Before you make any big financial decision, often times you might make a list of things that you are looking for. It doesn’t matter whether it’s a house, car, or office desk, you might search for certain things, and require that they be a certain way before a final purchase. You might want to think the same way about your broker, so that you can save time and energy. The last thing you want to do is to miss out on money in the market by having to switch over forex brokers because you didn’t think things through.
You want to make sure that you are using a reputable broker that can keep your money safe and secure. They have to be credible. Luckily for you, there are all sorts of agencies and regulations for you to make sure that you are handing your money over to a company that you can trust. Of course, this is the most important step, as the last thing anyone wants is to be excited about entering the forex market, only to get scammed because they couldn’t do their homework. An example of some agencies include the Swiss Federal Banking Commission in Switzerland, the Investment Information Regulatory Organization of Canada, and so on. Look up which agencies and organizations are in your country, and make sure that your company is legitimate and verified.
Retail brokers exist because they get paid when you trade. There simply is no way around it, and it’s the way that they stay in business. While there might be special offers or promotions, you simply cannot find a retail forex broker that will let you trade nonstop for free. That is like a restaurant that never asks for you to pay the bill – it makes no sense business-wise. So, you have to find out which cost model works for you. There are services that will charge more, but will claim to offer more services. You might decide that you do or don’t need these. Then, of course, there will be many brokers that are cheaper, but you want to do your best to find out WHY they are cheaper, and if they are lacking in other areas.
Deposit and Withdrawal:
Now, it’s your money, and you should be able to move it freely. However, you might find that there are brokers that have certain rules, or make it harder than others, and this will cause a certain amount of frustration. It should be noted that you should be able to withdraw your money smoothly and without hassle, and if you can’t, for whatever reason, this should be a red flag to you. The last thing anyone wants is to have to fight for them to withdraw their OWN profits that they rightfully earned.
There are all sorts of platforms out there. You will need to find the one that works for you. There might be one that you are used to. You might like the color scheme of a certain platform, or the way that they filter their news feed better. Whether it’s the way that their charting tools are set up, or how easy it is to navigate, make sure that you are using the platform that you love, and that your broker offers it.
Imagine if you have the perfect trade set up. You are so confident and you can’t believe that your theory actually worked! It’s at the perfect price for you to profit, whether you are going long or short. Boom! You put in the order. But…wait. Nothing is happening. Why not? You start tapping your feet, furious that your order isn’t getting filled. This is a nightmare scenario where your broker simply isn’t efficient at fulfilling your order. The truth is that you should be getting your orders filled quickly and efficiently, and at the price, or at least within micro-pips of the price that you ordered it. If this isn’t happening, your entire trading career can’t exactly take off – and while this should never happen, if it does, it’s beyond a red flag. It’s pretty much a sign that your broker cannot fulfill your needs.
Unfortunately, many brokers are great when it comes to opening an account, but feel like their job is done afterwards. There certainly are brokers that are more business as usual than friendly, and you have to decide what works for you. If your broker can never seem to provide you with quality customer service, answer your questions, or address your needs, it is obvious that the customer service isn’t there, and you might have to start looking elsewhere. We all want to know that we are being heard, after all.