Lessons Learned from Years with Resources
5 Tips When Choosing Your Forex Broker These days, the list of FOREX brokers is overwhelming and staggering. Not only that, there are a lot of brokers you can find online as well, which made the selection more difficult. On this case, if you want to hire a reliable and experienced broker to guide you in FOREX trading, following are few of the things that you must know. Number 1. Regulation – among the things you have to do is to see and check if the broker is regulated by a financial service organization or office. A broker is often required to show their license number publicly on their page and at the same time, have it available if ever it’s asked in person. It should raise a red flag automatically in the event that you requested your prospective broker the registration number and refused. Another method you may try is by checking the website of the regulatory body in which the broker works and do inquiries or perhaps, search for him or her. Researching for the reliability and requirements of regulation will be a good idea because there are different regulatory bodies that implement different rules for their brokers.
A Brief History of Resources
Number 2. Reviews – finding out what others say about the FOREX broker as well as their personal experience working with them is another great method to try. You can easily do this by visiting forum websites, through word of mouths or via independent broker review pages.
Looking On The Bright Side of Resources
Number 3. Type of broker – it is very important that you have idea of what type of broker you will work with whether he/she is a non-dealing desk broker or a dealing desk broker. Being a trader you ought to finalize the type of trading strategy would be best for you. The major difference between these two types of brokers are, when dealing with desk brokers, it is creating internal market as well as trades against clients while a non-dealing desk broker is sending clients trades right to their liquidity providers. Number 4. Liquidity provider list – say that you’ve traded with non-dealing desk broker, then it will be smart for you to check their LP or Liquidity Providers. These are basically financial institutions that are processing your trades. They do create impact on the prices you pay on opening trades so don’t underestimate this. Number 5. Services – services the FOREX broker is offering is yet another important factor that should be taken into account. There are some traders who can’t live without FX trading tools but not all brokers offer the same service and with this in mind, you must consider the tools that your strategy will need and if the policy of your broker allows that strategy.