- 1 Forex Trading in UK
- 2 Reviews for the Best Forex Brokers Online for Your Convenience
- 3 How to Open a Forex Trading Account in UK
- 4 Trade.com Review | Trade.com Forex Review | Trade.com Review UK
- 5 eToro Forex Broker Review | eToro Forex Review | eToro Review UK
- 6 AvaTrade Forex Broker Review | AvaTrade Forex Review | AvaTrade Review UK
- 7 How Can You Start Trading?
- 8 Choosing The Right Broker
- 9 What is Automated Forex Trading?
- 10 Forex Demo Accounts
- 11 Transaction 101
- 12 “Longs” and “Shorts” Positions in Forex Trading
- 13 What is Leverage?
- 14 Trend and Forex Trading
- 15 Support and Resistance
- 16 Managing Risk
- 17 Recommended Reading:
Forex Trading in UK
A little into Forex Trading, Forex Trading can be described as making trades between two forms of currencies. In forex trading currencies are traded at a pre-set fixed price on an exchange platform. Forex is an abbreviation of “Foreign Exchange” the word itself describes the whole trading.
Forex Trading is one of the popular online trading there is on the market and trades worth up to USD 4trillion or GBP 2.5trillion per day make up for Forex Trades. There are many currency pairs are listed on the exchange to trade, and are trades happen on the basis of calling the rise and fall of the currency price. One of the most traded currency pairs in Forex Trading is USD/EUR among others.
Reviews for the Best Forex Brokers Online for Your Convenience
How to Open a Forex Trading Account in UK
Trade.com Review | Trade.com Forex Review | Trade.com Review UK
Brand name of Leadcapital Markets Ltd, Trade.com is a part of this brokerage firm which is licensed and regulated by CySec. Offering their services to over 100 Countries Worldwide in over 20 Languages. Holding all the applied licenses in the European Union and the UK. Having top notch security measures for their clients they offer fool proof security measures so that their clients have a peace of mind regarding their profits and investments.
Providing broad range of assets to trade from, they make sure that their trader doesn’t miss out on the latest of updates in the market. Since it’s foundation back in 2008 they have evolved to create a perfect combination to create a winning and refined environment for it’s clients. Providing perfect and updated analysis to their clients with leverages of 200:1.
Trade.com provide a mobile and online platform for it’s users so you can trade with all the advantages there are of CFD and Forex Trading including:
- Start Low – $100 Deposit Minimum
- $100,000 Demo Account for a Risk-Free Start
- CySec Regulated and Licensed (Perfect for UK)
- 24/7 Support Dedicated to Your Account
- Highly Researched Educational Material Available
- Over 200 Financial Instruments to Deal With
- Dedicated Individual Training with a Facility of Free Live Seminars
- Highly Evolved Dedicated Platforms
- Lucrative Initial Bonuses
- Free Tutorials and Webinars for Starters
- Up to Date and Credible Market Analysis
- 24/7 Hassle Free Access
Deposit Bonuses: Up to $2000
Trade.com Excellent for the Beginners and Experienced Traders alike.
$2000 Sign Up Bonus and $100,000 Demo Account Click:
eToro Forex Broker Review | eToro Forex Review | eToro Review UK
Cypriot Investment Firm providing an outstanding financial service in collaboration with regulated brokers from around the globe, eToro is a regulated brokerage firm under license from CySEC. With outclass standard of professionalism eToro provides it’s clients with the most professional of teams regulated under CySEC.
With a wide range of financial instruments made available through their platform from Indices, CFD Stocks, Commodities to Currencies they provide the utmost transparency to their clients and the things get simpler with them than any other broker out there in the market. With close to 3 million traders operating with them from over 120 countries, eToro has risen to be one of the market’s reputable brokers with it’s blooming trading platform. With thousands of active traders and thousands joining everyday they have created a name for themselves.
eToro With a unique and new trading platform offer unique advantages and a competitive environment for the traders along with:
- User-Friendly Platform
- Option to Trade Socially
- Demo Account Free of Charge
- Opportunity to Find Mentors in Great Traders
- Dedicated Customer Support
- Huge Welcome Bonuses Amounting till $10,000
- Spreads Easy-to-Understand
- Minimal Time Limit to Withdraw
- Rollover Fee – Nil
Want a Welcome Bonus? Well you’ll get up to $10,000.
AvaTrade Forex Broker Review | AvaTrade Forex Review | AvaTrade Review UK
As compared to other brokers that we have shortlisted for you AvaTrade work under the regulations by Central Bank of Ireland as compared to CySEC which is the main regulatory body of other brokers. Central Bank of Ireland carry the licenses that are in compliance with MiFID. It is because of these regulations and licenses that traders are allowed to trade confidently. The strict regulations and compliances does change the way AvaTrade handle the assets of their traders and because of these compliances and regulations the traders are provided top security for their assets and it requires AvaTrade to report to the regulatory body.
The trading platform provided by Avatrade is continuously evolving to meet the needs of the traders and adapts to trader’s needs and strategies that one implements during trading. It’s really to get used to the trading platform a crucial point for the new traders as getting used to the essentials can be tricky for them. Trading platform is detailed well and is of professional level and easy to adjust to at the same time.
AvaTrade offers it’s traders a wide range of customizable tools and indictors. Also they offer the facility of automated trades when the traders set it up to meet their requirements. More advantages offered along are:
- Easy to stay up-to-date with the market
- Implement expert research and analysis
- Easily Accessible from Desktop PC
- Exclusive Access to Easy Trading Software
- Refer to Available Charts During Trades
- Over 30 Indicators Available along with Expert Tools
- Customizable Trading Interface
- Trade with over 150 Instruments
Bonus: Up to $5000
How Can You Start Trading?
The first and the most important step of all is to find the right broker for yourself. After you’ve chosen the right broker you have to register for a trading account. If your broker offers you the facility of a demo account, try the demo account and practice on it to get a hang of it. Process of registering for a trading account is rather simple and depending on which broker you choose they may offer software for downloading or they may set you up on an online trading software on their website.
After logging into a demo account, practice on it to get used to the interface and practice your trading strategy to minimize the risk of loss when you move onto trading with a real account. When you do move onto the real trading account be sure to use an authorized payment method to make a deposit with your broker.
Choosing The Right Broker
There are some key points that every forex trader should take into account when choosing a forex broker to trade with. Because there is real money and your money is at stake here so first of all you should choose a trustworthy broker to give your money to. The broker should be a reputable one in the market and have a credibility go along with it. A name that every trader deems trustworthy. The broker you choose should have state of the art servers so that they can provide you the latest in trading technology as it goes along. And most important of all the broker you choose should be regulated in at least one or two countries.
A reputable and trustworthy broker will ensure the security of your capital and will handle all the legal disputes you come up with your trading journey as they come up involving the brokerage platform. A broker with a proper and extensive man power will be able to accommodate everyone of it’s traders without unnecessary hold ups and the broker will be able to provide efficient services to it’s traders. Choose a broker with a user-friendly platform and trading interface, you don’t want to get stuck up trying to understand the interface menu when you should be making important profitable calls on your trades. And the broker you choose has to be legitimate and regulated be sure to check all the initial criteria to identify the regulated brokers.
What is Automated Forex Trading?
Automated forex trading is basically a mirror trade, type of automated trading allows traders to follow the patterns and signals of earlier successful trades that occurred with more successful traders than you. The software learns those signals and patterns that is then made available to other traders so they can profit of it without using their own instincts to carry out the trades. Thus eliminating the human factor.
Allowing the automated software to trade for you will somewhat keep in the element of machine error and basic human instinct is cut off while trading. Much like the Binary Options Robot this automated software also works on pre-programmed signals that is further improved with the data fed through different successful trades. Automated Forex Trading has proven to be successful for a lot of people. But the risk of loss is always there when you are trading.
Forex Demo Accounts
Demo Accounts are a great way to take on the baby steps to forex trading without risking your capital. The demo accounts work to your advantage and are very good for getting yourself used to the interface and the trading platform’s features. Because all demo accounts offer the real time market functionality without risking your money you can practice your trades using different trading strategies and can check which trading strategy suits you and will work for you in the real account. Demo account offers beginners to make themselves acquainted with the trading platform risk-free.
Forex trading is all about trading currencies, currency pairs to be specific. Now let’s look at the currency pair of (EUR/GBP). Now if you were to buy using this currency pair you will be buying EUR first and would be selling GBP second and if you were to sell using this currency pair you would be selling EUR first and buying GBP second. Now if the demand of buying of this currency pair was to increase it would indicate that EUR is gaining strength and if the demand of selling this pair was to increase it would mean EUR is getting weaker and GBP is gaining strength. This in turn causes the exchange rate to increase or decrease.
“Longs” and “Shorts” Positions in Forex Trading
There are two types of trading positions while trading in Forex Trading. Let me put it into the basics. It is all based on how you make assumptions while trading, if you’re trading on the assumption of the currency pair price would rise you would be trading in the long position and if you are trading assuming that the currency pair price would fall you are trading in the short position.
Buying and Selling can be tricky for the beginners in the Forex Market, an error can occur in the midst of this confusion. To make it simple you just have to remember that the “buy” and “sell” calls implement on the first currency of the currency pairs. When trading EUR/GBP currency pair you’d be making “buy” and “sell” call on the EUR and the second currency would be acting opposite to the call you’d making.
What is Leverage?
Leverage is basically when you borrow your trading capital from someone. In forex trading terms a leverage is something when the trading capital is generated other than your own means. And when you’re trading with a forex broker the leverage is trading capital borrowed from the broker.
Trend and Forex Trading
Trend is basically the direction of a currency pair or of the market price levels, in which they’re moving. The trends can range from long to short term trends and the length of the trends can vary too. If you are able to identify and work with the trends it can be very profitable for you and you would be able to maximize your profit returns while trading.
If you are trading with the trend it is considered the most basic and easiest way to trade in the forex market while generating good amounts of profit. Just to be clear if the market is on a downward trend and the price levels start to reverse i.e. the opposite of trend, it’s not very wise to still trade in the direction of the trend prior to the reversal. Trading with the trends is considered the most easiest and effective for the beginners in forex trading.
Support and Resistance
In Forex Trading the term ”Resistance” is referred to the movement of price of level of any given asset or currency pair rises to a certain and do not go any further up than that, that resistance point is also called “Ceiling”. The term “Support” is quiet the opposite of Resistance, when price level of an asset or currency pair falls and falls to a certain point where it can’t drop an lower from that point is called “Support” and the support point is also known as “Floor”. Floor basically protects the asset from drastic drops in price levels.
Both of these points “Support” and “Resistance” are crucial indicators in forex trading used along with other indicators they will prove vital in predicting the asset’s trends and price patterns increasing the chance of profitability.
In Forex Trading the process of decision making range from identifying the risk, analyzing the risk and accepting the risk and keeping in mind these risk elements a decision has to be taken so the decision comes with the lowest risk possible. These risk tackles are an important part for the big time traders and hedge fund managers in an attempt to quantify their losses and the decisions are made keeping in view of their objectives.
If you do ignore the risk management overall the results can lead to big losses whether it’s an individual or an organization. The recent 2008 financial crisis’ main reason was poor risk management, because of excessive lending to the banks and not reviewing who is fit to loan out to led to too many people owing money leading to the collapse of the financial system.
Forex Trading Basics