With so many forex brokers offering their own fx trading platform, why should you even consider using your own trading software?
The Forex can be a volatile market where prices swing wildly on a moment’s notice or with no notice at all. Reaction times need to be swift in order to make profits or avoid losses. Just as frequently, price moves are gradual and they can often be accurately forecast if you have the right tools available to you. Trading software provides those tools.
There is a seemingly endless supply of free forex trading software. Every one of them claims to be the best and, of course, that can’t be true. But how do you decide which one is best for you and whether or not you should choose a desktop platform or connect to the web?
A lot of new traders will simply use the online trading platform that comes with their brokerage account. The upside of that decision is that those packages are usually free, or at least the basic packages are. You may have to upgrade to a paid version if you want to unlock some of the more advanced features that the free versions keep away from you.
Broker fx software software may be a good choice when you are starting out; but once you get more involved in FX trading, you’re going to want the heavy-duty power and features that only the best independent trading packages can offer.
Regardless of whether you opt to download a trading platform, or you go for a web-based one, the speed of your Internet connection is a big factor. Desktop systems are going to have to pull down pricing data and push up your trade executions very quickly. The speed of your Internet connection will be the major factor here. Forget dial-up and go for the fastest broadband connection that you can afford.
Mini Forex Trading Platform
A mini forex trading platform is where you are able to trade mini lots as apposed to standard sized lots. A mini position is 10,000 of the currency you are purchasing. This is one tenth of the size of a standard lot.
Low Spread Forex Trading Platform
A low spread trading platform can have a significant effect on your overall profits at the end of the months. The lower the spread the more profit for you. However, the execution is equally important.
The biggest advantage that all good fx trading software offers is the ability to manage and execute your trades while providing access to pricing data and charting capabilities. These two items alone will give you a marked advantage over any trader who is trying to go it manually.
Before you go off looking for the best forex trading platform you should have a realistic expectation of what that software is going to do for you and what the most valuable features of a good trading program are.