Aspiring Forex traders need to do extensive research about online Forex trading before they decide to invest their hard earned money in currency trading. They first need to compare all the online forex brokerage firms and pick the best one for their needs. Only licensed and regulated brokerage firms should be shortlisted. Reputation is a key factor of consideration, so be sure to read reviews, check ratings and go through testimonials before choosing a broker. The ideal service provider should have tight spreads and must offer reliable tools for effective technical and fundamental analysis. After choosing a broker, the next step is to choose a suitable FX trading platform.
Tips for Choosing the Right Trading Platform
Many platforms are available in the industry, but the two most popular platforms are the MT4 and MT5 platforms. These are desktop apps that must be downloaded from the broker’s website and linked to an active trading account. It’s crucial to note that these metatrading platforms are also available as mobile applications. This means that you can trade on the go on your smartphone or tablet.
The MT4 and MT5 Webtrader
In addition to the desktop and mobile currency trading apps, there is also a browser-based trading platform. To access the platform, you only need to visit the website of the broker and sign into your account. You can do this using your computer or phone.
Benefits of the Webtrader
The are many advantages of using a webtrader to trade in currency. For starters, you do not need to worry about having a high spec computer to run the desktop app. Any device that can access the internet is sufficient. Secondly, this option is more secure because data is not stored locally. Therefore, malicious apps on your phone or computer will not be able to access crucial personal, financial or trading data. Thirdly, there is no need of software updates as service providers offer the latest versions of the metatrading software. Lastly, traders can move freely without their computers knowing that they can access their trading accounts from any location. All they need is a computer and a high speed internet connection.
Why is the MT4 Trading Platform Still Popular?
With all the benefits of the webtrader, you may be wondering why the MT4 trader is still being used today by millions of traders. The reason is simple. The desktop app has more tools and capabilities than the web app. Automated trading, real time, alerts and advanced tools for both technical and fundamental analysis make computer applications incredibly popular.
Making Your Decision
Whether you opt for the desktop app, mobile app or the webtrader, it is imperative you explore all the metatrading platforms to ensure you know your way around. This will help you pick the right trading platform for your needs. Be sure to also use a demo account to perfect your trading strategy before you engage in real trading with real money. Most brokers offer demo or dummy accounts to new traders. These accounts are also popular with experienced traders as they are used for practicing new strategies.