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Sunday, 24 June 2012

Forex Brokers Comparison

Forex Broker Comparison - How to Compare Forex Brokers

In Forex trading, you will find that there are many brokers available to give you their seasoned advice over steps to take when trading. While there are many that are experienced, choosing the best one will give you the leverage over others in this game. Here are some factors you should consider when comparing for the best broker.

Before heading to the factors, it will ease your work to look for a Forex broker comparison list. This list will give you a summary of each broker in their different factors, which you can look out for.

1. Safety

Safety is one of the most important factors when choosing the best brokers because you know that the money that you invest in and your personal information are in safe hands. Safety is usually determined by a firm's credibility, which would be represented by the seal of the Forex regulatory body a country holds. For example, the US's regulatory body is the NFA or CFTC. Some countries will require the firm to obtain a license as an approval.

2. Cost

Money is involved when it comes to hiring a broker. Before anything, you will be required for a starting deposit. While you may be attracted to lower deposits to reduce your losses as a precaution, a typical deposit between $1,000 and $2,000 tends to do well in the market. In the case of earning money, brokers usually ask for commission from their clients. Different brokers will ask for different rates and depend on the bid and ask price once the trade has been finalized. However, there is also no-commission brokers that will charge based on your spread instead.

3. Currency used

The currencies used by the broker in the dealings should be similar to yours, as this would make it their field of expertise. If the currencies a broker deals with do not match those that you intend to trade with, even if they have a good reputation, you should forgo them and select one that does. The idea is to find one that is familiar with the trends of the right currencies so that they can analyze and forecast as accurate as possible.

4. Customer service

It is important that you will be able to reach your broker whenever you need to forward a question or specify a need regarding the trades. A good broker will always be there on standby, yet is courteous in listening to your problems and answering them. Even if they cannot give you an immediate response, they will get back to you as soon as possible with a solution.

From the Forex broker comparison list, see which suits your criteria and further research on it by looking at reviews from review sites and forums. The best is always one that you can feel assured with.

You can visit www.erforex.com to read more details about forex broker information comparison table.

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