When you have learned the basics of forex, know the market structure, what a broker is and so on, it's time to register and choose the best type of forex trading account.
Choosing the best forex trading account according to your needs is like looking for the right clothes to wear to a wedding reception. There are many considerations you need to make. Moreover, this will have a big impact on your trading activities in the long term.
The following list of questions can be your guide to finding your account type.
How Do Brokers Divide Their Account Types?
In general, forex brokers offer a choice of trading accounts based on platform, spread, or lot size. Leverage and trading instruments can also be determinants too in some cases.
Let's take Admirals broker as an example. The company offers 5 trading account types namely Trade.MT5, Invest.MT5, Zero.MT5, Trade.MT4, and Zero.MT4. At a glance, the accounts are divided according to the platform offering (MT4 or MT5). However, upon learning further, there is another classification of these accounts based on whether they offer common spreads (Trade accounts) or zero spreads (Zero accounts).
What is the Minimum Deposit Required?
There are many brokers who accept deposits starting from 1 USD nowadays. However, with a deposit of 1 USD, your trades would be very limited. Instead of making a profit, you will be prone to margin calls.
We recommend that you choose an account that accommodates a reasonable minimum deposit. For example, an account with a deposit requirement of 100 USD. With a capital of 100 USD, you can manage risk properly with 0.01 lot trading size. Don't open too many positions, because rarely entering the market with high profitability is much better.
What Execution Type is Used?
For convenience and speed of execution, we recommend that you choose an STP account. Straight Through Processing (STP) broker is a type of No Dealing Desk (NDD) broker, so it is not a market maker or one who creates their own market.
This type of broker directs clients' orders to liquidity providers with access to the interbank market. In terms of pricing, STP brokers will select several liquidity providers with the best prices to offer. Besides, STP brokers only make money from the spread and not trade against their clients.
Does the Account Support Automated Trading?
Don't have time to keep an eye on the monitor and open the trading platform 24/7? This is no longer an obstacle for beginners because the best forex trading accounts on the market should provide the convenience of automated trading.
With automated trading features like Expert Advisors or MetaQuotes Signals, beginners can follow professional traders without having to worry about time constraints.
See also:
Additional Features Found in the Best Forex Trading Accounts
If the standard features are met, there's no harm in researching whether the forex trading account you choose has additional features. A series of extra benefits that you can get from a forex trading account include:
- News Content and Analysis
Fundamental and technical analysis must go hand in hand. To find out the market outlook in more depth, you should choose a forex trading account that provides technical signals and the latest news updates. Admiral Markets for example, equips their trading accounts with feeds from Dow Jones, the Economic calendar, and Trading Central signals. - MetaTrader Supreme Edition Add-On
MetaTrader Supreme Add-On is a tool to maximize your trading activities. It brings 5 superior characteristics which are: helps find opportunities, reads market direction, calculates profits and losses, increases effectiveness, and develops strategies. - One Click Trading
For traders who frequently enter and exit the market, the ability to analyze the chart and trade in real time is paramount. The One Click Trading feature speeds up the process so you can respond to market events with minimal. - Volatility Protection Settings
Apart from analytical skills, risk management is a step that must be mastered for safe and comfortable trading. Therefore, setting volatility protection on the best forex trading account becomes a necessity. This protection can anticipate slippage risks. - Market Depth (Pricing Level II)
For traders who prioritize transparency, the market depth is important to consider. In this case, an account with MetaTrader 5 trading platform can help you review the current liquidity. By knowing the liquidity of an instrument, you can anticipate price movements that occur and set alternative strategies.
Forex Trading Account Type for Muslim Traders
One of the concerns for Muslims regarding forex trading activities is whether they are halal. Fortunately, many brokers have provided solutions so that Muslim traders can participate in world-class financial markets. By eliminating swap interest rates, the swap-free account type is a good answer for Muslim traders adhering to Sharia Law.
Advantages of Swap Free Forex Trading Accounts
Admirals Broker offers an Islamic forex account tailored for Muslim traders. Available on Trade.MT5, the swap-free feature eliminates any swaps or overnight interest on various instruments such as forex, indices, commodities, shares, ETFs, and bonds.
This account offers the same benefits as a standard Trade.MT5 account, such as tight spreads, fast execution, and access to the popular MT5 platform, while adhering to Islamic principles.
So, traders can enjoy all the benefits of the account without having to worry about incurring Riba, making it an ideal choice for those looking for Sharia-compliant trading solutions.
Where to Find the Best Forex Trading Account?
After knowing the characteristics of the best forex trading accounts, additional features, and conditions that are suitable for Muslim traders, maybe you need a more specific answer. The reason is, when reading broker reviews, there are hundreds of names that appear and it is still difficult for you to decide which broker to open a trading account with.
One broker that meets the above criteria is Admirals. By registering for a Trade.MT5 account, you can get the best conditions in a forex trading account. Not only does it provide attractive main features, but this account also supports swap-free
