Forex Trading Platforms In The UK
The world of forex is a fast moving and ultra competitive one. If this is a good sign as normally are the traders who benefits from this situation, it can also be a confusing environment.
In forex the risks are high but the rewards can be higher if you make the right choices: this is why it is important for you to find a reliable trading platform and a UK broker that you can trust and that will guide you towards success. Here at TopTradingPlatforms.co.uk we regularly review the forex market to provide you with the best advices when it comes to trading online. So let’s get started and see what are the best forex trading platforms in the UK.
Top forex bonus offers for the UK
Due to the huge competition, opening a forex account can be intimidating. Some forex brokers also offer bonus in the form of trading rebates or match deposit. Those are great incentives as ultimately they will lower your initial risk and allow you to try some trading strategies without too much stress on your capital. On the other hand be sceptical about forex brokers that in the UK are offering huge bonus for new traders: extreme marketing strategies are usually a sign of low professionalism of the forex broker companies. So treat every offer with suspicion and make sure you check the full terms and conditions before taking up any forex bonus offer.
The best trading platforms for beginners in the UK
Even if you are just moving your first steps into the world of forex trading it doesn’t mean you should settle for anything less than the top forex broker. Even in your learning phase you will still benefit from low spreads, top execution and great customer service and education.
Don’t think it is easy tough: for beginners traders picking the right forex trading platform is one of the most difficult things to do. It is very important tough and you will need to dedicate some serious time as it can really make the difference between success and failure. We are here to help you and based on the several criteria we have scored the top forex platforms for beginners in the UK. In our table we have looked at educational offerings, spread rangers, account minimums and reputation in the forex industry.
One of the biggest forex broker in Europe is AVATrade who is well positioned in the market and have been offering both large and small accounts which means is a good start for new traders. This is a highly regulated UK online broker which also offer access to stocks and other financial instruments in addition to forex.
With AVATrade the spreads are fixed and they are using one of the best trading platforms in the market, MetaTrader 4, which is well known for stability and reliability. It has a very interesting auto trader feature that has pre-programmed strategies. In order to open a real account you need to deposit at least £100 and this can be done easily as they have a huge range of deposit and withdrawals options (credit card, Paypal and electronic transfers).
Forex CFD UK trading platforms
Another online broker to consider is surely Markets.com. They do offer a huge range of forex trading tools so surely you will find the one that match your trading style. If you are trading on the go you will have access to some of the best mobile trading platforms which works perfectly both on the iOS and Android systems. Markets.com were awarded the ‘Best Forex Trading Platform in 2017’ by UK Forex Awards and this confirmed by our review that see them as a leading forex trading company. They are CySEC fully regulated and they offer some tight and very competitive spreads. In addition to this their site is fully secured with SSL encryption so you can be absolutely that all your your private and payments details will be protected at all times.
UK online trading platforms
If you are looking for the best UK online trading platforms than take a good look here. All the brokers we have selected are reputable and perfect for the UK online traders.
Pepperstone is also a broker you might want to consider if you are based in the UK. This is one of the worlds largest MT4 brokers and they do have incredibly low cost pricing across all FX, CFDs and Commodities. If you are looking to trade different markets and have a range of top trading platforms like MetaTrader 4, WebTrader, cTrader and many apps than this is an online broker you surely want to consider. As they are a very large brokers they can offer very tight spreads and their platforms are well tested with a huge amount of transactions that are performed every week. You can try them out by opening an account from just £100: deposits and withdrawals are very simple as they do accept many different payments ways.
What is Forex?
Simply speaking forex is the foreign exchange market. It is huge and very volatile in fact it is the world’s largest and most liquid financial market. This is not surprising as it is opened 24 hours a day and 5 and a half days a week with currencies that traded electronically around the world.
Why do I need a trading platform?
If you want to be involved into forex than you should know that it is completely electronics. This means that there is no a single hub and that you will need a forex broker in order to carry on your trades. Surely you can also buy or sell currencies via banks and similar places but the main advantages of using forex brokers is that they do offer significant added values like top trading platforms, market analysis and education. If you are serious about forex trading than you need to find a broker that you trust as a first step: this will free up your mind so that you can focus on the analysis and strategy to make the most of your invested capital.
Getting to know your broker
As mention it is very important that you find a forex broker that you can trust. It is therefore important that you will know as much as possible about what will be your closest trading partner. A decent forex broker will make all the information fully transparent and easy to find as they shouldn’t have nothing to hide.
You will need to go a bit deep when analysing a broker. A professional looking website is not enough to give you the necessary guarantees that a broker is reputable: that only means that they have invested marketing budget on a website. You will need to check their ‘about us’ page and get information on what licensees do they have and from which countries they are regulated.
Forex market is fully electronic which means that you won’t need to actually visit your broker’s office apart from virtually visiting their website and platforms. The location of your broker tough it is still important because of regulation and also educational opportunities. If you pick an online forex broker that is on a country where there is very little regulation than it is clear that it is riskier than a broker that is in a well-regulated country like the UK.
If you have some issues with your online broker than you can always reach out the relevant regulatory body (for example the FCA) and get help resolving your issue. If you are dealing with an online broker that is in a non-regulated country than you won’t have any assistance if you find some problems. Also by picking a broker that is close you where you live you can potentially take advantage of training seminars or workshops that they might do and improve your forex trading skills.
How to choose a forex broker in the UK?
Let’s start with the basics. When trading on forex you basically going to trade currency pairs: you buy one currency and selling another simultaneously. This is why you have currency pairs in forex trading where the first currency is called the base and the second is called the quote.
So when you are buying a currency pair you basically buy the base currency and sell the quote currency. As you might know there are currency pairs that do attract lots more volumes. The following 4 are the most traded worldwide and are also called the majors:
- Euro/U.S. dollar (EUR/USD)
- U.S. dollar/Japanese yen (USD/JPY)
- U.S. dollar/Swiss franc (USD/CHF)
- British pound/U.S. dollar (GBP/USD)
There are many forex pairs available in addition to those 4 however the majors attract by far the greatest volume. In addition to that they also behave in a much more predictable way which means are probably the best ones to start for a beginners. It is important that you check what currencies pairs the online forex broker that you are selecting is offering.
But how the online forex brokers make their money? They do it with the spread. The spread is simply the difference between the bid and the asking price and each unit is also known as a pip. Normally brokers do set the spread for each currency pair so if you are only going to trade few pairs it is worth looking around to see who is offering the tightest spread on those. Normally the spread for the EUR/USD currency pair is in the region of 1-2 pips.
What trading platforms do they offer?
As mentioned your online broker is your best friend that can help you to make your forex trading successful. They do so by offering trading platforms and it is important that you pick a forex online broker that has very good tools. These are the things you should look in a perfect forex trading platform:
- Easy to use – you don’t want to spend to long learning complex system as this ultimately will reduce the time you have for trading.
- Visually pleasing – you are going to spend a very long time in the trading platform so it is important that the design will be intuitive and with a great looks and feels.
- Got a variety of analysis tools – it is very important to check regularly how you doing
- Easy to enter and exit trades, with clear buy and sell buttons – the quicker and most efficient a trading platform is, the more money you will make in the long run. The trading platform should allow you to make decisions very quickly and close your positions without delays. Some trading platforms also offer a panic button which is a great way to cut losses or secure profits when the markets are very volatile.
In addition to the main ones above there are also other more advanced options that are nice to have like customisation, automated trading tools, strategy builders and many more.
Online forex is very up to date with the times so you should be given the opportunity to trade on the go via mobile forex trading. Most brokers have very good mobile trading platforms that will allow you to open and close positions and check tools when you are not at your computer.
Do they provide demo trading accounts?
Even if you think you are proficient in forex trading it is always a good idea to try a trading platform before committing any money. So it is important that the forex broker you are considering will offer you the opportunity to have a demo trading account, at least for a few weeks. This will allow you to:
- Check out if the platform is intuitive and comfortable to use
- Do some testing trades without risking your capital
- Familiarise with the platform and also get your speed of execution up. Also learn how to use the different tools that can assist you in live trading.
Is there a minimum deposit amount?
In the past the norm was that you had to commit a significant capital before starting to trade. This is not the case anymore as with the increased competition forex brokers were forced to reduce the minimum deposit to a few hundreds pounds. The best brokers allow you to open an account with just £100. It is important that you ensure you have enough money to cover the minimum deposit before signing up.
Are their deposit/withdrawal methods easy?
It is important to check that the forex broker will make it easy to both deposit and withdraw money. Normally nowadays credit card, bank transfers and e-wallets like PayPal should be offered making it very easy for you to deposit cash into your account and also withdraw them if you wish very quickly.
It is very important to check that there aren’t too many charges and fees when depositing or withdrawing money. The best brokers will not charge you any fees so be aware of this cost.
What client support is available?
As we have seen the forex online marketplace is open 24 hours a day, 5 and half days a week which means that your online forex broker support should at least mirror those times. When you are in a difficult situation or have found an issue it is important that you can speak with a real person very quickly. Most brokers offers live chat which is very good to get in touch with an agent straightaway. The worst thing is to having to go through an automated phone line so make sure you check the customer support you will be getting while on a demo account. You might want to check not only how fast they respond but also how well prepared the agents are: maybe you can try with a couple of difficult questions to see how they manage them.
Begin your forex trading journey
Now you have all the ammunitions to start your online forex journey. Follow the suggestions we have made carefully as they come from experienced and successful forex traders. Good luck and…may the rewards be high and the risks only slightly scary!