Translate

Broker's Guide

List of the best Forex brokers/CFD. Below I present an updated list of Forex Broker sites where you can open demo accounts and real and start trading. The brokers are divided into ECN / STP (Electronic Communication Network) where orders go directly to the market, and Market Maker, where the broker takes care of your orders. The list is continually updated.

Note: CFD and FOREX are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFD and Forex work and whether you can afford to take the high risk of losing your money.



ECN/STP

ECN= Electronic comunication network. Brokers with fees.

BROKER

TYPE

COUNTRY
Dukascopy.com
Dukascopy Europe
ECN
ECN
Switzerland
Latvia

Lmax.com  ECNUK
Fxopen.co.uk ECN/STPUK
Hotspotfx.com ECNUK
Currenex.com ECNUSA
Integral.comECNUSA
FxPro.com STP/MMUK
IcMarkets.com  ECN/STP/MMAustralia
Pepperstone.com ECN/STP/MMAustralia
OctaFX.com 
     ECN/STP/MM
Indonesia
Swissquote.eu  STP/MMSwitzerland
FXDD.com ECN/MMUSA
Saxo BankECN/STPDenmark




MARKET MAKER

Market maker= only spread (no commissions). 

BROKER TYPECONTRY

eToro.com

MM

UK/Cyprus

Oanda.com  MMUK/USA
Forex.com MMUSA
Intertrader.comMMUK
FXCM.com MMUSA
Exness.comMMCipro
Thinkmarkets.comMMAustralia
Vipromarkets.comMMCipro
XM.com
     MM       
Cipro
IG.comMMUK
Activtrades.co.ukMMUK
Hotforex.com MM/ECNCipro
Tickmill.comMM/ECNLatvia
Titanfx.com   
MM 
New Zealand



Brokers for stocks, futures, CW, Otc and various marketsETRADE, AMERITRADE, SCOTTRADE, INTERACTIVEBROKERS, MBTRADING, TRADERSTATION.




Beware of scams.
These countries, usually tax free, are located in Central America (Antilles, Virgin Islands) and Central Mediterranean (Malta, Cyprus). If the broker is based in these areas, check that the broker has good references in the various forums, web, etc.


When to choose an ECN broker:
Direct access to the market: orders are passed to the market without the intervention of the broker.
Narrow spreads: the spreads are those of the interbank market, the minimum available on the market, up to 0.1 pips.
Speed: ECN technology allows you to process orders almost instantly.
All types of trading are permitted: as long as there is a counterpart in the market, there is no restriction on the type of trading.


Cons:
Presence of commissions: every time you open and close a position you pay a commission required for each trade.
Unsecured stop loss: a stop loss is an order, so if there is no counterparty willing to pay that price in the market the order can not be executed.
Minimum deposit: a minimum deposit greater than a Market Maker broker.
Spreads can widen a lot: in particular market conditions spreads can also become very large, for example during news.



When to choose a "Market Maker" broker:

No commission. The broker does not charge any commission because it is already incorporated in the spread. If the spread in the interbank market is 0.5 pips, the broker will offer a 1.5 pip spread to make the difference.
Low initial deposit required. Many brokers offer the possibility of trading micro-lots and the possibility of opening accounts with a few euros by exploiting a high financial leverage.
Intuitive platform. The platforms are usually easy to use and have many functions in common.
Stop loss can be guaranteed. Some brokers offer guaranteed stop losses, this is possible because the broker stands as counterpart and the order is executed even if there are no other market orders willing to take the other side of the trade.
Never in negative. The broker will automatically close the open trades in case you do not have enough funds to cover the losses. In other words you will never lose more than you have in your account. This is because your funds have never really been marketed.


Cons:
Scalping not allowed. Brokers have difficulty continuously managing numerous orders that are opened and closed within seconds. That's why scalping with some brokers is discouraged if not even banned.
Execution not always fast. Sometimes platforms slow down in the presence of news.
Not real prices. The prices displayed by the Market Makers are not the original ones on the interbank market, but are created by the broker in reference to them.