When you go into forex trading, you would need two things: a broker and a platform. The broker is the one who will help you conduct your trade, while the platform is what connects you with the broker.
Some people focus only on choosing the right broker. However, the truth is that you need to have both a good broker and a good platform to work with. With the right broker, you would be able to focus more on trading and honing your skills. Meanwhile, the right platform will make all your work as quick and as easy as possible. Because of that, here's a list of what you need to look out for when choosing an fx trading platform:
1. Demo account. When you are just in the process of choosing a platform, try each one out first using a demo account. This is important because it will give you a feel of how it is to work on a specific platform. With a demo account, you would be able to conduct real-time trades but without using real money in the process. So think of choosing a platform as something similar to buying a car; you want to test drive the car first to find out if it is the right one for you.
2. Free vs paid. There are many platforms that are being offered for free. But when you do choose to buy a platform, try to find out first what features are included there. Find out if these features are important to you, as this will help you decide if the money you are going to spend is worth it or not.
3. Browser-based vs desktop. You also have a choice between a browser-based and desktop platform. The beauty of a browser-based platform is that it allows you to access it whatever computer you use, anywhere in the world. But if you always bring your computer with you wherever you go, a desktop-based platform may be better suited to your situation.
4. Features. We spoke of features on number 2. When it comes to features, you need to know what are those that you need from your platform. For example, if you want to review the past performance of the pair, it is important for the platform to have an inbuilt historical data. Or if you are one who likes to tweak your strategies constantly, a feature that allows you to backtest it (i.e. testing strategies on previous time periods) would be a must-have.
5. User interface. A platform should not just look good, but it must be functional too. Because of that, it is important that you choose a platform where the data, buttons, and everything are clearly laid out, so you can access everything you need quickly and easily.
So before you jump into fx trading, be sure you are equipped with the right platform. After all, you are only as good as the tool you're using, so make sure you have the one that fits your needs.
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