Tips On Selecting The Right Forex Broker
The Foreign exchange market is the world’s biggest financial market with more than 4 trillion dollars being traded every single day. This market has no central workplace and therefore it is important to select the right Forex broker to help you conduct your Forex trading activity.
There is a big competition going among the different Forex brokers today and it is really a big job to select the right one from the growing pool of Forex brokers.
Choosing the right one requires a number of cautious decisions and we will explain some of the most important considerations in choosing the best Forex broker for you. Let us have a look.
Regulation by a well known regulatory organization
A flashy or good looking and professional website does not guarantee that the broker is under a good regulating authority. In United States a reputed FX broker is a member of NFA i.e. National Futures Association and is registered under CFTC which is Commodity Futures Trading commission. These are good and reputed regulating authorities regulations the Forex brokers and develop rules to protect the integrity of the market. They develop rules and regulations to protect market users from fraud and manipulations.
The countries outside USA have their own regulating authorities and good Forex brokers are always regulated by the well known authorities in their state.
Ease of depositing money and easy withdrawing
Brokers have their own funding and withdrawal policies and brokers generally allow the traders to fund accounts online through wire transfer, bank cheque, PayPal or ACH payment. Withdrawals may be through wire transfer or cheque. The broker can charge fees or commissions for these services so you should always look out for these funding options and select the one who offer the best rates and options.
Foreign currency pairs offered by the Forex broker
The best Forex broker offers a good number of currency pairs available for Forex trading but what is important to offer those which are needed by the most of the Forex traders. The major currency pairs are generally USD/JPY, EUR/USD, USD/CHF and GBP/USD. A broker should provide all the major pairs in which most of the FX traders are interested.
Customer service
In any type of business offered the most important thing is the customer service which should be provided with the highest quality. Forex market is open 24 hours a day and therefore the customer service should be available throughout the day and the trader should get any type of assistance round the clock. When you consider a Forex broker to perfrom Forex trading, you can check the quality of customer service with a quick call and it can give you an idea for the type of customer service, wait times and the ability of the representative to answer the questions regarding all the Forex points.
