn’t quite stand alongside MT4 in terms of accessibility, functions, and overall attractiveness. It’s disappointing that MM Financial isn’t willing to pay the licensing fees for a better platform, considering that they are a more expensive brokerage that is owned by an even larger company.

Leverage

The broker offers a leverage of up to 1:200 on their first four account types, pushes the cap to 1:300 on the Platinum account, and up to 1:400 on the Sapphire account. The maximum leverage ratio tops out at a flexible 1:500 maximum on the Trader and Business accounts, providing another advantage to the top-tier account holders. In a similar fashion, certain leverages are assigned to each account when trading cryptocurrencies. Take a look at those options below:

  • Test Account: 1:10
  • Micro Account: 1:10
  • Standard Account: 1:15
  • Silver Account: 1:20
  • Platinum Account: 1:30
  • Sapphire Account: 1:50
  • Trader Account: 1:70
  • Business Account: 1:100

Traders will notice that some of the crypto leverages are much higher than those offered by the competitors. However, one should always remember the risks associated with using high leverage. We wouldn’t recommend using higher options like those featured here without gaining a great deal of experience. Fortunately, traders can start at a lower level and work their way up.

Trade Sizes

When it comes to trading conditions, the broker’s website is very vague. This isn’t the only category where we felt that the website could have done a better job providing us with information. Common sense tells us that the smallest trade sizes would be one micro lot on the Micro account and this is likely the starting option on the Test account as well. However, we can’t say whether the Standard account adopts the same minimum trade size, or raises the requirement. Often times separate account types do come with different trade sizes, with around one lot being required on more expensive accounts.

Trading Costs

This broker is one of many that don’t advertise their costs in a transparent way. The website spends a lot of time boasting about their account’s special offers and spread discounts, which is actually just a fancy way of advertising spreads that are more than double the average amount on most of their accounts. We would hope that this is a sign that commissions aren’t charged, considering that those charges would put the cost of trading at an insane amount. However, we’re left with more questions than answers when it comes to the overall charges applied by the broker, including withdrawal fees. This is another red flag that MM Financial may not be a straightforward option.

Assets

Although MM Financial doesn’t provide a comprehensive list of their available instruments, they do advertise currency pairs, indices, commodities, and stocks as being among their offers. The broker also offers currency pairs, which aren’t offered nearly as common among their competitors. In total, MM Financial claims to offer more than 800 liquid assets for trading, but traders shouldn’t be surprised if this statement doesn’t hold up entirely.

Spreads

When it comes to spreads, the broker’s website doesn’t throw out any exact numbers and instead lists the discount one will receive based on account type. This makes it sound like a great deal when it isn’t. After checking the platform, we found spreads to be around 4 pips. Following that math, we were able to determine the average spreads one would likely see on each account type once discounts have been applied. Those figures can be viewed below.

  • Test Account: 4 pips
  • Micro Account: 4 pips
  • Standard Account: 4 pips
  • Silver Account: 3.6 pips
  • Platinum Account: 3.4 pips
  • Sapphire Account: 3.2 pips
  • Trader Account: 2 pips
  • Business Account: 1.2 pips

Do keep in mind that spreads may deviate from the above numbers since the website isn’t clear about the figures. Judging by what we found, it seems that MM Financial expects one to make a $750K deposit to access less than average spreads. Otherwise, traders will be subject to spreads that are up to more than twice the industry average amount. At those rates, it would be difficult to turn a profit.

Minimum Deposit

MM Financial starts off with an expensive $1,000 entry-level deposit on their Test account, which is much higher than the $100 (or less) entry-level deposits offered by many other brokers. From there, the asking amounts keep climbing, up to $5,000 on the Micro account, $10,000 on the Standard account, $25,000 on the Silver account, $50,000 on the Platinum account, $70,000 on the Sapphire account, $100,000 on the Trader account, and $750,000 on the Business account. Traders should also note that each account holds a maximum balance that tops out at $1 below the funding amount for the next account. For example, the Test out tops out at $4,999, which is just $1 below the Micro account’s $5,000 deposit requirement. Costs with this broker aren’t exactly beginner-friendly and it may take some time to save up to open a simple Test account.

Deposit Methods & Costs

Accounts can seemingly be funded through Visa, MasterCard, bank wire transfer, WebMoney, and Yandex. The website is rather vague when it comes down to describing specific funding information, so we can’t say for sure whether deposits are fee-free or not. If you’re making a deposit through bank wire, then you should expect to see a charge from the bank’s side.

Withdrawal Methods & Costs

MM Financial follows standard guidelines that state withdrawals must be made back to the originating payment method in order to prevent money laundering. Any profits would be withdrawn through bank wire transfer. Note that there is a $50 withdrawal minimum, which could cause a headache later on, especially if one’s luck goes south and they decide to pull out remaining funds. Traders can request a withdrawal online, by phone, email, or in person. Once again, fees aren’t listed on the website, so the broker leaves their clients blindly hoping that charges won’t climb too high.

Withdrawal Processing & Wait Time

The actual timeframe that it can take for the company to process your withdrawal will depend on your chosen account type. Those that can afford one of the better accounts will benefit from this procedure, with 48-hour withdrawals on the Silver & Platinum accounts and 24-hour withdrawals on the Trader & Business accounts. Everyone else will have to wait 1-5 business days for their withdrawals to even be processed. Many other brokers offer 24 to 48-hour processing, regardless of one’s account status, so the wait time is rather extended here.

Bonuses & Promotions

MM Financial offers a Welcome bonus of up to 100% and other trading bonuses, along with a certain number of risk-free trades on each account, plus earned interest on profits for certain accounts. Note that some of these offers are reserved for accounts of the Silver status and up. Take a look at each account’s special offers below:

  • Silver Account: 3 risk-free trades
  • Platinum Account: Extra 3% interest on profits & 5 risk-free trades
  • Sapphire Account: Extra 4% interest on profits & 7 risk-free trades
  • Trader Account: Extra 5% interest on profits & 12 risk-free trades
  • Business Account: Extra 7% interest on profits & 25 risk-free trades

Some additional offers include a certain number of guided trades or daily guided trades (depending on account type) and special earnings reports.

Educational & Trading Tools

Traders won’t find a wide variety of resources available on the broker’s website, instead, MM Financial focuses on providing some articles about forex basics, analysis, trading plans, and market volatility. While those articles can be helpful, beginners will likely benefit from searching elsewhere on the web for more in-depth information and better learning tools, like video tutorials, e-books, and other sources. MM Financial seems to provide services for more experienced traders that can make larger deposits, which is likely the reason why they haven’t invested much of an effort in this category.

Demo Account

Unfortunately, the broker does not seem to see the benefits associated with offering risk-free demo accounts to their clients. Most brokers offer these accounts at the bare minimum, so it’s always a bit surprising when demo accounts aren’t featured alongside other educational resources. The absence of these accounts might seem minor to some, but beginners might suffer without the chance to trade in a simulated environment before opening a live account.

Customer Service

MM Financial doesn’t exactly make it easy to reach out to support – the website doesn’t offer any instant option like LiveChat and it also fails to list a contacts page. In fact, we couldn’t even find a listed email address on the site, so traders will have to reach out to an agent through a form that is provided at the bottom of the website. 24/5 support is advertised, but we wouldn’t expect to see quick responses with all things considered.

Countries Accepted

If you check out the broker’s registration page, you’ll find that the United States is missing from the sign-up list entirely. This isn’t surprising, considering that the country is governed by strict regulation laws. The good news is that Japan, North Korea, and other commonly blacklisted countries can be selected.

Conclusion

Like many others that follow a similar account system, MM Financial places more of an importance on those that can afford to deposit a significant amount of money. It’s understandable for those clients to receive some benefits, but lower status accounts suffer in some ways, such as being pushed to the back of the line for withdrawal processing, not having access to any promotional offers, and etc. Sure, there are some benefits, like high leverage options and a diverse range of assets to choose from, but is this enough when such options are readily available elsewhere? The broker’s website is vague about funding and doesn’t offer much in the ways of education.

Contacting support could be a nightmare, considering that the broker doesn’t even offer a phone line or instant chat option. In a nutshell, MM Financial is an expensive broker that has the audacity to offer spreads from 4 pips on an account for deposits of up to $24,000, while offering common benefits on a vague and unhelpful website. This brokerage is better suited for experienced traders that can afford a better account type, and even then, those traders could likely do better elsewhere.

Categories
Forex Brokers

TenkoFX Review

TenkoFX (Tenko Systems Limited) is an online forex exchange broker that describes themselves as being clear, transparent, and strictly regulated. Since 2012, the company has been offering leveraged trading as high as 1:500 on FX, CFDs, and cryptocurrency pairs, all while under the regulatory oversight of the International Financial Services Commission of Belize.

The company appears to be located in Nevis, although a UK-based phone number is provided. From three separate live account types, TenkoFX offers separate conditions, including one’s access to certain instruments, leverage options, and commission-rates. If you’re interested in opening an account, stay with us to find out more about the STP, ECN, and Crypto accounts, along with other need-to-know facts.

Account Types

TenkoFX offers three live accounts; STP, ECN, and Crypto. Swap-free Islamic accounts are available in STP and ECN versions. It costs between $10 and $100 USD to open an account, so traders should not be limited based on affordability. One of the biggest differences between accounts would be the tradable instruments that are available.

STP & ECN accounts offer access to currency pairs with additional CFDs on the ECN account. The Crypto account features 29 crypto pairs. Leverage options and stop out levels are also dependent upon the account type, STP account holders will have access to the highest leverage cap of 1:500. The website doesn’t advertise spreads clearly, but options seem to be tight, according to our research.

Commissions also play a factor that will affect the cost of trading. The ECN account offers lower commission charges to those with high equity and trading volume, with higher charges for those that cannot maintain the more significant requirements, so we would only recommend the account to those that can keep the better conditions. The remaining accounts offer reasonable commission rates, although the broker isn’t completely transparent about the STP account’s fees on the website. Account details have been provided below.

STP Account (Islamic accounts available)
Minimum Deposit: $10 USD
Leverage: Up to 1:500
Spread: Variable (See “Spreads”)
Commission: $2 per 1 lot traded
Assets: Currencies & metals

ECN Account (Islamic accounts available)
Minimum Deposit: $100 USD
Leverage: Up to 1:200
Spread: Variable (See “Spreads”)
Commission: $10 – $40 USD per 1 mio (depending on equity & trading volume every 30-day period)
Assets: Currencies, Metals, CFDs

Crypto Account
Minimum Deposit: $10 USD
Leverage: 1:3
Spread: Variable (See “Spreads”)
Commission: 0.5% half-turn
Assets: 29 cryptocurrency pairs

Platform

Every trader that opens an account through TenkoFX will have the advantage of trading from the highly popular MetaTrader 4 platform. MT4 was designed as a powerful, all-in-one option that is highly flexible and navigable. The platform provides a wide range of technical analysis tools while allowing one to execute trades efficiently, generate trading signals, and program MQL-based trading algorithms. Available on desktop, mobile, and through the web-browser, MT4 is also an accessible option that supports trading on the go from various devices, including iPod/iPad/tablets.

The platform allows all types of orders while providing a newsfeed and a wide range of analytical tools. The broker’s website offers the program download directly under “Trading” > “Trading Platform”. MT4 can also be found within the App Store and Google Play Store.

Leverage

On the STP and ECN accounts, available leverage options depend on the account’s equity. The STP account offers a maximum cap of 1:500 on accounts holding up to $25,000 in equity, 1:200 on equity up to $100,000, and 1:100 for amounts up to $1,000,000. The ECN lowers the limits to 1:200 on accounts holding up to $100,000 and 1:100 for equity up to $1,000,000. Amounts over $1 million are negotiable. The Crypto account offers a leverage ratio of 1:3, which is expected for an account that focuses on trading volatile cryptocurrencies.

Trade Sizes

A minimum trade size of one micro lot (0.01) is supported on currencies and crypto pairs, while one mini lot (0.1) is required when trading indices. The broker offers a sufficient maximum trade size of 1,000 lots. The STP account allows for 100 orders to be open simultaneously, while the amount is unlimited on the ECN account. Scalping, algorithm-trading, and news trading are all allowed. Hedging is available with 50% margin release. Margin call occurs at 50% on the STP account, 100% on the ECN account, and 30% on the Crypto account.

Trading Costs

TenkoFX charges account holders through spreads, commissions, and swaps. Commission fees depend on the chosen account type. There is no markup on the STP account, but information suggests a $2 fee per 1 lot traded while a 0.5% half-turn fee is applied on the Crypto account. The ECN account maintains a schedule that depends on the account’s equity and trading volume for the previous 30 days.

Fees range from $10 – $40 USD round turn per 1 mio. Equity of $10K to $50K or more, plus a trading volume of 50,000,000 equals the lowest $10 charge. Equity of less than $1K with less than 5,000,000 trading volume results in the largest $40 fee. Other charges can fall into an $18 – 25 range, depending on the equity and volume, and the entire chart can be viewed under “ECN Trading Fees”.

Overnight interest charges also apply, unless one is trading from an Islamic account, which is available in STP and ECN versions. Swap rates can be viewed on the website under “Contract Specifications”. Triple charges apply on Wednesdays. The broker applies a monthly $10 fee to accounts that have been deemed inactive, with charges occurring until trading activity resumes or the entire balance is depleted.

Assets

TenkoFX offers different instruments based on an account type; STP and ECN account holders have access to 58 currency pairs, which provides a wide variety of choices in majors, minors, and exotics. Metals are also available, with additional CFDs offered on ECN accounts. The Crypto account features 29 currency pairs, including BTC (Bitcoin), LTC (Litecoin), ETH (Ethereum), BCH (Bitcoin Cash), DSH (Digital Cash), ETC, and XRP. The broker allows more than one account to be opened, so a trader could open a Crypto account in addition to one of the other accounts to access more instruments.

Spreads

Aside from listing spreads as floating, the website doesn’t clearly detail what types of spreads one would see. After practicing on a demo account and conducting further research, we found that spreads seem to be lower than 1 pip on average. However, the broker states that conditions on the demo account are less reliable due to ongoing testing of new liquidity providers and that open orders can also affect spreads. This makes us less confident in the more competitive spreads we saw on the demo. TenkoFX may manage to bring those better options to traders due to the fact that commissions apply on the various account types, especially at the high rates on the ECN account applied when traders don’t qualify for the high-volume and higher equity discounts.

Minimum Deposit

TenkoFX accepts deposits as low as $10 on the STP and Crypto accounts while asking for an average $100 USD deposit on their Crypto account. STP accounts can only be funded in USD, EUR, and RUB. ECN and Crypto accounts also accept deposits in MBTC, LTC, and ETH. The ECN account is the only account to accept JPY-based currency.

Even though some brokers have done away with requirements, the broker manages to keep their entry-level amounts at a threshold that is accessible to all traders, and there’s really no reason to deposit less than $10 regardless, otherwise, one’s trading options would be very limited. If one compares this broker’s ECN account type to others, then one would see requirements in the thousands elsewhere. The lower requirements should make it possible for traders to open the account of their choosing without being restricted based on price.

Deposit Methods & Costs

The broker provides a wide range of deposit options, including bank wire transfer, Visa/MasterCard, and China UnionPay, along with e-wallets Neteller, Skrill, QIQI, FasaPay, AdvCash, and PerfectMoney, plus additional cryptocurrency options Bitcoin, Ethereum, Litecoin, and Tether. Aside from bank wire, which has a 24-hour processing time, all deposits are credited instantly. Note that some of the funding methods are not available for all countries and there are a few significant deposit minimums on certain methods.

Bank wire transfer requires a $500 minimum funding amount, China UnionPay requires $1,000, and QIWI asks for $300. The remaining payment providers ask for small deposits of around $1-3. Fee-free deposit methods include all cryptocurrency options, QIWI, and PerfectMoney. Unfortunately, the remaining payment providers do place charges on deposits, and many charge withdrawal fees as well. Applicable deposit fees have been listed below.

  • Bank Wire Transfer: Local bank fees (typically range from $25 and up)
  • FasaPay: 0.5%
  • Visa/MasterCard: 1.5% + 0.5 USD
  • Neteller & Skrill: 1.5% + 0.5 USD
  • China UnionPay: 2.5%
  • AdvCash: 7%
  • Withdrawal Methods & Costs

All of the deposit options are available for withdrawal, under the condition that withdrawals must be made back to the original payment method. Some of the payment providers require large minimum withdrawal amounts. This is especially true for bank wire, which asks for a $500 minimum withdrawal amount – this will potentially leave large amounts of funds stuck in the account and make it nearly impossible to withdraw profits. Steep fees are also charged on wire withdrawals, including a $45 USD charge. The only fee-free withdrawal methods are Tether and AdvCash. Even though AdvCash does offer free withdrawals, traders should note that the payment provider’s 7% deposit fee still makes it one of the most expensive funding methods available. Withdrawal fees for each of the remaining funding methods has been listed below.

  • Bank Wire Transfer: 30 EUR/45 USD/1500 RUB/35 GBP/45 CHF/65 AUD/5,000 JPY
  • QIWI & FasaPay: 0% + 0.5 USD
  • PerfectMoney: 0.5%
  • China UnionPay: 1.2%
  • Visa/MasterCard: 1.5%
  • Neteller & Skrill: 1.5%
  • Bitcoin: 0.001 BTC
  • Ethereum: 0.01 ETH
  • Litecoin: 0.01 LTC

Withdrawal Processing & Wait Time

Withdrawals are processed between 9:00 am and 9:00 pm, GMT+4. Processing is guaranteed to be completed during the advertised processing time for each payment method, which is listed as being within 24 hours. Withdrawal requests made during the weekend will be processed the following Monday. This brings the broker’s processing times down to a relatively quick timeframe when compared to the multiple business days we’ve seen before.

Bonuses & Promotions

Active promotions consist of ECN Gravity, TenkoFX Cashback, The Way of the Samurai, and PAMM Investments. We’ve provided more details for a few of those promotions below.

ECN Gravity: ECN account holders would be given the option to trade for $10 per mln for the first three months the account is open, which equates to a 0.001% (one way) transaction cost. Conditions state that a deposit of at least $1,000 USD must be made to the account. Once the account has been opened and funded, the trader would need to email support to activate the offer.

TenkoFX Cashback: Under this loyalty program, the broker returns funds that were used for trading during the first three months that the account was opened. The broker used a commission multiplier to determine the exact amount of the refund, with $5 being the minimum amount per trade and $100 being the maximum per trade.

The Way of the Samurai: This monthly competition rewards winners (STP & ECN account holders) with a $200 prize. Conditions state that a $100 USD deposit must be made to the account and the goal is to make a steady 10-15% profit every month. Traders can view the countdown timer to the next start date on the broker’s website under “Company” > “Promotions”.

Educational & Trading Tools

Educational resources consist of a training academy that is sorted into beginner and expert levels, a glossary of trading terms that comes with a helpful search bar, and various articles. Granted, the academy section is simply typed information with some pictures, but the broker has put in an amount of effort to attempt to help educate their clients. It’s easy to miss those resources, so one should note that this section of the website can be accessed through the FAQ page.

Analytics is also a major theme, the website offers a forex forecast, forex & crypto news, a technical blog, and an economic calendar under that section. AutoTrade is available. Through the service, one can link their TenkoFX account in order to copy trading transactions straight into their trading account. A trader’s calculator is another convenient tool on the website that can help one determine the cost of placing a trade once all factors, like commissions, spread, and so forth have been added together.

Demo Account

In order to login to a demo account, traders will need to have a Trader Password and use that to login using the following IP address on the MetaTrader 4 platform; mt-demo-01.tenkofx.com:443. The broker mentions that quotes on demo accounts differ from those used on their live accounts, due to the fact that demo accounts are used to test different liquidity providers. This could make one’s experience less realistic. Although the altered quotes don’t take away from the fact that traders can still practice trading in general and on the MT4 platform, it does affect one’s ability to trade under the broker’s conditions, which would be especially helpful considering that information about spreads is vague.

Customer Service

TenkoFX offers 24/5 customer support, with working hours from 9:00 18:00 (GMT+2) Monday through Friday for the financial department. Although the website doesn’t directly feature an instant chat feature, support can still be contacted quickly through the broker’s Skype and Telegram accounts, along with email and phone. From the bottom right corner of the website, the broker also offers a helpful feedback form. Judging from our experience, it seems that traders should expect to receive email responses within about a 24-hour timeframe. However, Skype/Telegram would be the fastest contact methods as long as agents are online. Contact details have been listed below.

Instant Contact Options
Skype: TenkoFX
Telegram: TenkoFX_bot
Phone (UK Landline): +44 190 421 1064
Email
Support: [email protected]
Finance Dept.: [email protected]
Partner Inquiries: [email protected]
PR & Marketing: [email protected]

Countries Accepted

The broker’s website claims that service is not offered to residents of the United States, likely due to stricter regulation laws for the country. On the bright side, the registration form doesn’t actually require one to input their country of residence, and we were able to register from our US-based office with no blocks placed on our IP address. This makes it seem as though the broker’s policy not to accept those clients is rather lenient, which is the case for many other brokers who supposedly blacklist the United States. Fortunately, it seems as though all traders will be able to get through the registration process.

Conclusion

TenkoFX offers leveraged trading of up to 1:500 on FX pairs, some CFDs, and cryptocurrencies from the MetaTrader 4 platform. Traders wouldn’t be able to access the broker’s entire investment library from one account; the STP & ECN account focuses on currency pairs, while the Crypto account features 29 crypto pairs. The website can be vague when it comes to describing spreads and some of the trading costs through commissions. Those that are planning on opening an ECN account will want an equity level above $10K and a higher maintained trading volume, otherwise, commission fees on the account can really add up, at $18 – $40 USD under certain conditions. The broker offers a large range of payment options, including popular options like Visa/MasterCard, in addition to e-wallets and cryptocurrency providers.

On the downside, some of the methods come with steep deposit/withdrawal minimums and fees are charged on nearly all deposits and withdrawals. Withdrawals are processed quickly and the broker has made it easy to reach out to a support agent if need be. The website features a training academy, in addition to news and some convenient trading tools, including AutoTrade and a trader’s calculator. Multiple promotions are available, including a loyalty program, reduced commission, a trading competition, etc. The lenient registration form also makes it possible for everyone to open an account, including US citizens.

Categories
Forex Course Guides

Forex Course 2.0 – Complete Guide

Hello there,

We hope you guys are following the course well. We have done with Course 2.0, and we quickly want to sum up the concepts we have discussed in this course. Also, this article will act as a guide for you in finding any particular articles or for a quick overall revision. Basically, this is a quick navigation guide of Forex Course 2.0.

We have started this course by understanding one of the most important parts of the Forex Industry – Brokers. We also learned the different types of brokers, tips to pick the right broker, and whom to stay away from. We have also understood the different types of analysis that are used by retail traders like us to forecast the price of a currency in the Forex Market. Below is the link for each of the lessons we have published.

Brief History and Introduction to The Forex Brokers – Link

Types 0f Brokers in the Foreign Exchange Market – Link 

Two Types of ‘No Dealing Desk’ Brokers – Link

Understanding the Concept of Spreads in Forex – Link

Two Different Types Of Spreads In The Forex Market – Link

Picking A Genuine Forex Broker 101 – Link

How to stay away from the Forex Bucket Shops – Link

Steps Involved In Opening A Forex Trading Account – Link

Analyzing The Forex Market – Fundamental Analysis – Link

Analyzing the Forex Market – Technical Analysis – Link

Analyzing the Forex Market – Sentimental Analysis – Link

Which is the best way to analyze the market? – Link

So with that, we have ended our course 2.0. The upcoming course 3.0 is the most valuable course we will be providing at Forex Academy. The entire course is going to deal with the Technical Analysis right from the fundamentals. This course is designed by the top price action traders in the industry, and we are super excited to start rolling out this course for our readers. Are you excited too? Stay tuned!

We hope you find this comprehensive guide useful. Let us know if you have any questions regarding Course 2.0 in the comments below. Cheers!

Categories
Forex Course

42. How to stay away from the Forex Bucket Shops

Introduction

With a significant increase in the demand for retail traders to trade in the Forex market, tons of forex brokers have established their businesses to profit from their clients. This might seem like an advantage for traders as they have a variety of options to choose a broker. However, this is not the case.

In the world of forex brokers, there exist both genuine and fraudulent brokers. And these fraudulent brokers are referred to as bucket shops. These brokers have a frequent practice of misquoting and requoting and slippage, which favors only them.

Back in the day, as there was no internet, it was not possible for traders to know the actual price of the currency or security every moment. So, the clients used to place trades via phone. But, there were brokers who used to put the clients’ phone orders on slips and drop them into a bucket instead of officially executing them. Later, these orders were unofficially executed against the bucket shop operates, known as bucketeers.

These bucketeers usually did not disclose the real price of the currency, which was being traded in the market. They used to tell their clients that the price didn’t move in their favor, even if it actually did. But with the introduction of the internet and the improvement in the regulation of forex brokers, these scams have considerably reduced.

However, unfortunately, there still are these brokers out in the market. So, we’re here help to protect you from these scams. Things one must always keep a track of when trading with a broker are as follows:

✨ Constantly compare the price movement

Many traders trade based only on the prices mentioned by the brokers on their trading platform, which is quite dangerous. Currently, on the internet, there are many web portals that show the price feeds every tick. Hence, one must always keep track of the price feeds from several third-parties to confirm if the prices shown by the broker are real or not.

✨ Have a Trading Journal

Developing the habit of keeping a detailed journal of all the trades and transactions is extremely vital for a professional trader. Because if a trader feels that the broker has cheated them, they will need evidence to prove the genuineness in the filed case. And the simplest way to keep track of it is by taking a screenshot of every transaction they make. This can act as an excellent backup when they are cheated by a broker.

✨ Filing a legal action

Sometimes the disputes between the clients and brokers are not settled completely. So, this is when a trader must take legal action. If any conflict is unsettled, Forex traders can approach either the Commodity Futures Trading Commission (CFTC) or the National Futures Associations (NFA).

The CFTC has something called Reparation programs that provide an unbiased forum to handle and resolve customer’s complaints. You can click here to access the program.

Hence, by considering all these factors, one can stay away from being trapped by the fraudulent brokers in the industry.

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Categories
Forex Course

37. Types Of Brokers in the Foreign Exchange Market

Introduction

If you can recall, we have discussed a bit about Forex brokers in course 1.0. Here is the link for that article. There we have discussed the brief history and introduction to brokers. We recommend you to have a quick look at that article to get a better understanding of Forex brokers. In this article, let’s discuss the two different types of brokers.

Forex brokers can be mainly be classified into two types:

  • Dealing Desks (DD)
  • No Dealing Desks (NDD)

What is a Dealing Desk broker?

Dealing Desk brokers are the Forex brokers who make money through spreads. Also, they are the ones who provide liquidity to the clients. Hence, these brokers are also referred to as Market Makers. The specialty of these brokers is that they can literally make the market for their clients. This is because they usually take the other side of the clients’ trade. So does this mean that brokers take every price the client requests? Well, that’s not the case. They set both sell or buy quote, which is offered to the clients.

While trading with Dealing Desk brokers, the clients cannot see the real interbank market rates. However, as there is always stiff competition between brokers, the rates provided by the Dealing Desk brokers are close or sometimes the same as the interbank rates. Hence, the exchange rates are not a matter of concern.

Working of Dealing Desk brokers

Comprehending the working of Dealing Desk brokers is quite simple. Let’s say that a trader wants to buy one standard lot (100,000 units) of USD/CAD with a Dealing Desk broker. Once the request for a buy is sent to the brokers, the following are the scenarios that take place.

Firstly, to fill the order, the broker will try to match the order with their other clients who are willing to sell at that price. If they do not find any sell order, they route the trade to its liquidity providers, a sizeable entity who is always on the go to buy or sell a financial asset.

However, still, if there are no matching orders, they end up taking the opposite of the trader’s trade.

What is a No Dealing Desk broker?

As the name pretty much suggests, these are the set of brokers who do pass their clients’ orders through a Dealing Desk. Meaning, they do not take the opposite trade of their clients. To put it in simple words, No Dealing Desk brokers act like bridge builders. They simply link two different trading parties.

Since these brokers connect the clients directly through the Interbank Market (Banks, Hedge Funds, Mutual Funds, etc.) they usually charge some commission from the clients, or they slightly increase the spreads.

This completes the lesson on types of brokers. And in the next lesson, we shall do a comparison between these two brokers to give you an idea of which broker one must choose. Don’t forget to take the quiz below before you go.

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Forex Course

Introduction – Forex Academy’s Forex Course 2.0

In the previous course, we started off by understanding what Forex Market is actually about and went on until the concepts related to margin trading. Thank you for the fantastic response to the Course 1.0. Now, its time to step up our learning a bit and move to the next level.

In this course, we shall be discussing two of the most important topics. They are

Forex Brokers

Types of Analysis

Forex Brokers

If we see back in the ’90s, it was pretty difficult to participate in the retail Forex market due to its high transaction costs. Also, there were many restrictions put up by the government to the people who wanted to participate in the Forex market. However, as time passed, the CFTC (Commodities Futures Trade Commission), a U.S. regulatory agency, decided to bring an end to these complications. So, they passed a couple of bills – the ‘Commodity Exchange Act’ and the ‘Commodity Futures Modernization Act,’ which opened doors for online Forex brokers to ease the process for retail traders.

Then, with the introduction to the world wide web, it became extremely easy for small retail traders to open a forex trading account. Moreover, with an exceptional demand, thousands of Forex brokers came up to benefit from the booming Forex industry as well.

Coming to the present day, we learned about the Margin trading facility provided by the brokers. Now it is time to understand the different types of Brokers in the foreign exchange market. Hence, in this course, we shall go over everything you need to know about Forex Brokers.

Types of Analysis

In the second installment of the course, we will understand a very vital topic, which is on Types of Market analysis. Broadly speaking, there are three ways to analyze the market.

✔︎ Technical Analysis – This analysis is the study of price movement using trading tools like charts and indicators.

✔︎ Fundamental Analysis – It is the analysis of currency by considering its social, political, and economic factors.

✔︎ Sentiment Analysis – Are you under the impression that Forex market analysis is all about numbers and math? That is true to a great extent. But, on top of all those complex numbers, Forex has a close relation with human psychology too. In this type of analysis, traders understand the sentiment of other traders and try predicting the future of the market.

In this course, we will present all the types of analyses mentioned above. By the end of this course, you will also be able to understand how to combine all of these analyses and make your trades more holistic. The format will be similar to that of Course 1.0. A concept will be explained clearly in less than 500 words, and at the end of the course, you can check your learnings by taking a quick 4 – 5 question quiz.

We will start Course 2.0 by understanding the types of Brokers existing in the Forex Market. Are you excited to learn more? Stay tuned for the most amazing, simple, and informative content. Cheers!

Categories
Forex Course

20. Brief History and Introduction to The Forex Brokers

Brief History

The economy of all the nations after the end of World War II was at stake. Not a single country saw a growth in its economy during this period. So, there had to be someone to fix this all up. Hence, the major Western banks stepped in to strengthen and stabilize the economy on a global scale. They established the well-known Bretton Woods System, which got Gold into focus, as it got paired with/against the US dollar and other currencies. This system did bring the economy to balance to some extent but slowly started becoming inefficient and outdated as the major countries began to expand at a good rate.

With this under consideration, the system was abolished and was replaced by a much efficient system for the valuation of currencies. Precisely, this system was called the free-floating type system, where currency exchange rates were determined by supply and demand factors. During the final decade of the 20th century, the internet came into existence. This brought drastic changes in the way how trading in the markets works. With the facility of internet, the banks came up with their own trading platforms, and these platforms enabled traders to keep a watch on the live quotes of the currencies and also provided smooth and swift execution of trades.

Taking this forward, as the market began to grow substantially, the so-called ‘retail brokers’ made their entry to the market. With these brokerages, traders with small capital could also participate in the market. Moreover, retail brokers even offered great leverage for trading, which attracted more traders to take part in the market.

Retail Forex Brokers

Retail forex brokers are intermediaries who facilitate transactions between buyers and sellers. Based on how clients’ are fulfilled, brokers are of two types, namely, Market Makers and Electronic Communication Networks.

Market Makers

As the name pretty much suggests, these brokers ‘make’ the market. A market maker acts as a bookie who takes the opposite side of its customers’ trades. So, basically, the trades here are between a retail trader and the broker. Since the broker takes the opposite position of his customers, he is actually trading against them. In layman terms, market makers need losers to profit from. Trading with this kind of brokers, customers don’t really reach the real market, as they’re placing bets on the quotes provided by the broker.

Electronic Communication Network

Trading with an ECN broker is different from that of market makers. Here, the interest of the customer is aligned with that of the broker. An ECN broker passes on its customers’ orders through to liquidity providers or the interbank market. So, unlike the case of market makers, their trades are actually matched with the real market. And as far as revenue of these brokers is concerned, they always make a profit from the spreads (bid/ask price) or trading fees. Since they connect the clients to deal with the interbank market, they form the network where communication takes place electronically.

That’s about the introduction to Forex brokers. Take the below quiz to know if you have understood the lesson correctly.

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