In today’s society, a growing number of people are turning to investing to supplement their income. The advent of the internet has made it more accessible than ever before, transforming it from the reserve of the old boy’s club to an opportunity that’s open to all.
Forex trading, in particular, has seen a real boom in its popularity. Considering its many positive features, this should come as little surprise. Flexible, accessible, and easy to work around existing commitments, the currency markets make the ideal playground for first-time investors.
However, without the right forex broker, successfully trading the foreign exchange is simply impossible. To help you out, here are three top tips for finding the perfect firm for you…
Step One: Shortlist Brokers Offering Your Currency Pairs
The first step in any investor’s search is to find brokers that offer their currency pairs. Your combinations will form the basis of your strategy, affecting your risk levels, potential for reward, and likelihood of success. They must complement your personality and tactics perfectly, and that means you need to find a broker that has them on offer and understands the markets that you’ll be trading. Try to locate at least three to four potential candidates that fall within your budget, and offer the services and pairs you need.
Step Two: Assess their Customer Service
Once you have a shortlist, it’s time to narrow down the playing field. Good customer service is essential to a successful forex strategy, so you need to spend some time sorting the wheat from the chaff. Start by doing some internet research on each of your candidates, paying attention to both positive and negative reviews. It’s a good idea to make a bullet point list detailing any critique that you come across. Once you have this, give your various brokers a phone call, asking them as many questions as you can think of in order to assess their suitability for you.
Step Three: Evaluate their Trading Platforms
Once you’ve narrowed it down to two or three candidates, it’s time to test their trading platforms. Most brokers, such as OANDA, will offer you a free trial of their facilities, so be sure to take advantage of this opportunity. The best way to compare your options is to draw up a table, listing all of the factors that will influence your decision. Take the time to make notes in the boxes next to these, so that you can then compare and contrast in order to find the very best platform for you.