Trading with the best forex brokers in South Africa is a chance to have a good effect on your trading success. Of course, each trader has different needs when it comes to education material, expert analysis, and trading tools.
We’ve carried out research by trading and analyzing the most popular Forex brokers. We consider the reputation of the broker and how they balance to each other. This article is written to help you find a regulated and reliable Forex trading platform.
HOW TO COMPARE BROKERS IN SOUTH AFRICA?
At first, we compared the following criteria to find the best forex trading broker. Here are some of them:
- Regulation is trust in the investment business. There are crutial regulators and small regulators and we took all of them into account.
- Trading conditions are the details of the product the broker has to offer the trader, and we compared them.
- Account types.
We rank in terms of broker regulation, platform choice, and trading conditions for traders.
FOREX BROKER REGULATION
WHAT IS A REGULATED FOREX BROKER?
FCA, FSCA, CySEC & ASIC are governmental regulatory bodies to license the broker’s regulations. They set regulations to ensure that the brokers follow a fair trading environment while offering strict auditing oversight and protection of funds. A Forex broker regulated by more than one International agency is assumed to have more trust and integrity. One of the most reliable brokers is Exness => Exness sign up.
FOREX BROKER REPUTATION
CAN YOU TRUST A FOREX BROKER?
Regulation, trade execution method, and client fund management are taken into serious consideration to evaluate a trust-worthy broker.
Broker’s regulation is a strong indicator of the level of oversight the broker and the level of trust the government regulatory agencies.
Besides, broker’s execution, dealing desk’s involvement and any conflict of interest between traders & the brokers also make contributions to trust. If there are any financial involvements, this could be seen as making the broker less trustworthy.
In addition, if all the client funds are divided into different accounts at major banks in the local jurisdiction, this is a good indicator of trust. At that time, their funds are protected against the broker going bankrupt.
FOREX BROKER TRADING CONDITIONS
Spreads are seen either wide or tight and Pip is the measurement unit. This is an indication of the buy and sell price for any currency pairs which are far from each other, or close to each other. If the spread is 15 pips wide, that is considered a wide spread, where a 0.4 pip spread is considered tight.
Several brokers will offer various spreads on their FX pairs but traders tend to find a broker with the tightest average spreads on the pairs for the purpose of maximizing profits
Leverage is an amplifier used in trading Forex twins. In case, the movements in the market are so small that and there is no way to amplify the size of the trade. This leads to the impossibility for individual retail traders to take part in the business.
Leverage is given in a format like 300:1 – A trader can increase the size of the trade by a maximum amount of 300 times. Leverage varies between brokers, and brokers may also have the right to limit a client’s leverage according to their trading strategies.
FOREX BROKER ACCOUNT TYPES
Each broker will have various amount of account types but the number of accounts has been decreased in recent years. Basically, the major distinction between account types is between the Live or Real accounts, the Demo accounts, and Swap-free accounts. It’s rare to have the managed accounts.
LIVE OR REAL ACCOUNTS
Real money can be put in those accounts o trade. What you do with those accounts will have influence on your account balance.
Fake funds in accounts are set to prevent any risks. Besides, they give the trader an opportunity to test the trading platform, customer service, research area, and trading conditions. Many demo accounts are time-limited and time-unlimited to be suitable for their purpose.
The best forex brokers in South Africa will take you by surprise because they meet all of the above-mentioned standards. Hopefully, they will become your trading partner.
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