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Trading with the Best Forex Brokers in the US • Benzinga

Many people find the forex market one of the easiest financial markets to start to trade. You just need to open up an account with an online broker and deposit some money as margin to get started trading currencies. To select the best forex broker to trade forex with, you need to do some upfront…

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Many people find the forex market one of the easiest financial markets to start to trade. You just need to open up an account with an online broker and deposit some money as margin to get started trading currencies. To select the best forex broker to trade forex with, you need to do some upfront research to determine which is most appropriate for your experience level and requirements. Since not all online brokers take U.S.-based traders, read on for Benzinga’s top picks for brokers that do. 

Account Minimum

100 of your selected base currency

Pairs Offered

80+

Minimum Trade Size

$1,000

Spread

0.2 pips – 1.0 pips

Commisions

$0 – Variable starting at $60 per million traded depending on account

1. Best Overall: FOREX.com

FOREX.com is a fully-owned subsidiary of GAIN Capital Holdings (NYSE: GCAP), and this popular online forex broker ranks best overall for U.S.-based traders. You will need just $50 to open an account, and the broker offers 80 currency pairs you can trade in. 

This broker submits to regulation by both the National Futures Association (NFA) and the Commodities Futures Trading Commission (CFTC) in the U.S., as well as to regulators in 6 other major jurisdictions around the world. Take a look at Benzinga’s FOREX.com Review for additional details about this top-rated broker. 

U.S. traders can use FOREX.com’s sophisticated Advanced Trading Platform, but only non-U.S. residents can use the free MetaTrader platform from MetaQuotes.

That might be a problem for U.S. traders interested in using automated trading software written for MetaTrader. 

FOREX.com’s Advanced Trading Platform, Source: FOREX.com.

Account Minimum

$50 USD

Pairs Offered

47

Minimum Trade Size

0.01

Spread

starts at 1.0 pips

Commisions

N/A

2. Best for Social and Copy Trading: eToro

eToro offers a super easy-to-use social and copy trading service that allows you to duplicate the trades of other experts who have a proven trading track record. eToro also has good educational options for novice traders.

The broker does not support the MetaTrader platforms, but just about anyone can easily operate its very intuitive trading platforms and mobile apps.

eToro supports trading in over 2,000 different assets, and you’ll need a minimum deposit of only $50 to get started. eToro accepts clients from many states, and while it is not registered as an online broker with the NFA and CFTC, it is registered with the U.S.

Financial Crimes Enforcement Network (FinCEN) as a Money Services business. The company also submits to regulation in the U.K., Australia and Cyprus.

eToro’s copy trading platform. Source: eToro.

Commissions

$10 value per pip

Account Minimum

$0

3. Best for Forex Platforms: IG US

IG lets U.S. clients trade contracts for difference (CFDs) in over 17,000 different assets that include forex pairs, stocks, indices, bonds, commodities, exchange-traded funds (ETFs), options and short-term interest rates.

Forex traders can operate in 80 different currency pairs through IG with just a $250 minimum deposit.

U.S.-based clients can trade through IG since it is overseen by the CFTC and NFA.

In addition to its decent proprietary trading platform, IG also supports popular 3rd-party forex platforms like MetaTrader 4 and ProRealTime. 

IG’s trading platforms for mobile and desktop. Source: IG Trading

Commissions

$0.09 per micro contract

Account Minimum

$400

4. Best for Futures Traders: NinjaTrader

NinjaTrader may be best known for its sophisticated trading platform but it also offers an online brokerage service that caters best to futures traders that wish to focus on contracts listed on the CME, CBOT, NYBOT and Eurex exchanges. In addition to futures contracts, you can also trade forex, CFDs and stocks using NinjaTrader. 

As a broker, NinjaTrader has low margins and charges very competitive commissions that keep your per futures contract costs low. You can get started trading futures with just a $400 minimum deposit at this broker. 

NinjaTrader’s popular trading platform offers advanced charting features, market analysis functions and simulated trading, as well as 3 different licensing levels to best suit your needs and budget. 

NinjaTrader’s advanced trading platform. Source: NinjaTrader

Commissions

$0.005 per share
minimum $1 and maximum 0.5% of trade value; volume discount available

Account Minimum

$0

5. Best for Advanced Traders: Interactive Brokers

Interactive Brokers (IBKR) offers a world-class brokerage service to U.S.-based clients that encompasses 134 markets in 33 countries. Forex traders will appreciate that IBKR lets you trade 23 different currencies against each other. The company’s U.S. regulators include the CFTC, NFA and the U.S. Securities and Exchange Commission (SEC). The broker is also regulated in the U.K., Australia and Canada. 

The broker also features very competitive trading costs, such as a $0 commission on U.S. stocks and ETFs. To start trading with IBKR, you will need a $10,000 minimum deposit that gets applied to commissions for 8 months, with a $2,000 minimum thereafter. IBKR also charges maintenance and inactivity fees, so it’s best for advanced and active professionals who have plenty of funds to trade. 

The broker’s own well-rated trading platforms include its Desktop Trader WorkStation (TWS), Client Portal and mobile app. They allow you to trade multiple asset classes, including options and offer sophisticated market analysis functionality. 

Interactive Brokers’ TWS trading platform. Source: Interactive Brokers.

Why Trade Forex

Making a forex transaction involves the simultaneous purchase of 1 currency and the sale of another at a given rate of exchange known as an exchange rate. Forex traders make a profit by buying 1 currency pair low and selling it high, or by selling 1 currency pair high and buying it low. Making profits is the primary goal of forex trading. Many people like to trade forex because they can get started so easily by opening up a trading account and downloading a free trading platform like MetaTrader.

Forex Pros and Cons

The forex market has a unique set of pros and cons for traders that include those listed below.

Pros

  • High leverage: Because an exchange of currencies at the going market rate has no net value, the use of leverage in forex trading allows you to control quite large positions with a rather small margin deposit. This increases your risk but also lets you benefit from relatively small exchange rate movements. 
  • High liquidity: The forex market is the largest financial market in the world, so it has a very high level of liquidity in the major currency pairs. This allows for sizable transactions to be executed in those pairs at virtually any time during normal trading hours. 
  • Around-the-clock trading: The forex market remains open for trading at all times from 5 p.m. EST on Sunday until 5 p.m. EST on Friday, even during U.S. holidays. This provides constant trading opportunities during market hours. 

Cons

  • Fewer asset choices: While many stocks can be traded, only a relatively few currency pairs are available to forex traders, and not all of them are highly liquid like the majors.
  • Volatility: Strong movements can occur in the forex market as new information is digested by participants. This volatility can result in unexpected gains or losses for traders. 
  • Unregulated OTC market: The Interbank forex market trades over the counter (OTC) and so it remains largely unregulated. Still, some regulations are put in place in many jurisdictions to protect retail traders making transactions through online brokers. 

Select a Good Broker

Your online forex broker will serve as your primary trading partner, so choose one carefully. You will definitely want to make sure any broker you select is well-regulated, has a good reputation with clients and meets all of your trading requirements. You can easily try out the services of the forex brokers you like by opening up demo accounts with them to see if any brokers feel right for you. Demo accounts also let you practice trading, and that can save you money if you learn to avoid common trading errors. 

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Forex Trading Knowledge Questions and Answers

Forex Trading Knowledge Questions and Answers

Forex Trading Knowledge Questions and Answers

What Is A Demo Account?

Demo accounts enable new investors to test their ideas and learn how to use trading technologies without risk. Users can use the demo account to trade with simulated money and see what their returns would be if they traded with real money. Demo accounts are often used in schools and universities to teach investing and compete in trading competitions.

Demo accounts are commonly used by stock traders, currency exchange traders, and commodities dealers, but not by long-term investors. A demo account is less effective since the longer it takes to produce earnings from an investment, the more time it takes away from compounding real money.

 

How Does A Demo Account Work?

Using demo accounts, investors can practice trading on a platform without putting their own money at risk. You will not be exposed to the dangers associated with live trading platforms on a demo account. As a result, you can learn how platforms work without putting your money at danger.

A demo account guarantees that you will not lose money, but it also guarantees that you will not make money. To reduce risk when trading on the real market, traders must learn discipline and establish techniques.

How to Open A Demo Account?

In general, opening a demo trading account is pretty simple. Choose a Broker – Most brokers provide demo trading interfaces to help you become acquainted with the features and create techniques. Choose which broker to use initially.

Registration is necessary, and you must provide your personal information. Name, address, and financial information will be requested. Your identification will almost certainly have to be validated as well.

Once you’ve decided on a broker, you can install MetaTrader4. Once you have decided on a broker, you will require a trading platform. MetaTrader 4 and MetaTrader 5 are the most popular trading platforms.

You will obtain login details after registering with a trading program. You will be able to open an account.

How Long Do Demo Accounts Last?

Traders can use a demo account to test out a program for up to three months before deciding whether to purchase the complete edition. The three-month term is basically offered to guarantee that the prospective buyer has enough information to make them desire to buy.

Why Is It Necessary to Open A Demo Account?

Traders can use a demo account to test out a program for up to three months before deciding whether to purchase the complete edition. The three-month term is basically offered to guarantee that the prospective buyer has enough information to make them desire to buy.

What Are Advantages of A Demo Accounts?

Demo accounts are an excellent method to learn about various trading tactics and software. Paper trading is a lot safer way for a beginner investor to make technical mistakes than real trading. Investors can benefit from the customised trading software provided by each firm.

A demo account lets you to test methods without risking any money, whether you are a novice or an experienced trader. Trading on a demo account allows the trader to test the approach before trading with real money.

Even though many traders begin with equities, commodities and Forex can be profitable. The same strategies, however, may not be applicable in all three asset groups. A demo account allows experienced traders to experiment with several asset classes.

 

The Differences Between Demo & Live Accounts

A forex demo account is distinct from a genuine account in that it is utilised as a training account for traders to practise trading without putting real money at risk. Real accounts, on the other hand, use actual money, and traders put their own money at risk. A demo account enables users to trade with fictitious money in order to imitate the earnings they would receive if they traded with real money. Demo accounts are often used in colleges and institutions to teach investing and compete in trading competitions.

However, studies have shown that even if a person has obtained extensive trading expertise through the use of virtual accounts, things may turn out differently when real money is involved. Because you are not putting anything at risk  is more accessible when dealing with virtual money than when trading with actual money.

Can I have Multiple Forex Demo Accounts?

You may be able to open up to five demo accounts depending on the broker. Some, however, provide up to 19 demo accounts. There is no way to predict how many demo accounts are available at any particular time. All brokers do not limit the number of demo accounts.

If your broker has a demo account limit, you can contact their customer service via email or live chat to request more demo accounts.

There are brokers who will only allow you to open one account of each type per email address.

As a result, you are not able to establish any additional accounts until you give them with another email address or open a new account. Traders do not benefit from this practise because it requires them to spend their resources on opening new accounts rather than allowing them to open as many as they like.

In most circumstances, you won’t need more than five accounts, and depending on your plan, one may enough.

In any case, you should practise on a demo account until you are really proficient.

Is A Demo Trading Account Free?

Demo platforms are usually free. There is no risk of losing money because you will not be dealing with real money. As a result, there are no deposits, withdrawals, or training fees involved.

 

How to Choose Forex Accounts?

Different accounts have different settings. Before you open a trading account, you should answer the following questions:

How much money do you want to put down? You should keep in mind that trading with money you cannot afford to lose is not a good idea.

What is your level of risk tolerance? If you are a cautious trader, you can open a micro account and trade micro-lots. However, if you wish to trade more aggressively, you should open a regular account.

Do you require any specialised equipment? Many forex brokers provide their best trading tools to its professional clients, which may include cutting-edge news analysis or access to a diverse set of indicators.

Once you’ve determined what kind of trader you are, your trading objectives, and your risk tolerance, you’ll be able to choose which account is best for you.

Can I Take Money Out of a Demo Account?

Unfortunately, the answer is no. Demo accounts are only for practise purposes. You do not deposit anything because the account is not funded with real money.

As a result, any profits you would have made would be ineligible for withdrawal.

Forex Trading Knowledge Questions and Answers

Forex Trading Knowledge Questions and Answers

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AvaTrade introducing 3 new crypto pairs

crypto trading with Avatrade

AvaTrade introducing 3 new crypto pairs – updating 3 others

AvaTrade has yet again improved their cryptocurrency trading offering.

AvaTrade is introducing three new cryptocurrency pairs: NEOUSD, EOSUSD & MIOTAUSD in addition to the 15 crypto assets already on offer.

These new pairs have been available since July 1st, 2019 and provide an excellent opportunity to diversify your clients’ portfolios and increase their exposure to this vibrant 24/7 market.

AssetTypical SpreadLeverageMarginMin Nominal Trade Size
NEOUSD1.5% Over-market2:0150%10
EOSUSD2% Over-market2:0150%10
MIOTAUSD1.5% Over-market2:0150%10

To unify their cryptocurrency instrument labels, They are relabeling their existing Ethereum, Ripple & Litecoin instruments, by replacing the existing instruments with new USD labelled ones:

AssetOld SymbolNew Symbol
RIPPLEXRPXRPUSD
ETHEREUMETHETHUSD
LITECOINLTC_MiniLTCUSD

These new pairs have also been available since July 1st,

The trading conditions for each one is identical to those of the older respective assets they replace.

Effective immediately, new positions are only available on the new pairs.

Avatrade Clients will not be able to open new positions on the old assets, but those already open will remain unaffected until July 29th.

Existing positions on XRP, ETH and Litecoin-mini that remain open on July 29th will be automatically replaced with corresponding positions on the new pairs, , at the same opening price and at no cost to clients.

as any broker that values their clients would do , Avatrade makes sure that the clients will not be affected by the change.

Visit Avatrade NOW

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Neteller Launches Cryptocurrency Exchange Service

Neteller Launches Cryptocurrency Exchange Service

Neteller  one of the most known Digital fiat currency wallet provider , has started allowing its users to buy, sell, and hold cryptocurrencies including BTC, BCH, ETH, ETC, and LTC.

They do this on the large scale with a pilot in 10 countries and soon another 50 countries to join . They understand that if you do this effort it will only succeed if you can do this on a global scale.

Neteller and Cryptocurrencies

Neteller is a service which is operated by Paysafe Financial Services Ltd.,

paysafe

paysafe

founded in 1999, Paysafe Financial Services entered the market with the mission to provide an online alternative to the known traditional payment methods.

Most of the traders aiming us now neteller as one of the companies through which we made our deposits and if we had any profits also our withdrawals. A couple of years ago they left the Forex and Binary industry behind since the charge-back issue became just too expensive.

But as any companies knows, if you do not adept you die. The binary option market is all but dead and the Forex industry has moved also into the directions of the cryptocurrencies. thus, neteller understands that this is where the future is.

So Lasts week they announced that they are now offering a wallet with buy and sell cryptocurrency options.

As of today, Neteller users can buy, hold and sell cryptocurrencies via a recognized cryptocurrency exchange including bitcoin, bitcoin cash, ethereum, ethereum classic and litecoin, purchased using any one of 28 fiat currencies available in the Neteller wallet.

It may not seem so exciting but for many users that love this service it actually is. More and more currencies will be added making them an true exchange in the near future.

Now one is able to fund their neteller account through many different means (Mobile, Epay, Paysafecard, local bank deposits, and bitcoin)

We think that will make the threshold for many people, who would want to buy or sell cryptocurrencies, lower. This in return is a good thing for the overall acceptance of the cryptocurrencies in the mainstream of every day life.

Conditions for buying and selling cryptocurrencies through Neteller

The rates offered are somewhat in the lower middle of the current market making them go for the save route. The average market rates on the major cryptocurrency exchanges differ all in all not that much anyways, as this is not the main reason to choose to buy Bitcoin through Neteller

The minimum cryptocurrency purchase or sale amount is “approximately equal to 10 EUR,” the firm clarified, adding that the maximum amount depends on the transaction limits associated with each account.

When You open an account with Neteller you have to choose your default currency. This is of course for most people in accordance on their geographical locations, people in Britain will go for the pound most Europeans go for the euro and pretty much the rest of the work goes for the US Dollar, thou other currencies are available

The fee is 1.5 percent for purchasing and selling cryptocurrencies from wallets with EUR or USD as the default currency.

The fee rises to 3 percent for wallets with other default currencies.

Neteller  | Why is this a good move for neteller and one that we should expect from other online Payment providers as well ?

At this moment till last week Neteller users can pay, get paid on thousands of sites, and send money around the world through their system.

The company claims to have “millions of point-of-sale, ATM and online locations” for users to withdraw or spend their cash.

Last July 25, Paysafe ( which as you remember is the company that owns Neteller and Skrill)  announced that another digital wallet provider in its group, Skrill ( formerly known as moneybookers), started allowing customers to “instantly buy and sell cryptocurrencies, including bitcoin, bitcoin cash, ether and litecoin, using any one of the 40+ fiat currencies available in the Skrill wallet.”

We could now see that this was like their test run on this concept.

We do not know the numbers that Skrill produced since they offered this service but it must have been encouraging enough for Paysafe to include their flagship brand in this endevour.

We will see where this leads but we are hopeful that this is the next step in global acceptance to the cryptocurrency revolution. Let me know what you think

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