Today, more people are looking for the best brokers for beginners in trading forex. This market can be extremely complicated and difficult. During the beginning stage, 95 percent of traders lose all their money. There are many reasons for this failure, including lack of knowledge and experience. Besides, many beginners mistakenly choose demo accounts for practicing, which leads to negative effects. Some even jump into trading hastily with ECN accounts which only for professional traders.
When I was a beginner, I experienced all these problems. I also looked for the best forex brokers and traded with them some time. Then, I lost all and I realized that there were no best brokers in the world. There are only the brokers that suit your needs and trading strategies. These brokers are called best brokers which can help you succeed in this market. From my experience, I will recommend some ways for picking the best brokers for beginners.
Looking for reliable brokers
In my opinion, the best brokers are the brokers that have reliable regulations. These regulations should be licensed by reliable regulatory organizations. For example: FCA (United Kingdom), NFA, CFTC (United States), ASIC (Australia), FSA (Japan) and CySEC (Cyprus). To know which brokers are reliable, you can also check their search traffic and ratings. The top 5 forex brokers in the world often solve problems fast and treat their traders well, thus having high ratings. But, only people who want to invest large amounts of money pay attention to these brokers. Beginners often open an account with a small deposit, so they aren’t worried about scams. By using the Internet, I found some good and reliable brokers that can be suitable for beginners. They include Exness (8/10 rating), XM.com (7.5/10 rating), FxPro (6/10 rating) and Forex.com (6/10 rating).
Checking minimum deposit
Personally, I think the best brokers for beginners should require low minimum deposit. As mentioned before, most traders lose all money at the beginning. So, they look for brokers with low deposit requirements to lower their losses. In this stage, I highly recommend depositing less than $100 for 3 months of trading. Professional traders do not pay attention to this factor. Instead, they care about spreads, commissions, leverages and quote’s quality.
Many beginners choose demo accounts for practicing before starting real trade. However, I think that cent accounts are the best choice for them. Cent accounts do not require minimum deposit and they offer very real trading conditions. Especially in Exness, you can deposit as low as $1 or how ever much you want. Moreover, you will get real money if you win these accounts. So, I advise that you should choose cent accounts if you’re beginner and want to learn trading problems.
Considering mini lot trading
A standard lot in forex trade is 100,000 units of currency. It’s too high for beginners. But, there are also nano, micro and mini lots that require 100, 1,000 and 10,000 units respectively. The best brokers for beginners should offer many trading lots with small sizes. For example 0.0001 USD for each lot in USD. I recommend beginners should trade mini or micro lots to open positions as small as possible. Cen accounts can be the best option for you. As mentioned, these accounts require very low minimum lot trade. Besides, you can deposit $10 for each month trading, which is very low. You can withdraw your money if you win cent accounts. Some brokers even allow you to deposit however much you want. Those brokers are Exness, FBS and XM.
Deciding the trading systems
Another factor that you should consider when choosing the best forex broker for beginners is their trading systems. So, check if the broker you want to choose meet the following requirements.
First, they should have various payment methods. Beginners should consider depositing by Visa/Master. This is one of the easiest payment methods for those who just start trading.
Second, they should have easy and convenient trading methods. There are many different methods of forex trading. Beginners should choose web trade or web terminal for easy trading in this stage. When you have enough knowledge and experience, you can trade MT4/MT5.
Good trading systems are very important for beginners. They can help save time, remove cognitive biases and achieve positive trading results. So, consider trading with brokers that have good and easy trading systems.
Checking the local support
Forex trading is very difficult for beginners. When I started my trading career, I experienced lots of problems related to security and login. At that time, I was always seeking help and advice from my broker. As my observation, many other traders also had the same problems at the beginning. Thus, I suggest that beginners choose brokers that have good local support and customer care. In particular, the best brokers for beginners should meet the following requirements.
First, they should assist you in your own language.
Second, they should have offices in your country. This can help solve your trading problems faster. And if the broker scams you, the law in your country will protect you.
Finally, they should offer 24/7 customer support.
I know some brokers that meet the above qualifications, such as Exness, FxPro and XM. Specially, Exness assists their traders in 13 different languages. Besides, they have regional offices in most of Asian countries. In some areas where they’re not popular, they support by phone and live chat.
Examining training programs
Beginners that want to learn and improve trading skills should focus on this factor. Currently, some brokers provide their traders with weekly or monthly training courses. These programs and courses are very beneficial for beginners, but can require deposit. So if you’re interested in these programs, you can register account and deposit money. After finishing the trading courses, you can change to a better broker that suits your needs and strategies. And, remember to choose only the reliable brokers that require low deposit. XM is one of the big forex brokers that offer many training programs. You can consider this broker if you want to learn more about forex trading.
The above are six tips for finding the best brokers for beginners. I hope that my knowledge and experience can offer you valuable information. If you’re just starting trading, consider these tips carefully.