I know that trading career is not easy for new traders. Although you are careful person in choosing perfect forex broker, you will recognized that the best forex brokers might not be suitable for you. At the same time, you’ve also known that ECN brokers aren’t good for you either. I am very happy when you search a perfect forex brokers to co-operate. This proves you desire to develop trading path seriously. Being an experienced trader I make sure that you’ll have to change many brokers in your trading path. My advice is relying on each stage of business you find out a most suitable broker for you!
The following is 3 best forex brokers for beginners.
- XM reviews: 9/10
- Exness reviews: 9/10
- FBS reviews: 8.5/10
- Beginners often put a foot wrong.
– Some beginners were recommended to practice with demo account some months before investing real money. I don’t deny this is a good advice but personally this isn’t the most efficient method. In some situations, it can cause negative effects on your strategies such as waste of time, waste of money, etc. Cent account is the perfect account for beginners. Please keep away from ECN as a beginner. You should remember this account only bring much profit for experts. New traders will be fail immediately due to a lot of slippages and gaps. What a volatile account!
– According a survey, about 95% beginners will lose money. This is the reason why you should not deposit your fund too much at the early stage. You think that you will win when you get 50% – 100% profit even up to 10,000%, but lastly 99.9999999% of them will lose all. It is clear that 3 to 5% monthly is a good profit rate for beginners.
– Trading based on the news is a wrong business campaign. Most beginners often means that they should open positions within the news release time, but it’s wrong. All experts don’t trade in news release time. They will close or open positions about 15 minutes before/after the release time.
- Misconceptions about the perfect brokers for beginners
With psychology as a new trader, I thought I force me to trade with the best forex brokers. Actually, this is a wrong view. In fact, I won in the first stage after that I fail seriously. Lastly, I learn from experience: in the forex environment nothing is perfect and best. We only have the definition of “the most suitable” brokers. As I mentioned in some article before, you need focus on your trading strategies, your experiences, or your countries trading conditions to choosing the most suitable forex brokers. In order to success your dominate aim is learning and minimizing your loss. If you understand this matter, I believe that you will achieve yourself purpose in a short time.
- Standards of the perfect brokers for beginners
– Low deposit:
Beginners only deposit small funds so there are no brokers that want to cheat them. In this period, brokers want to take care of them, so they give them the best trading conditions. You remember that you only practice in this period. I strongly advise you to deposit less than $100 for this stage (3 months), because you only trade a little amount of money, so you also don’t need to care about the trading cost.
– Beginners need good local support brokers
It’s much easier and quicker if your supporters can speak your language. Certainly, at the beginning, you will got some stupid problems such as: login, installing MT4, 3D security of Credit Card… Don’t worry! Good local support always beside you.
– Trusted brokers
I think choosing a trusted broker to cooperate is important. However, you are a beginner with limited fund about ten dollars, so there isn’t any brokers that want to cheat them. Therefore, you can trade with any brokers if they are easy and convenient for you. When you have enough experiences, knowledge and ability, you should change to other reliable brokers.
– Good training and coaching programs
Some brokers have weekly and monthly training program for their clients. The aim of these programs is to help you register account, deposit a little money, learn and then change to better brokers after the training courses.
- Some basic information about top 3 best forex brokers for new traders
- com: 9/10
As you know, XM is one of the top 5 forex brokers in the world, so it is a reliable broker. XM let you open smaller positions (0.00001 lot USD). You are a beginner so I make sure you won’t dare deposit much money for trading. To save money, XM is your good choice for you. Especially, this broker provides you with many training programs helping you learn more about forex market.
- com: 8.5/10
If you type the words ‘Who is the biggest retail forex broker’, the results of searching will be Exness. They have Cent account with which you can start as small position as 0.0001 USD. Payment systems are the most outstanding advantage of Exness.
- com: 8/10
FBS also have Cent account in order to practice. Their customer services and payment systems are very wonderful, but they only offer better services in countries where they have offices such as: Indonesia, Thailand, and Vietnam.
- Should beginners join demo contest for practicing?
Most of us think Demo contest are for starting practicing, but all demo contest winners are professional traders. I did a research about demo contest winners. Most of the winners Chinese, Thai and Indonesian. Their profitable rate are over 10,000%. That means most of them are using robot trading to win demo contest.
Obviously, beginners cannot get huge profit rate like them, so don’t dream that you can win demo contests. They’ll just waste your time. It may even change to your trading strategy, because demo contest trading-strategy is focusing on profit and ignoring risks, which is opposite to the normal trading strategy.
- Should beginners get welcome bonus?
As I mentioned in the article before, a welcome bonus is an amount of extra money given by brokers when you register. Generally, brokers can give you from 30 to 50 dollars welcome bonus for first time attendance. It’s easy to register welcome bonuses but whether you can withdraw or not. Everything depends on conditions of brokers. If you completely finished a certain number of trading lots, you are easy to enjoy bonuses. In some cases, you are careless leading to have to pay more than the bonus value to complete those required lots.
- Some useful tips for new traders:
- Trade Micro/Cent account of the best brokers for beginners.
- Should limit money which deposit under $100 for the first month.
- Have to schedule for risk situations.
- Don’t believe the words other people say. It means that they stimulate you to deposit tens of thousands of dollar and promise that certainly you get big percentage of profit. You will make mistakes if you do accordingly. It is easy to get that profit rate but the higher the profit, the higher the risks. I have ever witnessed some my friends might success in some months or even some years, but finally they lost everything. This is exactly information because I used to work for a large broker and I find this.
- Don’t use robot trading. Many people take advantage of lacking knowledge of beginners in order to sell a trading robot and commit you to profit rate up to hundreds percent monthly. Never gonna happen. Experts is suitable person for robot trading because they have many experiences and decide to choose robots to follow their trading strategies and how to adjust them efficiently. You need time in the first period. You need to test many things and get used to trading. Waiting and capturing chances will help you success. Good luck to you!