Our Forex broker reviews are designed to help you make an informed, independent decision about which broker will best suit your needs. Weve performed in-depth research on the top Forex brokers and compiled our findings into these comprehensive Forex brokers reviews.
A CFD, or Contract for Difference, is an agreement between two parties to exchange the difference between the opening price and closing price of a contract. CFDs are technically derivatives products that allow traders to trade on live market price movements without actually owning the underlying instrument on which the contract is based. In addition, there are no associated costs of physical ownership such as account management fees and stamp duty, as well as other advantages. This also means that traders can sell the product and buy it back at a later stage, which is known as going short. With CFDs, traders can maximize market exposure to over ten thousand markets for only a small fraction of the investment typically needed to trade the underlying asset directly. Before the advent of CFDs it was very difficult for retail traders and speculators to get access to assets beyond the major and minor Forex currency pairs such as commodities and stock indices. CFDs also make it possible to day trade the price movements of individual stocks without needing to actually buy or sell the stocks themselves. CFDs can be confusing in a sense to many people as they are associated with indices and commodities, but CFDs are not about the type of asset, they are just the legal wrapper that owns the underlying asset, designed to make buying and selling more convenient and simpler for both the client and the broker. Remember that CFDs are a leveraged product, which means that you are only required to put down a certain fraction of the total value of the trade. For example, if the margin requirement for the asset which is wrapped by the CFD is 10%, and 1 unit of the CFD represents a value of $1,000 worth of the asset, you will have to put up $10 per unit you wish to trade either long or short. Margin requirements on many types of CFDs are higher at many brokers than they used to be. Before choosing which broker is the best for you, view our list of the top brokers with CFD trading below.
Our Forex broker reviews are designed to help you make an informed, independent decision about which broker will best suit your needs. Weve performed in-depth research on the top Forex brokers and compiled our findings into these comprehensive Forex brokers reviews.
Many brokers offer other trading instruments in addition to the different currency pairs that are the mainstay of Forex trading. Even brokers which offer little else beyond Forex now almost always include the option to trade gold and silver, the most popular choices beyond Forex which covers government-backed fiat currencies. Looking at Gold in particular, it is the original currency from the earliest ancient times of the human race, and therefore has a particular fascination for many. It is best to look at Gold as just another asset to trade and not as anything special. Some economists see it as a store of value, others as a hedge again inflation. In fact, for traders, the most important way to make sense of Gold is truly as a safe-haven asset: something that tends to rise in value when a sentiment of rising economic risk rises. Over the past few decades, there have twice been spectacular rises in the price of Gold, both of which only deflated gradually, and this is a large part of its reputation as something worth trading. Gold is usually offered for trading valued in U.S. Dollars (XAU/USD), but it is also sometimes available valued in Euros (XAU/EUR), and even at a few brokers in Chinese Yuan (XAU/CNY). This opportunity to trade gold and silver, in addition to currencies, through Forex brokers is providing an opportunity for traders to monetize their forecasts about various precious metals (silver, platinum and even palladium). Although the spread for gold and silver trading is usually relatively high and the leverage offered is low, trading these commodities may be an appropriate market idea. Minimum leverage requirements for Gold have recently been increased at many Forex / CFD brokerages, even though volatility in recent years has been relatively low. Forex brokers usually use XAU/USD notation for spot gold contracts and XAG/USD for spot silver as a trading instrument. The team at Daily Forex has taken the top gold trading brokers and has compiled the comparison chart below.
Many brokers offer other trading instruments in addition to the different currency pairs that are the mainstay of Forex trading. Even brokers which offer little else beyond Forex now almost always include the option to trade gold and silver, the most popular choices beyond Forex which covers government-backed fiat currencies. Looking at Silver in particular, it was one of the original currencies from the earliest ancient times of the human race, and therefore has a particular fascination for many. It is best to look at Silver as just another asset to trade and not as anything special. Some economists see it as a store of value, others as a hedge again inflation. In fact, for traders, it should be remembered that unlike Gold, Silver is an industrial asset which has true demand issues it is not simply a safe-haven like Gold. Over the past few decades, there have twice been spectacular rises in the price of Silver, although these bubbles burst quite rapidly, and this is a large part of its reputation as something worth trading. Gold is usually offered for trading valued in U.S. Dollars (XAU/USD), but it is also sometimes available valued in Euros (XAU/EUR), and even at a few brokers in Chinese Yuan (XAU/CNY). This opportunity to trade gold and silver, in addition to currencies, through Forex brokers is providing an opportunity for traders to monetize their forecasts about various precious metals (silver, platinum and even palladium). Although the spread for gold and silver trading is usually relatively high and the leverage offered is low, trading these commodities may be an appropriate market idea. Minimum leverage requirements for Gold have recently been increased at many Forex / CFD brokerages, even though volatility in recent years has been relatively low. Forex brokers usually use XAU/USD notation for spot gold contracts and XAG/USD for spot silver as a trading instrument. The team at Daily Forex has taken the top silver trading brokers and has compiled the comparison chart below.
Many brokers offer other trading instruments in addition to the different currency pairs that are the mainstay of Forex trading, expanding beyond the old-fashioned category of Forex brokers and becoming commodities brokers as well, typically offering at least Gold and Silver in addition to the usual Forex currency pairs. After Gold and Silver, the next most popular offerings are Crude Oil and Natural Gas, followed by the softs such as cocoa, sugar, wheat, soybeans. etc. A commodity broker is a firm or individual who executes orders to buy or sell commodity contracts on behalf of clients and charges them a commission. Commodity contracts include futures, options, and similar financial derivatives. Commodities are the raw materials humans use to create a livable world and include agricultural products such as wheat and cattle, energy products such as oil and gasoline, and metals such as gold, silver and aluminum. Commodities can be tricky to trade. They usually dont behave like Forex currency pairs, but they dont typically behave like major stock market indices or individual stocks either. For example, major Forex currency pairs tend to move in relatively small waves most of the time, and often trend quietly, with no real difference between short or long trading as every trade is both short and long of something. Commodities typically consolidate for long periods of time before rocketing up or down very rapidly in value due to corners and natural events such as weather disasters, or human events such as war. Furthermore, there is arguably a minimum price for most commodities, which tends to put a floor under the market value, making trading on the long side more attractive than going short much of the time. This means that one of the most profitable ways to trade major commodities over recent decades has been to look for long-term breakout to new high prices over several months. Finding a good commodity broker is key to your success and the list we have compiled below of the top commodity brokers should help you find just the right one for you.
Most people are familiar with stock trading and have dabbled in the market over the course of their lifetime. Stock trading has been around for hundreds of years and brokers have come and gone. Purchasing stocks can be done in numerous different ways but the most popular method for retail investors and traders is by using a stock broker for the purchase and sale of either real shares, or in derivate instruments such as CFDs, and it is the latter wrapping over individual stocks and shares in mostly developed, major global economies which is the popular offering at Forex / CFD brokerages. There are high quality stock brokers that have been around for many years and have built up a reliable reputation for honesty and integrity. They claim to offer their clients good execution with the right tools and support. On the one hand, if you choose a traditional stock broker, bank or other major finance house as your preferred vehicle to buy actual shares, either directly or packaged in baskets in funds such as stock ETFs, you will not pay any overnight fees on your long positions, and you will receive dividends and any other income or benefits which may accrue. However, minimum deposits required are relatively high, there is usually a minimum account fee per month, and your leverage is typically limited to 2 to 1. An alternative solution is to use a retail online internet Forex / CFD brokerage offering trading in a selection of individual stocks wrapped as CFDs. You can usually get higher leverage than 2 to 1, but spreads and commissions will tend to be higher. Perhaps most importantly, and it is certainly an important consideration for position traders or investors, overnight fees are typically charged on both long and short positions in stocks, and this can eat into profits. The individual trader needs to look at their budget and at how much they plan to trade and how long they hope to hold trades open for to make an informed decision. Our list of the top stock brokers below has been compiled by our team at Daily Forex in hopes that it will help traders select the broker that is best for them.
Oil is one of the commodities that have become popular of late with Forex / CFD traders. There is a good reason for this, and it is simple: the market price of crude oil has historically been extremely volatile, and subject to dramatic, strong trending moves associated with major changes in economics, politics, and security. Crude Oil is important as it is still the primary fuel of human industry, but that could change if the world moves over from fossil fuels towards cleaner and greener energy sources. Crude Oil has also always been a commodity of great interest to Forex traders because it often enjoys a positive correlation with the currencies of major oil-producing nations, such as Canada for example. Petrocurrencies such as the Canadian Dollar are often seen as leading or lagging indicators of what is most likely to happen next to the price of Crude Oil, and vice versa. Another interesting factor is the fact that the core demand of global industry for crude oil implies that there is a minimum floor below which the price will not settle, and this in turn implies that traders will be wise to see being long of Crude Oil as a typically better and less risky position than being short. A challenge in buying or selling Crude Oil is, how are you going to do it? If you buy actual barrels you will need to put a considerable amount, and then there is the cost of storage. There are funds which own Crude Oil, and other businesses too, but this is an approximation. The most feasible way to do it is to buy futures or options on Crude Oil contracts, but the minimums are usually beyond retail traders, who instead turn to CFD brokerages. This can work fine, but clients typically must pay relatively high spreads and commissions for Crude Oil CFDs, and an overnight fee which is usually very high on Crude Oil or Natural Gas on both long and short positions. Oil futures from NYMEX (West Texas Intermediate, or WTI) and ICE (Brent Crude) are usually part of the series of commodities offered by Forex brokers, together with the more popular commodities such as gold, silver, other metals. But not all Forex brokers offer their traders oil trading in addition to the other asset choices. Oil is a volatile product that is driven by supply, political and environmental factors, and the demand of energy-driven nations. To choose a broker who offers oil trading, see the list below compiled by the team at Daily Forex.Oil Trading Brokers
What are ETFs? ETF stands for exchange traded funds, so the simple answer if that ETFs are just funds which you can buy and sell shares in very easily. The beauty of ETFs is that they offer the trader or investor a way to get exposure to baskets of assets which are important, but overly expensive or complex for the trader or investor to get access to more directly. For example, lets say you think the value of the shares of lots of a certain type of technology company is going to go up by a lot. One method to get exposure to the upside is to make a list of the top 50 technology shares filtered by whatever criteria you like, and then go in buy some individual shares in each of the 50. Problem is that this can be an expensive and complicated solution. Well there is an easier way: you can find ETFs which own shares in the top 50 technology companies or the top 50 of almost anything you like! Of course, ETFs can also make it easier to go short, too, if that is what you are looking for. ETFs are a recent addition to the armory at Forex / CFD brokerages. If a broker offers trading in ETFs (invariably wrapped as CFDs), they probably have a very wide and sophisticated selection of instruments which may be traded. This could be ideal for any trader and investor who wants to be well diversified.
It was not a long time ago when the first thing you always had to say about Bitcoin was to explain what it was, because the person you were talking to didnt know anything about it. Those days are gone, as 2017 saw cryptocurrencies, particularly the major ones such as Bitcoin, become a media sensation as their valuations soared up into that stratosphere from seemingly nowhere within months. The bubble in Bitcoin seemed be of truly historic proportions, as new millionaires were minted almost overnight from relatively small initial investors. A sad news story that year showed a man in the U.K. who had thrown his old computer away, with a large and seemingly worthless quantity of Bitcoin on its hard drive which he had not bothered to extract. He was no spending his days searching through the dump for his old computers hard drive, knowing he would never have to work again for the rest of his life if he could find it and safely extract the hard drive. Bitcoin is a cryptocurrency a digital currency – which may be freely purchased and sold with money, although it is not always easy to buy and store real Bitcoins themselves. There are a few places where you can buy and sell Bitcoin such as Bitcoin and cryptocurrency exchanges. It is arguably a bit misleading to call cryptocurrencies currencies as the hallmark of a currency is whether it is legal tender, or at least widely accepted and usable as a means of exchange. Bitcoin is not there yet by a long way and has still only been accepted by a few major companies as an acceptable means of payment. Fiat currencies such as the U.S. Dollar and the Euro are backed by the central banks of nation states. Bitcoin is backed by no central authority it is the worlds first decentralized, ledgerized currency. The supply of Bitcoins is finite, with a limited number of new Bitcoins which can only be created by computers after they have probabilistically spent a similar amount to the real value of a bitcoin. Creating a Bitcoin necessitates running very advanced computer hardware with an internet connection. Determining the average cost of generating a Bitcoin may be used to estimate Bitcoins fair value.
Cryptocurrencies are an amazing new asset class. They are basically private currencies, which are decentralized and not under the control of any government or authority beyond their governing protocols, which are effectively algorithms. As such, they have a quality which fiat currencies such as the U.S. Dollar or Euro obviously lack: they cannot be devalued or otherwise manipulated. Cryptocurrencies do not suffer from inflation, and they are a dream of libertarians and monetarists. Cryptocurrencies use cryptography to secure and manage all transactions, and to create new units of the currency, through blockchain technology. Cryptocurrencies have no meaningful commercial order flow which might interfere with speculative and investment operations. Cryptocurrencies are famous in the investment and trading worlds because their value collectively as an asset class, and particularly individually as the few major cryptocurrencies such as Bitcoin and Ethereum, have fluctuated wildly in value. Bitcoin dominates the market, with well over half (at the time of writing) of all cryptocurrency by market capitalization. The major cryptocurrencies were a rare historical exhibition of a dramatic asset value, on a par historically with the South Sea Bubble and Tulip-mania, but things settled down a great deal over the course of 2018. An easy option for trading Cryptocurrencies is to use a Forex / CFD brokerage, a great many of which now offer trading in at least Bitcoin and Ethereum, as exchanges can be expensive and cumbersome. It is worth checking out all options if you want to invest or trade in the major Cryptocurrencies. Watch out for CFD brokerages overnight fees on crypto CFDs, which can be high sometimes.
One of the most important features of a Forex broker is the choice of trading platforms offered to clients, although some brokers offer no choice at all and require their clients to use one trading platform in particular. Most Forex brokers offer the classic and ever popular MetaTrader 4 platform, often in addition to other available trading platforms. MetaTrader 4, also referred to as MT4, was developed by MetaQuotes Software and released in 2005. MT4 is an electronic trading platform used widely by online retail foreign exchange speculative traders. Although MetaQuotes announced that they would not longer be supporting MetaTrader 4 in an attempt to push the retail trading community into adopting its MetaTrader 5 platform, the popularity of MetaTrader 4 persists, and it is the most popular and common platform in the world of retail Forex trading: most brokers offer this platform to their clients as an option. Why does the MetaTrader 4 trading platform remain so popular, even though it is not without its critics? The answer is probably because most traders find it easy and intuitive to use, and because there are so many easily available add-ons which are compatible with it, many of which can be found for free within Forex trading communities. Some of these add-ons are called templates, which often include customized indicators. Sharing and using these allows an easy exchange of trading knowledge and strategies. Another type of add-on are expert advisors, which run algorithmic trading strategies automatically without requiring human intervention in opening and closing trades. The MT4 platform has adapted itself over the years to meet the needs of MT4 Forex brokers and their clientele, with some help from MetaQuotes although those days are over! Additional features have been added to ease the trading process and traders of all levels find the MT4 platform user-friendly and simple to understand. Before choosing a broker, it is important to review all of the platforms offered. We have made your choice easier by listing the top MT4 Forex brokers. All of them have been tested and reviewed by our Daily Forex team and we present them below, so you can make an educated and informed decision.
You might have heard of the MetaTrader 4 trading platform, but have you heard of the MetaTrader 5? You should have it was released several years ago, in 2010. Made by the same company, MetaQuotes Software, who created the industry-standard and wildly popular MetaTrader 4 trading platform. This leads many to suppose that the MetaTrader 5 trading platform is just a MetaTrader 4 2.0 version, but MetaTrader 5 is much more than that! What both MetaTrader 4 and MetaTrader 5 have in common is that they are both trading platforms which can be used as back testing machines. They also have very similar graphical user interfaces and otherwise identical look and feel. The crucial difference between them is that MetaTrader 5 has the capability of plugging into a centralized exchange. There is no such centralized exchange in Forex, but there is in commodities and stock future, for example, and it is in trading non-traditional, non-Forex assets where MetaTrader 5 really starts to provide an advantage. The other major differential is that MetaTrader 5 complies with the U.S.A.s FIFO (first in, first out) trading regulation. So, if you are a U.S. based trader, or if you are looking to trade non-Forex instruments, you might want to look for a broker that offers the option of trading with the MetaTrader 5 trading platform!
Forex brokers offer the cTrader trading platform for two primary reasons: to efficiently execute trades and for charting purposes. It has a clean, uncluttered layout which many traders enjoy. It is common for new traders to report that they found it easier to learn how to use cTrader compared to the MetaTrader 4 or MetaTrader 5 trading platforms. It is also intuitive and user-friendly. cTrader is used by many leading ECN brokers as it fits this execution model well. Ctrader was really designed to be used with ECN brokers as it is so fast and can take advantage of the pricing anomalies which sometimes arise at the best ECN brokers, such as inverted spreads for example. cTrader is intended for use with multiple assets beyond Forex, such as CFDs, and offers rich charting tools, advanced order types (including one order closes another), level II pricing, plus of course speedy entry and execution. cTrader is compatible with multiple devices and hooked up with the most sophisticated back-office technology. One of its main advantages of cTrader is that it eliminates the possibility of a dealing desk intervention. Another convenient feature is chart tradingyou need only click and drag and then place your order directly from the charts. cTrader also offers the ability to show DOM (Depth of Market) if supported by the Forex / CFD broker, with the full range of executable prices coming directly from the brokers liquidity providers. Trading using DOM (Depth of Market) can be a whole new world for technical traders more used to trading off chart patterns and price-driven technical indicators. cTrader is also well-known for its community of algo writers and copiers and is beloved by auto-traders at least as much as MetaTrader 4 and MetaTrader 5. It is true that the number of brokers offering clients the option to trade with the cTrader platform is relatively small, however, there are some well-known names on that list. It has become the trading platform of choice for some major ECN-style Forex / CFD brokerages. Traders should evaluate several cTrader Forex brokers before coming to a decision about which one to choose. The team at Daily Forex has taken the work out of comparing the many cTrader Forex brokers by doing our own research and reviews. We have selected the top cTrader brokers and have listed them below.
What is social trading? Social Trading is really a very simple concept it is a system whereby you can see what other traders are trading and copy their trades with your own money if you want. This is arranged within a brokerage whose clients all use the same (or similar) trading platforms which have a social element, allowing traders to not only view each others trades (sometimes including certain restrictions such as the expiry of a defined amount of time or closure of the trade), but also to communicate with each other. Perhaps most importantly, such social trading platforms also include universally applied metrics and rankings of everyones trading, or at least every trader who chooses to make themselves publicly visible. For example, lets say you want to see who the top traders are on a social trading platform. You would go to the trading analytics section of the site and choose an option to view top traders by, say, total performance over the past six months. They will all be listed in order of performance, and you can then drill down to find out more details about traders making the rankings if you choose. Most platforms have very detailed filters available to use for manipulating your search results, for example you might want to see the top performing traders over the past six months who have had maximum draw-downs of less than 10%. Before deciding if social trading is for you, review the list of Top social trading brokers below. The fact that a broker has a social trading facility should not be the only consideration you are looking at. Forex brokers must meet your needs in many other ways. We have organized this list to help you make the right decision.Social Trading Brokers
There is absolutely no question as to the necessity of trading with a regulated broker. This cant be emphasized enough. Trading with a completely unregulated brokerage cannot be recommended at all in any way. A regulatory authority should at least theoretically ensure the economic strength of the broker and its integrity towards its customers who are depositing money with it and trading through it using its price feed and execution and further services. Without regulation, traders are left without any resource to back up the legality of the broker they are using, and usually without regulation a brokerages victims have little redress. Unfortunately, some brokers pretend to be regulated when they are not regulated at all. First, it is illegal in many countries to operate a Forex / CFD brokerage without regulation, but in some jurisdictions, it is possible to do so, and in these jurisdictions, brokers unfortunately sometimes use misleading language in their advertising. Check the exact language that a broker uses in describing how it is regulated, if they are truly regulated they should be able to provide a license number which you can verify on the regulators website. Some of the worlds leading regulatory bodies covering Forex / CFD trading are: US – National Futures Association (NFA) and Commodity Futures Trading Commission (CFTC), Europe – Financial Services Authority (FSA UK) and Cyprus Securities and Exchange Commission (CySEC). Check out the full list of tr