Trading with an online FOREX broker

When choosing an online FOREX Broker to trade with first you need to understand what your function your broker should perform.

They are not there to give you trade recommendations - Brokers are there to transact your orders. Many novice traders make the mistake of using a "broker assisted account" where their broker gives them trading recommendations, however this normally results in losses.

Only you can give yourself success, so educate yourself and accept responsibility.

Here are some of the services you should look for when considering an online FOREX broker

Tight spreads

Look for tight spreads to cut down your cost of doing business. The less you pay the more profits you will make 3 - 5 pips are ideally what you should be looking for.

Secure online payments

Many traders fund their accounts online, so make sure that there is a secure way of funding and topping up your account online.

Guaranteed stops

Many novice traders are nervous of trading with leverage, as this can give you a negative balance as well as large profits.

Many brokers offer guaranteed stops and negative balance protection, so if you are a novice trader you may want the comfort of this facility.

Leverage

The leverage brokers give you vary, but you should look at a broker who will give you 200:1 or more to maximize profit potential.

Commission Free

You pay a spread - there should be no extra commissions to pay. Make sure you trade commission free.

Trade Now With Low Minimum

Many brokers will let you trade with as little as $100.00, which means you can if you wish, test the water with a low minimum.
This is ideal for new or novice traders.

Trading Tools

While you should ever trade with a broker assisted account, its nice to get valuable trading tools such as trading reports (to help you sharpen your trading skills ) or newsletters to give you ideas.