Operating on Forex market is impossible without Forex trading platform – a software pack that covers all trader’s needs and serves as a information exchange stock between broker and trader. It is a multi-functional user interface that provides various statistic information, financial news, gives ability to make orders and execute trading deals. It can be locally or web based, that means you can install it on your PC or use it via web browser. The only requirement is an access to Internet which is necessary for financial data exchange. As a rule Forex trading platform is available for free, but you can also meet the offers to upgrade for higher functionality buying a paid license or sign up for some broker’s platform for a fee.
When choosing the right platform you should pay attention to several must-have characteristics. First of all the platform should have powerful security system that will store all your personal and financial information secured from different threads. Each financial activity is based on previous experience and statistics. That is why a Forex trading platform must be able to store trading data history and provide user with real time statistics.
You will need different trading platforms according to your skills and professionalism. If you just have begun your trading career, it will be useful to have ability to test different financial strategies before going to the real game. Find out whether a platform you chose supports backtesting feature. Also the platform interface should be comfortable and suitable for simultaneous display of numerous charts and statistics, otherwise you will lose a lot of time at tracking the market situation and investment opportunities.
It is better when Forex trading platform has an API that allows to install additional plug-ins in future when you will need additional functionality for developing your own trading activity. The market changes and develops, that is why you should choose the dynamic platform with ability of extending its efficiency.
The foreign exchange market is a very hot market. Many investors and traders can make a living trading forex. In order to get started in this financial vehicle, you will need to open a Forex Trading Account. Nowadays, you can easily open an account online. There are a lot of forex brokers to choose from. However, not all forex brokers are created equal. You have to do some research to find a good reliable broker. An important thing to keep in mind when searching for a good forex broker is the spread. The smaller the spread, the higher your chance of making a profit.
The speed of order execution is also very important. You should choose a broker with a fast connection speed and a state-of-the-art trading platform. Most brokers will offer a practice account for all new customers so that the customers can experience and test their trading platform in real-time condition. You should open a practice account and practice trading for a period of time before going live.
The level of leverage is also very important. Leverage is a two-bladed knife: it can harm you or help you. If you are with the market trend, the higher the leverage, the bigger your profit. If you are against the market trend, the higher the leverage, the bigger your loss. Therefore, you should assess your risk tolerance level and choose a broker with the appropriate leverage level.
With a Forex Trading Account, you are ready to participate in the wonderful world of forex trading. You need to practice and learn a lot before you can make a profit. Forex trading is not a get-rich-quick scheme; you will need effort and time to win at this game. If you need further education, you can sign up for many online courses about forex trading.