Forex trading has become one of the fastest-growing financial services that many across the globe do. Its popularity has risen in the past decade, making it one of the leading trading forms many financial advisors even recommend. Today, more and more people are looking into forex and are planning to start.
Because of its popularity, there are now many forex broker companies online. However, not all brokers provide platforms that could work well with every trader. One of the most famous and recommended trading platforms by many professional traders are the MetaTrader 4 and MetaTrader 5 platforms.
Many promising forex broker companies offer beneficial perks to their traders. However, many use platforms people don’t know about and are not popular. The thing is, the platform you use when trading affects your trading journey and performance. If you’ve been planning to dive into forex, here are seven things you should look for in a trading platform.
1 – User-friendly interface
If you’re unfamiliar with forex or are a beginner, using trading software can be overwhelming. But even though you’re a newbie, you can tell whether a trading platform is user-friendly or challenging to navigate.
You can tell whether a platform is user-friendly if you can seamlessly perform the commands you need. A user-friendly platform doesn’t include unnecessary command controls that traders won’t need. It should be easy to place an order or close a trade on that platform. If that’s not how the platform you’re using is, then maybe it’s not one you should recommend to new traders.
2 – The platform’s responsiveness
Another thing that you should look for in a forex trading platform is the quality of its responsiveness. This second point is similar and related to the previous factor I discussed. One of the things that could immediately lose a trader’s interest is if a trading platform’s software has poor responsiveness.
Here’s an example. Have you ever visited an unresponsive website where you’re planning to scout or buy something online? What did you immediately feel when the site you’re on was very unresponsive? Isn’t it annoying to encounter one? That’s how you’d also experience if the trading platform you’ll be using is unresponsive.
An unresponsive trading platform will waste your time, test your patience, and potentially lose money due to its poor performance.
3 – The platform’s reliability
Another critical thing you should look for in a forex trading platform is reliability. Since you’ll be monitoring your currency pairs and the market’s performance, you must have a platform to deliver the reliable data you need. That means that the software won’t suddenly stop or reload whenever you’re about to make an order or sell your pairs.
A reliable platform will help you monitor your currency pairs, especially when you need to sell or trade them. If you were to choose between a platform’s aesthetic or reliability, you should prioritise the latter. After all, what good would a well-designed platform be if you can’t sell or trade your pairs when you need to?
4 – The platform’s accessibility and compatibility with your device
Today, most of us are after convenience and accessibility. That’s why as much as possible, if we can do something online, we prefer them over traditional methods. Another reason forex trading has become as popular as it is now is because of its convenience.
Unfortunately, some platforms other forex broker companies use don’t have smartphone access. Most software that professional traders recommend is accessible via smartphones or laptops. But, of course, this point would vary depending on your trading schedule and needs.
If you don’t plan to monitor your forex account anytime you wish to, then this is not an issue with you. But if you’re like most traders who monitor the market from time to time, having software you can access on your phone is a must.
5 – The platform’s terms and conditions should value the user’s security
Today, it’s easy for hackers to access our personal information online. Sadly, some companies also leak and give away their clients’ personal information. That often happens because they provide terms and conditions that clients don’t read. What many of us don’t realise is that they disclose those disclaimers without us realising.
That’s why before you choose a platform, take the time to read and understand its terms and conditions. Review that the terms and conditions protect and value your personal information and online security. Be wary of conditions that are vague or relate to the access of your forex account.
6 – Accessibility of its analysis tools
Whether you’re a new trader or a professional one, at some point, you’ll need the help of analysis tools in your trading journey. Those analysis tools will provide you with the latest trends, updates, and changes affecting currencies’ performance in the forex market.
Your trading platform’s analysis tools should be able to provide you with the trends of your past trading performance and provide you tips for better trading opportunities. Some forex trading platforms offer economic calendars that their traders can review so they can forecast the market’s future performance.
Having a platform with reliable and accessible analysis tools will massively impact your trading journey positively.
7 – Ranking and reviews based on professional traders’ recommendations
Lastly, is the platform’s ranking based on professional traders’ suggestions. I mentioned earlier that MetaTrader 4 and MetaTrader 5 are two of the most recommended platforms by professional traders. But that does not mean other trading platforms are no longer reliable if they’re not on the list.
However, since forex trading involves spending your money, it’s critical to choose a platform that professional traders trust and recommend. Again, many scams exist online today. That’s why it’s better to trade and spend your money on a trusted and tested platform.
Your overall experience on a trading platform should be smooth and problem-free.
Hopefully, you’ll find the best trading platform that works for you with the help of these seven tips. To sum it up, your forex trading platform experience should be smooth and problem-free. If that’s not what you’re experiencing on a platform, take it as a sign to look for a new one.
About the author:
Bianca Banda is a writer for FP Markets, one of the best-regulated Global forex brokers with over 40 global industry awards—and counting, making them the trusted trading broker by many.