Trading forex on the internet is very easy thanks to the advance in technology and the integration of the financial markets and the internet. This has however lead to the problem of finding a good, honest forex broker. The Forex market isn’t regulated which means there is no real oversight of all brokers. There are a variety of different brokers with many different platforms, so what makes a good Forex trading platform?
The first thing to look for is if the broker offers a free demo account. If the broker doesn’t offer this, you should reconsider. Unless, you have a lot of experience in trading, it’s always best to start with a demo account. It’s also helpful to have the ability to switch between demo and real money while you’re trading, for example if you want to test a new strategy. I have traded with Instaforex for a few years, and can vouch for their integrity and software. You can try their software by clicking the link and downloading their demo.
Another thing to consider is the supply of currency pairs to trade. As you may know there are many different pairs, but some brokers only offer a select few pairs, usually because they do not have access to the data feeds. If you are content only trading the EUR/USD, then it may be of less importance, but if you want to try your hand at more exotic pairs then get a broker that offers them. Trading less known pairs can be very profitable if you know what you are doing. I know of a trader that only trades the SEK (Swedish Krone) against other currencies, based on the movement on oil prices. This seemingly simple connection makes him steady profits. Instaforex is my broker of choice, not least because they offer 200 pairs at decent spreads.
With the right online forex trading platform, you should be able to trade both demo and real money and you should have access to the currency pairs that you want to trade.