As a beginner who is just learning to trade forex, it is important to know the best forex trading platforms before you make the decision of trading for the first time.
Understanding how most forex trading platforms work is a key way to succeed in the foreign exchange market because there are alot of traders who have gone bankrupt due to choosing the wrong trading platform.
Thanks to the internet for giving us the ability to explore the opportunity to trade forex in most of the reputable platforms.
There was once a time when only few people had access to the forex market, but today right from the comfort of your bed you can buy shares on any mobile forex trading app of your choice.
There are numerous brokers available for you to choose from online; this makes picking out the right trading platform a little tricky.
In this post, you will learn about the following
- What to Look Out for in Forex Trading Platforms
- What is forex trading?
- Jack Schwager
- CMC Markets
What to Look Out for in Forex Trading Platforms
There are three signs to watch out for before deciding which forex trading platform is best for beginners.
- The platform must be regulated, trusted and reliable.
- It must have an easy to use web-based platform that a first-timer won’t have a problem navigating through
- It must provide different educational resources to guide users through the trading process; this resource should be quality and be able to guide users.
According to IG.com
Forex, or foreign exchange, can be explained as a network of buyers and sellers, who transfer currency between each other at an agreed price. It is the means by which individuals, companies and central banks convert one currency into another – if you have ever travelled abroad, then it is likely you have made a forex transaction.
Another way to define forex is a trade between two currencies, which means exchanging one currency for another.
This trade is influenced by current exchange rates and the forex market. So when you exchange one currency for another to make a profit, you are trading forex.
The forex market is the biggest globally; it has a massive average daily volume of $6.59 trillion.
If you want to trade foreign currency, you need a broker to help mediate transactions. A forex broker or a currency trading broker helps traders trade. Here is how brokerage works:
You need first to open an account with a broker, deposit funds that will serve as your capital, and finally, use a broker’s platform to trade currencies using margin. Have it in the back of your mind that currencies are bought in pairs when it comes to forex, for example, “USD /EURO” (US Dollars / EURO). You can trade all round the clock as the platforms are opened 24/7.
Like I stated earlier, the platform you choose will go a long way to determine how successful you will be as a trader; here is a list of what I consider the best trading learning app
Stand out feature: Plus500 was designed for beginners; easiest to use among the platforms on my list.
Plus500 is a global brand; it places high importance on user satisfaction, that is why it was designed with basic features that even a first time8 trader will find his way around. Additionally, it has different CFD instruments.
It also has innovative research and advanced trading tools that will come in handy for new and active traders. What more? If you are looking for a platform where you can learn, trade and grow as an amateur, Plus500 should be at the top of your list.
Plus500 also offers forex learning simulation for new traders and even seasoned traders to help them learn new strategies and perfect their existing ones.
The hard work in trading comes in the preparation. The actual process of trading, however, should be effortless.
What Schwager means is that the best way to trade is to learn. That’s precisely what Plus500 is offering.
Stand out feature: IG offers efficient and quality educational tools.
IG is a trusted forex trading platform that is regulated by every country around the world. The platform boasts of its top-notch research and trading tools that help its users navigate through the market. It also offers users access to statistics like a list of tradable products and competitive pricing.
IG has simulation mode that also serves as a forex trading game. This will allow users to explore the market without risking real funds.
All these features put together are what makes IG one of the best brokers in the industry.
Stand out feature: eToro is the best trading platform for copy trading.
eToro was designed to offer traders a platform where copy trading would be easy; it offers cryptocurrency trading and social copy trading. These features make it unique among the others on the list.
A beginner trader will find this app very useful because he does not have to worry about learning the technicalities of trading, all he needs is to monitor the progress of pro traders and pick a trader you want to copy. You will share in both profits and loss.
Finally, eToro is user friendly and is compatible with both web platforms and mobile apps. Are you a or a casual investor looking for a platform to copy trade? This platform might just be what you are looking for.
Stand out feature: AvaTrade offers users quality educational resources that help users develop their trading skills.
AvaTrade has made a name for itself across the globe, it has proven to be trusted and reliable it also has numerous trading platform options. AvaTrade also proved to be amazing for copy trading. Its mobile app is amazing; the interface is easy for anyone to navigate. It offers industry averages for pricing and research.
This app has proven to be one of the best android app for forex trading for traders looking to learn trading. It’s numerous resources cover different aspects of forex trading.
Above all, its strongest point is the educational research that it offers. Users are availed of diverse educational materials.
Read also: Forex vs Crypto Trading Which is Better
Stand out feature: CMC Markets is the best web trading platform and excellent education.
CMC Markets is the last trading platform on my list because it is reliable, resourceful and fast; it comes with many educational tools and amazing features that make it an ideal choice for both newbie and pro traders.
When it comes to offering trading education and resource materials, CMC Markets arguably offers the best services. Forex and CFD traders offer numerous options of educational materials for users. Its offerings including; video updates, written articles, live webinars, and podcasts.
Aside from being a good place to get educational resources, it also serves as a real date game to learn forex trading. CMC goes beyond a platform for trading, but also a platform to learn.
Forex trading is a whole world of its own; beginners can easily get lost in limbo if they don’t make the right choices. The platform they choose to use matters a lot; trading with the wrong platform will give you a bad trading experience, but you will find trading smooth with the perfect platform.
Before you conclude on using a particular platform, start by using the demo version, the demo version is essential and is totally worth your time. The time you spend on demo will save you from trading with the wrong platform.
One thing that is common among the five trading apps listed above is that they offer simulation, and that to me is one thing traders should look out for before choosing a trading platform.