Determining the profitability of the forex trading platforms you are considering is the next step. Real time demonstrations are provided, so make use of them. Go through the entire system and explore the platform from top to bottom. This can help you understand the system and its capabilities, find out how profitable the trading platform is, familiarize yourself with the platform, and at the same time allow you to have a general idea of how to make the platform work optimally for your trading style.
Having a good foreign exchange trading platform and knowing how to use it can create a major difference in your profit margin.
As the trading platform is the backbone of the forex trading activities of any forex broker, it is one of the most important factors to consider when you wish to start a trading account with a broker. The best platforms generally deal in American Dollars, British Pound, Canadian Dollar, Euros, Swiss Franc, Australian Dollar and Yen. You also will not have any commission fees or transaction fees.
The best online Forex trading platforms also highlight the ease of usage and clearness of the information. The platforms will also be easy to understand. They will also be able to be used at more than one computer. Many offer software downloads and can only be used at the computer on which the software is installed.
Irregardless of whether you are just beginning to trade and are looking around for a suitable forex trading platform, or whether you are already trading, but would like to review the suitability of the trading platform, here are 6 selection parameters that can be used to determine the suitability of the forex trading platform.
1. Timeliness – Is the forex trading platform a high-edge system that employs the established but highly sophisticated technologies in order to provide you the real time, up-to-date quotes? This is very important, as a real time streaming quote platform will allow you to check your account and positions in real time, and more importantly 24 hours a day, as forex trading never ceases. With real-time information via the trading platform, you as a trader can be in full control of your funds whenever you wish.
Some brokers also slow the execution of the orders. This is really a big issue as this will impact negatively on your trades because the rate of the currency pair would change during this period of time, causing you to enter the market at a different rate than the rate you wanted.
2. Easy to Use software- Preferably, no software download. Look for a platform that enables users to start deals immediately, without the need to download proprietary software, or to spend weeks to learn how to use an unwieldly possibly outdated system.You should not have to install any software on your own computer, and you should be able to log in from any computer that has an internet connection. There are also desktop solutions or trading platforms, but unless they allow you real time information and the ability to be in control of your trades, they are not desirable.
3. Trading Rates – Some preferred trading platforms have a freeze and trade system involving a “freeze-the-rate you see” for buying and selling for a few seconds, irrespective of rates movement. This means that the rate you see and freeze is the rate you get, and there is no lag that can cause you to lose out due to fluctuations and lapse of even a few seconds.
4. Easy Money Deposits – Are there easy mechanisms for payment of money deposits into your account and are these immediately reflected in your trading account? Some preferred trading platforms allow you the possibility to make money deposits for margins and pay premiums using credit card, so that you are not hindered from making physical deposits, or have to attend to make deposits at your local bank.This is a real time saver and allows you to trade immediately without delay after a deposit or payment has been made.
5. Competitive Spreads: Currencies, unlike futures and stocks, are not traded through a central exchange. Thus, the spread can be different depending on the broker.
Some brokers adopt a variable spread, which might appear to be nice and small when the market is quiet, but when things get busy they can widen the spread which means the market must move more in your favor before you start to make a profit.This makes it harder for you to be in profits. So always check this out before selecting such a trading platform and broker. Fixed spreads built into the trading platform is good for you especially if you are using stop loss in your trading strategy because if the broker changes the spread according to prevailing market conditions, you may find your trades hitting their stop levels where they should not!
6. Technical Support- The forex market is a 24 hours market, and your broker should provide 24 hours support for the use of their trading platform. Ask questions about their support because some brokers may not give equal support to retail clients as compared to institutional clients.
As you go over this checklist of parameter above, always bear in mind the broker and the trading platform should assist you to eliminate or reduce risk of trading while allowing you to maintain control over your funds in real time. Spend time to check your trading platform to be used, and you will not regret it later.
By choosing the best online forex trading platform for you, you will be able to take advantage of any market conditions and therefore make a profit by acting on the information given to you. This will help you to maximize the profits available to you. This information is priceless.
By understanding the platform and the information contained within you will be able to make decisions in regards to the buying and selling of the currency that you have chosen. By knowing all the information that is available to you, you will be in a position to capitalize on any market change. But, until this time best forex trading platforms for me still metatrader 4, but you can chose as you like .