Names of forex traders

In general terms, day traders operate with price action characteristics to buy, sell and hold trade positions instead of fundamental data analysis employed by other categories of traders.

Actual forex bonuses

4 types of Forex traders – Day trader, position trader, swing trader, scalper, names of forex traders.

A currency’s price volatility and average day range is an important element that day traders take seriously. Before a trade can be initiated, it is very important that the security in question have sufficient price movement. Day traders make profits from the price movements of securities. Trading is established on the ground of entering and exiting a trade position at a very fast rate. This makes volume and liquidity very crucial. Therefore, financial securities with a small daily range or volume won’t be of any interest to a day trader. Forex day traders focus on events that cause short-term forex market moves. This makes trading the news a very popular technique in day trading. They trade based on information they acquire from scheduled economic news releases such as the economic statistics of a country, corporate earnings, and interest rates. These economic expectations cause significant moves in the forex market when they are met or exceeded thereby generating profits for day traders. Swing traders buy securities when the market moves in an upside swing and sell securities when the swing halts, stops or have topped out. Their focus is usually based on a particular asset. This helps them best understand the movement that takes place within the asset. Swing trading comes along with a lot of advantages. Traders make higher returns and profits than a buy and hold investor and this aspect is best for those that trade for a living. In addition, swing trading experience less risk when compared to other types of trading. Furthermore, it doesn’t involve watching the market in real time.

4 types of forex traders – day trader, position trader, swing trader, scalper

Forex market, being the largest financial market in the world is full of different categories of forex traders who buy and sell currencies and securities like indices, stocks, metals, energies, softs, etfs etc. These set of traders trade the forex with different techniques while utilizing a good number of software and platforms that facilitate their trading activities. Different forex traders work with different trading strategies while predicting or making speculations in the forex market. Various trading techniques adopted by forex traders are majorly based on the knowledge of the forex market (being a beginner or an expert trader) and the trading strategy that fits his/her goals. The following will discuss the basic types of forex traders found in the forex market.

Day traders

A forex day trader is one who closes all trade positions at the end of each trading day and makes sure there are no open positions overnight. Day traders function with an extensive knowledge and experience of what the forex entails. This category of forex traders makes use of a variety of methods to make proper trading decisions that lead to success. Some trade securities with the use of technical indicators and analysis in the calculation of favorable trade entry and exit timeframes while other trade based on instincts.

In general terms, day traders operate with price action characteristics to buy, sell and hold trade positions instead of fundamental data analysis employed by other categories of traders. A currency’s price volatility and average day range is an important element that day traders take seriously. Before a trade can be initiated, it is very important that the security in question have sufficient price movement. Day traders make profits from the price movements of securities. Trading is established on the ground of entering and exiting a trade position at a very fast rate. This makes volume and liquidity very crucial. Therefore, financial securities with a small daily range or volume won’t be of any interest to a day trader. Forex day traders focus on events that cause short-term forex market moves. This makes trading the news a very popular technique in day trading. They trade based on information they acquire from scheduled economic news releases such as the economic statistics of a country, corporate earnings, and interest rates. These economic expectations cause significant moves in the forex market when they are met or exceeded thereby generating profits for day traders.

Position traders

Position traders trade securities in the forex market by holding a trade position for a long-term, in a period of weeks to months and sometimes, years. These set of traders, unlike day traders, are less concerned with short-term price fluctuations and the economic news release of the day. Position traders are not active traders. They initiate few trade positions in an entire year.

This set of traders make use of weekly and monthly price action analysis chart to ascertain how a security moves in relative to a particular trend. They make profits and returns from the price moves in primary trends. Here, trades are performed with emphasis on both fundamental and technical analysis. These trading indicators give position traders a better evaluation of the forex market, gives them the ability to make better trade decisions, and take part in a total evaluation of the financial assets in question.

Swing traders

Forex swing traders are those who make profits and returns in the forex market by holding a trade position overnight to several weeks. These set of traders make use of fundamental analysis, the intrinsic value of a security, price trends, patterns, and technical analysis to search for financial instruments with short-term price momentum. Swing traders trade by the identification of securities which has an extraordinary possibility to move in a short time frame. The goal in swing trading is to trade on large price moves on a daily basis by spending longer time (weeks and months) monitoring the security in question.

Swing traders buy securities when the market moves in an upside swing and sell securities when the swing halts, stops or have topped out. Their focus is usually based on a particular asset. This helps them best understand the movement that takes place within the asset. Swing trading comes along with a lot of advantages. Traders make higher returns and profits than a buy and hold investor and this aspect is best for those that trade for a living. In addition, swing trading experience less risk when compared to other types of trading. Furthermore, it doesn’t involve watching the market in real time.

Scalpers

Forex scalpers are traders who hold a trade position for a short-term period in an attempt to make profits out of the short hold. These set of traders buy and sell securities many times in a day with the mindset of making a small percentage of consistent profits out of the market. A scalper uses a manual and automated trading system on various platforms thereby developing functional strategies that generate profits from the bid and ask spreads. The manual system of trading involves the trader making trade executions while sitting in front of his computer while the automated trading strategy involves the trader setting rules and guidelines on how to use trade signals.

Forex scalping strategy yields more profits in times of high volatility and sufficient market moves. However, there is a certain percentage of risk associated with this trading strategy. Once a scalp trader enters a trade position in which they find it difficult to exit from, they can be left with an open trade position that could lead to a loss of profits.

In conclusion, the forex market is filled with a lot of benefits for forex traders. However, forex traders should not neglect the number of risks associated in trading currencies in the forex market. It is very important that as a trader, you evaluate your trading skills and understand the forex market before trading assets in it. With this, the selection of a trading strategy on if you would become day, swing, position or scalper trader will be more certain.

4 types of forex traders – day trader, position trader, swing trader, scalper

Day traders

Position traders

Swing traders

Scalpers

Forex brokers list

The following is a comprehensive forex brokers list. You can rest assured that the broker reviews listed below were conducted with the utmost level of professionalism and objectivity. It is highly recommended that you read them, open a demo account with several different forex brokers, and only then begin trading the forex market.

Still not sure which forex broker is right for you? Our broker matching tool can help you choose the right broker by assessing your location, trading preferences, skill level and other determining criteria. Click here to get help choosing a broker.

You might also be interested in our top brokers list for 2021.

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Forex trading courses

Want to get in-depth lessons and instructional videos from forex trading experts? Register for free at FX academy, the first online interactive trading academy that offers courses on technical analysis, trading basics, risk management and more prepared exclusively by professional forex traders.

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Risk disclaimer: dailyforex will not be held liable for any loss or damage resulting from reliance on the information contained within this website including market news, analysis, trading signals and forex broker reviews. The data contained in this website is not necessarily real-time nor accurate, and analyses are the opinions of the author and do not represent the recommendations of dailyforex or its employees. Currency trading on margin involves high risk, and is not suitable for all investors. As a leveraged product losses are able to exceed initial deposits and capital is at risk. Before deciding to trade forex or any other financial instrument you should carefully consider your investment objectives, level of experience, and risk appetite. We work hard to offer you valuable information about all of the brokers that we review. In order to provide you with this free service we receive advertising fees from brokers, including some of those listed within our rankings and on this page. While we do our utmost to ensure that all our data is up-to-date, we encourage you to verify our information with the broker directly.

400+ forex trading names ideas for your inspiration

Forex trading, the foreign exchange business is global and of course, decentralized for traders. If you have the discipline, risk control, courage, and astuteness you are made for this business. Today, we are recommending some of the catchy forex trading names for beginners.

The perfect trader’s name reflects your knowledge, skillset, and dedication. Just like these investment companies names in the US, we are going to suggest entrepreneurs some cool ideas.

Forex trading groups names

These are some of the creative forex team names:

Advance ideas inc.

Affinity group

Alex forex group

Alison assets

All asset trading

Alpine trade

American forex specialists

Assets legacy

AZ trading

Bargain greenland

Bear trade

Best days work

Bloom trading

Blueberry trading

Bright future

Bright trust

Brown brothers

Capital gains

Capital link inc.

Captain express

When it comes to having a good business, it is very significant to pick a perfect name for your venture. Naming an exchange business won’t really be a big assignment when you see all the ideas here.

On a serious note, light entertainment phrases could be used in the branding process. What are your skillset and experience? Put them into the right witty words.

Top forex traders in the world – names ideas

Some of the top trading companies names in the world are as follows:

Vanguard industries

Castle harlan inc.

Catch the fish

Coast of guinea

Comma alert

Complex coordinate

Comprehensive sales

Constant mitchell

Core vision group

Cosmos investments LLC

Cross water

Diamond group

Dream deal

Dutch magnates

Earth market

East london

Fast investment company

Finance master

The finance nuts

First analysis

Let’s see infographic:

Financial company names

These are some of the trading name examples:

First northwest inc.

Galaxy ventures

George lucas

Global ventures

Golden inc.

Golden scope

Grand associates

Gravity ventures

Great chinese

Growth affirm

Growth edge

Happy bear group

Helping hand

Horizon investments

Idea infinity

Lennox investments

Link enterprise

Magna wealth inc.

Marvelous points

Mastermind ventures

Remember these things while choosing a beautiful name.

Do some good brainstorming

Pick a great theme

Make sure it scales/sounds great

Ask your friends to give you some ideas

Trading company names ideas

This is the trending list of the best trade names in america:

Merchants views

Mission investment

Money haven

Moon deals

Moon ventures

Morningstar inc.

Motion ventures

New land ventures

Northwest dealers

Orion ventures

Pacific oak wealth

Product palace

Real capital LLC

Real source forex

Rocks table

Royal investment

Ruby investments

Sales guru

“ rule number one: don’t lose money. Rule number two: don’t forget rule number one. ” — warren buffett

Catchy forex company ideas

We have tried our best to come up with cool ideas that would help you choose a memorable and creative name.

These are some of the modern and catchy forex company names:

Sam and jan

Seal the deal

Secret trust

Secure prime

Simon management

Soren’s signature

Southern star

Spark bridge

Sprout group

Tech ventures

The capex group

The next force

The oasis enterprise

The platinum company

The queen wealth

The wisdom company

Tycoons in trade

Valley investment

Wins begin

Rules for naming your forex company

Forex trading has very high competition in the business industry and you need a winning name to stand out from others in the field. You need to follow these steps:

Avoid complicated and hard-to-spell words

Don’t pick words limiting your business growth

Carry out an out-and-out internet search!

Choose a short and meaningful brand words

Check for copyrights or trademark conflicts

Evaluate if the names are catchy, short, memorable, meaningful, and relevant

Get feedback on the experts and friends, and of course us.

Make sure you personally like it.

Most of the time, people use the following strategy for creating cool names:

Use your own favorite names

You can use light humor words

Rhyming words are too good!

Keep it simple and cool

Use your skills and common sense

Brand it after your accessories and tools.

Brokers

Regulated forex brokers

When viewing the forex broker or a trading platform, it is the paramount priority to choose from the hundreds the most reliable one and the best forex provider, as it will determine the whole trading experience. Indeed, doing research and compare the vast number of forex brokers with many aspects to consider, maybe not an easy choice, as well time-consuming. So here we are ready to assist your selection and answer the most common questions.

Can I trade forex without a broker?

This may be the first question you would ask, as indeed forex market, FX or currency market is the largest global non-centralized exchange where trading process performed electronically via networks. While main forex participants are international banks and financial institutions operating huge volumes through a need to exchange currencies, presented as currency pairs, and assist international business with the conversion which is known as the interbank market.

Therefore, in order to trade fx you should be authorized dealer to do so, as well as operate a quite sufficient amount so before forex brokers were introduced to retail traders and global community it was not possible for trade markets. For this reason, forex trading brokers are the companies or agent if you like that gives retail forex traders access through its platform to operate forex market and trade various markets including commodity futures, indices, bonds, etc.

Do I need license to trade forex?

So this is another pleasant and great opportunity which is given by forex brokers, as you may access trading without financial or dealer license. Moreover, there are hundreds of opportunities with a relatively small investment which allows you to trade forex, do technical analysis and analyze markets almost instantly.

Are forex brokers regulated?

And now we will check the most crucial question if forex broker can be regulated, since the market is decentralized, and is it safe to trade forex? Obviously, this is the biggest trump you may fall as a retail trader if you choose a non-reliable, mainly non-regulated or offshore firm without a proper license you may easily fall into a scam and lose money.

So due to increasing demand and mainly that traders got no easy access to trading or financial education, the world countries established particular organizations or authorities in order to oversee the market proposals and regulate forex broker firms. So yes, forex brokers are regulated while holding a license from a local authority alike world known FCA in the UK, ASIC in australia, commodity futures trading commission CFTC in the USA, MAS in singapore and more.

What does a regulated broker mean?

The whole concept of regulation is to oversee forex business in a particular country or region, protect clients and ensure safe conditions while trading forex. So in simple words, regulated broker means a safe and legit broker that is compliant to various rules and criteria set by the international authority with the purpose to provide secure trading and good customer service. So its trading environment and provided services like technical analysis, education and tools are also aligned to the best practices.

In addition to its constant check on the service providing, authorities protecting clients throughout compensation schemes and other security checks, however, these conditions may vary from the regulator to another.

How do I know if my forex broker is regulated?

In order to check if broker is regulated or not, you should verify this information through the official brokers’ website first, as regulated companies always provide its licenses. And the next step is to verify a license through the official regulatory website. However, in our forex broker review you will find all the necessary information and license check as well.

It is a fact, unscrupulous brokers may easily fake information and assure you of its license while its not true, so always verify information through the official source. As well, adhere to trade with brokers regulated in serious jurisdictions, not the offshore once, as they luck of strong regulation, requirements and necessary safety measures. Read more by the link why avoid brokers from st vincent & the grenadines.

How to choose best forex broker?

Security of funds is always first in forex trading, for that reason, we recall your attention to open an account with regulated brokers only. Making it simple, regulated broker means that you will trade forex with proper security of funds and investment itself, so first of all good broker is a sharply regulated broker.

Further on, you should also check the necessary conditions and select offer suitable for you and trading strategy you deploy.

For this reason, we assist your selection and provide an assortment of efficient regulated brokers with updated on a weekly basis in-depth forex broker list. A professional detailed analysis with trading fees account overview, platform breakdowns while sorted by regulation, country or trading conditions, along with traders comments so smarter decision is easier now.

Fxdailyreport.Com

Till about a decade ago, you had to make use of the telephone if you wanted to invest in the financial markets. You had to call up your broker for placing as well as closing orders. Introduction of online trading has, however, simplified every aspect of the investment process. You can carry out trades from the convenience of your home or on-the-go using the platform provided by brokers. Sounds simple, but the problem is there are umpteen number of forex brokers that offer trading platforms out there in the market. And, you need to work with the best forex broker if you want to achieve your financial goals. So, it all boils down to identifying the right broker to work with and it is definitely not an easy task. Read on to find out as to how you can identify the best forex brokers. In this post, various aspects you need to take into consideration when choosing a forex broker are discussed in detail so that the selection process becomes simpler and easier for you.

Top recommended and the best forex brokers for 2021

info	bonus	open account
min deposit: $5 spread: from 0.2 pips leverage: 500:1 regulation: FSA (saint vincent and the grenadines), cysec	50% deposit bonus, real contest 1st prize luxury car BMW X5 M, copy trading, trade&win.	Visit broker
min deposit: $1 spread: from 0 pips leverage: 3000:1 regulation: cysec, IFSC	$100 no-deposit bonus, 100% deposit bonus	visit broker
min deposit: $5 spread: from 0 pips leverage: 888:1 “*this leverage does not apply to all the entities of XM group.” regulation: ASIC, cysec, IFSC belize	“50% +20% deposit bonus up to $5,000, loyalty program bonus “*clients registered under the EU regulated entity of the group are not eligible for the bonus and the loyalty program”	visit broker
min deposit: $1 spread: from 0 pips leverage: 2000:1 regulation: FCA UK, cysec, FSP, bafin, CRFIN	35% of the account deposit	visit broker
min deposit: $100 spread: starting 0 pips leverage: up to 400:1 regulation: FCA UK, NFA, CFTC, ASIC, IIROC, FSA, CIMA	visit broker
min deposit: $300 spread: floating, from 0 pips leverage: 500:1 regulation: FCA UK reference number 579202	visit broker
min deposit: $200 spread: starting 0 pips leverage: 500:1 regulation: ASIC australia, FCA UK	visit broker
min deposit: no minimum deposit spread: 1.2 pips leverage: 50:1 regulation: CFTC, NFA, FCA, MAS, ASIC, IIROC	visit broker
min deposit: $10 spread: leverage: regulation: cysec	-	visit broker
min deposit: $200 spread: from 3 pips leverage: 400:1 regulation: NFA, FCA, cysec	visit broker
min deposit: $100 spread: starting 0 pips leverage: up to 500:1 regulation: FCA UK, ASIC australia, MAS singapore	visit broker
min deposit: $1 spread: fixed spread from 3 pips leverage: up to 1:1000 regulation: CBR, cysec and FFMS	30% forex deposit bonus	visit broker
min deposit: $250 spread: as low as 0.1 pips leverage: up to 400:1 regulation: ASIC australia and FCA UK	visit broker
min deposit: €100 spread: the spread can be as low as 0.01%” (0.01% = spread for EUR/USD) leverage: 1:294 regulation: ASIC, cysec, FCA (UK)	visit broker
min deposit: $100 spread: starting from 0.9 pips leverage: 400:1 regulation: MIFID, FSB & ASIC	visit broker

Risk warning: cfds are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.4% of retail investor accounts lose money when trading cfds with this provider. You should consider whether you understand how cfds work and whether you can afford to take the high risk of losing your money.

Main parameters to be checked for identifying the best forex brokers:

#1: regulations and licenses

It is highly recommended that you choose only forex brokers that are regulated or authorized by leading regulatory bodies such as commodity futures trading commission (CFTC), national futures association (NFA) and financial conduct authority (FCA in UK), among many others. This is because regulated brokers are more reliable than their non-regulated counterparts. Further, your hard earned money remains safe with such brokers for two reasons: they will be appropriately capitalized and they maintain segregated accounts for theirs as well as traders’ funds.

#2: forex trading platform

The online trading platforms that recommended forex brokers provide would not only be simple, but also intuitive and easy to operate or navigate. It, therefore, makes sense to try out a few online forex platforms and see for yourself as to which one has a better user interface and is easily navigable.

#3: customer support services

Customer support is a key aspect that you need to evaluate. Best fx brokers would often be aware of the needs of the traders and provide good, efficient and responsive customer support services. During the course of trading forex on an online broker’s platform, there will be times when you need certain time sensitive clarifications. If the customer support service of the broker you are planning to work with is not good enough, you could end up losing money. It is, therefore, recommended that you evaluate the brokers’ customer support service both by speaking to their representatives on telephone and by communicating with them through email.

Leverage offered for forex trading varies from one broker to another. If the leverage is high, the trader can make more profits. However, the risk of accumulating losses is also equally higher. Therefore, you should choose a broker that offers leverage suiting to your needs and based on your style of trading.

Brokers often try to attract you by offering high capital bonuses when you make your first deposit. This is good because you get more money for trading. You can choose the broker that offers the highest first deposit bonus, but you should make sure other aspects discussed above and those that are discussed below suit your needs.

#6: deposits and withdrawals

It is important that you understand the brokers’ policies related to deposits and withdrawals. The features to be evaluated when choosing top forex brokers are minimum amount to be deposited to start trading, deposit methods offered, currency options provided, minimum withdrawal amount specified and waiting time for withdrawals, among others. Further, it makes sense to go through all other written policies in detail.

Brokers make money by charging a fee for each of the trading transactions that you execute on the forex trading platform provided by them. As far as the broker and you are concerned, the significant source of revenue would be the spread, the difference between ask and bid prices. It pays, therefore, to check as to how the brokers you have shortlisted handle spreads:

Do they offer fixed or variable spreads?
What is the average and maximum spread for the currency pairs that you are planning to trade?
What spreads are offered when the volatility is very high?
Do you have to pay any commission for each trade apart from the spread?

Before buying a car, you always go for a test drive. Similarly, look for forex brokers that offer demo accounts. This helps you to open a practice account. You can try out their platform and find out for yourself as to which of the shortlisted brokers is best suited to your requirements. Most brokers offer practice accounts these days. So, it is easy for you to get a feel of the brokers’ platform before committing to depositing money and trading.

#9: other parameters for identifying the best forex brokers

The forex brokerages that offer very low account minimums can be considered for evaluation under the category “best forex brokers”. This is good because you don’t have to deposit large amounts of money in order to trade forex. Minimum account balance can be as low as $5 in the case of some of the reliable forex brokers.

Online forex brokers often try to snatch business through promotions. Do not fall prey to their sales gimmicks. Best forex brokers would never make unbelievable and unachievable promotional offers. It is true that cash and prizes form part of the game, but they should be reasonable.

Another aspect to look for when evaluating online forex brokers is the educational services offered by them. This helps you to master the art of forex trading. Brokers that provide you with a variety of educational tools for assisting you in assessing the forex market are the best forex brokers to work with.

Why expert traders trade with regulated forex brokers

If you’re looking to become a successful forex trader, then working with a skilled and trustworthy broker is very crucial. In the forex market, the two main types of brokers you’ll get include the regulated and the non-regulated brokers. Obviously, the former typically operates under regulations stipulated by a forex regulator. Regulated forex brokers must also be fully licensed and registered in their country of operation, unlike their non-regulated counterparts.

Role of regulation

Of course, the role of regulation in forex market cannot be underestimated. Regulation ensures that all players in this booming industry are strictly supervised. This way, merchants are protected from the many unscrupulous traders out there looking to swindle them off their hard earned money. Another thing, regulation also builds trust between merchants and their brokers, since most merchants don’t have enough time to monitor every investment.
Let’s take a quick look at some of the leading regulatory agencies:

CFTC and NFA: commodity futures trading commission and national futures association, regulate the financial services sector in united states of america (USA).

Cysec: the cyprus securities and exchange commission is the regulatory watchdog within the cysec domain. It offers services to the EU member states.

FCA: the financial conduct authority regulates the operations of over 56,000 financial services and companies in the UK.

ASIC: the australian securities and investment commission regulate the financial services sector in australia.

FSB: the financial services board is a south african agency which oversees functioning, regulation, and licensing of south african forex brokers.

Bafin: bafin is a financial supervisory authority providing its services to forex companies in germany.

Advantages of regulated forex brokers

With regulated brokers, you’ll always have some peace of mind when carrying out your real-money transactions. To expound more, here are the main reasons why expert traders prefer regulated brokers:

1. Credibility

It’s an open secret that most of us like to deal with trusted organizations, especially when money is involved. That being said, the credibility of any forex broker is greatly enhanced if the company is regulated by the relevant agencies. Remember that all regulated forex brokers are mandated to follow some strict rules put in place by their respective regulatory bodies. Furthermore, their regulatory bodies expect them to regularly present a copy of their audit report. Therefore, if a broker is listed on its regulatory body list, then it’s safe to say that the forex broker has fully complied.

2. Compensation

Getting compensated in case of any unfortunate scenario is arguably the best reason why most expert traders opt for regulated brokers. With most regulated brokers, you can rest assured that all your hard earned money will be refunded in case your brokerage firm goes down. For example, brokers operating under cysec are required to remit their contribution to the ICF (investor compensation fund). This pool of funds is to help settle any form of customer claims in case of any eventuality.

3. Effective customer service

Before choosing a forex broker, it’s always recommended that you settle for one who can effectively and immediately resolve all customer issues. In this case, most regulated brokers are always competent enough when dealing with technical support or account issues. In addition, they are very helpful and kind during the whole account opening process.

4. Quick deposits and withdrawals

Any reputable forex broker will allow their merchants to make deposits and withdrawals without any hassle. A regulated broker should have no reason whatsoever to make your earnings process difficult because they don’t have control over your funds. All they have to do is to facilitate the platform to make it convenient enough for you to trade.

5. Updated trading platform

Most regulated brokers are mandated by their respective regulatory authorities to provide their clients with the latest, powerful, and easy-to-use trading platforms. In fact, most of their platforms will readily provide you with all that you need to begin trading immediately. You’ll get a lot of educational materials including webinars, videos, articles, seminars, and e-courses at no extra charge. It goes without saying that regulated brokers also offer their clients free demo accounts to help them sharpen their skills before going live.

6. Legality

All over the world, governments are struggling to deal with issues concerning money laundering. Some of them have even gone ahead to pass very strict anti-money laundering laws. So to be on the safe side, you should always trade with a regulated broker. Most regulated forex brokers will ask you to provide some of your personal identification documents such as proof of address and photo ID. This might sound tedious to you but it’s always safe to be part of a regulated organization that can prove your money is being used in a legal way.

To sum it up, regulated forex brokers are always the best as well as the safest option to trade with. This is because they are always ahead in terms of legality, security, and safety of your funds. All in all, you can manage your risks better if you opt for a regulated forex broker.

Understanding true ECN vs STP broker

The foreign exchange market, also known as currency market, is a universal decentralized market that provides traders an opportunity to trade currencies. It is a market which incorporates all aspects of buying, selling, and exchanging currencies at the present-day or determined rates.

There are different kinds of forex brokers that you can choose to trade forex with. However, though all the brokers in forex are intended to provide a similar basic solution, the way they operate behind the scenes is different. Different types of brokers have varying techniques of operation, and the specific broker you cooperate with can significantly determine your success rate as a forex trader. Here are some crucial factors that will enable you determine which broker between a true ECN and STP broker is the best one to trade forex with:

Understanding true ECN vs STP broker

True ECN i.E. Electronic communications network brokers operate without their individual dealing desk. These brokers provide an electronic trading platform where professional market makers at monetary organizations such as banks, and other online trading participants including traders can enter bids and offers through their particular systems.

STP i.E. Straight through processing brokers are brokers without a dealing desk also. These brokers apply some of the techniques utilized by market makers to provide their particular clients with trading conditions which are more flexible. By STP brokers hiring some of the tactics of market makers, they are able to bypass the limitations connected to trading exclusively within the interbank market.

General overview of true ECN and STP brokers

Use of scalping techniques

True ECN and STP forex brokers do not care about how much their particular traders make. Therefore, these types of brokers allow traders to utilize scalping techniques to close their respective positions. Note that false ECN and STP brokers cannot allow you to use scalping techniques as a trader since they will be disadvantaged anytime you make small profits.

True ECN and STP brokers are types of forex brokers without a say when it comes to control on spread provided. These brokers have no control on spread offered since it’s the liquidity provider that determines the spread which is to be provided.

Though true ECN and STP brokers can add markups when necessary, they cannot in any way take it further down than the amount provided.

Difference between true ECN and STP brokers

Commission charged

On true ECN accounts, as a trader you will be required to pay a fixed commission to open and close trades. The spreads offered on true ECN accounts are determined by the rates of liquidity providers.

When using STP accounts as a trader, you will not be required to pay any commissions.

Pros of trading forex with a true STP broker

Cannot bankrupt themselves

True ECN brokers cannot trade against their specific clients to bankrupts themselves.

Similar price rates

If you are a forex trader, trading with a true ECN broker means you are guaranteed of price rates that are similar to those of the interbank market.

Negative balance protection

As a trader utilizing the trading account of a true ECN broker, the broker will be accountable for any dues with liquidity providers should your account read negative as a result of any reason beyond their control.

Cons of choosing a true ECN broker

Dealing with a true ECN broker will require you to pay rollover fees and commission at times.

Pros of trading forex with an STP broker

Their rates and the interbank prices are same

They provide their clients low entry capital requirements

Cons of choosing an STP broker

Choosing an STP forex broker means when you enter a trade you’ll not be informed what spread to expect.

Most true ECN and STP brokers are linked to several liquidity providers at the same time period. Despite both true ECN and STP brokers having incredible trading solutions which can meet your needs as a trader, their terms of operation vary. Whether you will choose a true ECN or STP broker, the rule of thumb is always ensuring you minimize losses and maximize profits as much as you can when trading forex. Ensure you compare carefully the terms of service of both a true ECN and STP broker before you choose one to handle your trading needs.

World’s most successful forex traders in history: top 10

The majority of beginners, myself included, are fascinated by stories of the most successful forex traders. Everyone tries to imitate them, wants to be at the same financial level as they are right now, but no one pays attention to details that do matter a lot. They’ve spent hours of sleepless nights to be considered among the greatest ones.

Their success stories are inspiring, helping us to take action. Let me introduce you to the people, who have managed to influence the entire world by trading currency pairs onto the rapidly growing market. Surely, learning more about the best forex traders in the world will help move towards the goal of becoming the most successful forex trader yourself.

George soros

We are sure everyone living in the 21st century has at least once heard about the existence of the man who broke the bank of england, probably the most influential human being within a net worth of $8 billion. His career skyrocketed by the end of the 90s when betting against the british pound led to him generating more than one billion US dollars in profits, mentioning the fact that it took him less than a day to achieve the above-mentioned result, essentially joining the club of forex millionaires overnight.

Unlike many others, geoge soros has not been employing a scalping strategy or any other day trading technique. The majority of his trades were done over a long period of time. Actually, quantum fund was the first company he founded, leading to him generating stable income lasting for years. Forex exchange market helped him experiment with a variety of strategies. Getting to know details of the buying and selling techniques later on turned into breaking the english bank, impacting the entire industry. No one has ever done something similar to the finance niche.

Bill lipschutz

If you want to find out how to be a successful trader in forex then following the journey of lipschutz is the only thing that you should do after finishing reading this article. Co-founder and former director of hathersage capital management, has gained popularity among millions of traders after successfully managing to turn $12,000, inherited from the grandmother in billions of dollars, helping salomon brothers make $300 million a year.

Bill commenting on his trading strategy – “I don’t trade on rumors, I’m the basic trader, trying to gather information, helping me to decide if the investment is worth rooting for”.

While B ill lipschutz net worth is not known, he is easily among the best forex traders out there.

Andrew krieger

Andrew undoubtfully makes the list of the most successful forex traders in the world. While being a young entrepreneur at the age of 32 years, he was paying attention to the currencies rallying against the dollar after facing the so-called black monday crash. It was a perfect opportunity for krieger to make some profits. Taking up the short position against the new zealand dollar has helped him earn hundreds of millions of dollars, exceeding the entire supply of the country.

Paul tudor jones

Hedge fund manager and well-known american investor, paul jones built up his career by having the biggest return on investments. Things started to move fast in the year of 2013, when he made a bet with tremendously big capital against the japanese currency, yen. Following the short-selling, it led him to have close to a 20% return rate, landing him amongst the richest forex trader in the world.

Paul differentiates from the successful forex traders by having a unique investment philosophy. Pure words of wisdom: “I don’t care about the mistakes made a few seconds ago but I wonder how they will influence the behaviour afterwards”.

His firm – tudor investment corporation has faced a bunch of lawsuits, leading to him losing a substantial amount of money. While he did manage to solve all the financial issues, it will surely take some time to get the high-profit returns back to the game.

Bruce kovner

It took bruce more than 30 years to make his first trade on the forex market. Purchasing the right futures contracts resulted in earning multiple six figures. Considering the fact that he was driving a taxi for pocket money, before becoming top forex trader and a billionaire, supports the idea that everyone is capable of having their dreams fulfilled. It is just a matter of time and pure dedication to the work to make things happen.

Stanley druckenmiller

Having the right mindset along with a successful forex trader lifestyle can influence the possible outcome that you are trying to achieve. Stanley druckenmiller is a perfect example of how growing up in a suburban area of the country can not make a difference when the trader has a proven strategy to work with.

He had been in charge of managing money for george soros, which made the greatest impact on his financial career. The net worth of $4.6 billion, and years of experience working as a lead hedge fund manager, has given him a chance of operating money through a family office without taking any further responsibilities while maintaining his status as one of the richest forex traders.

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Joe lewis

Born in great britan, and having the obligation of paying taxes made joe leave the country in the early period of his life and made it impossible to trade with the UK FX brokers for him. After successfully operating and later on selling his father’s business, moving to the bahamas was the only option to maximize the potential income on upcoming trades, targeting the forex market.

Joe lewis is among the best forex traders to follow, due to his persistence during the early period of his life, deep knowledge of the forex niche, sizeable forex net worth , and his position as an investor in leading real estate, restaurant, and resort businesses.

Michael marcus

Childhood dreams started to turn into reality when michael connected with ed seykota back in the late 20s. He managed to take in all kinds of information on how ed managed to build one of the most successful software companies, orienting onto the trading market.

Having the proper mentorship helped marcus surpass one of the top forex traders in the world. Becoming an experienced commodities trader in less than 10 years period made him turn his hardly collected $30,000 into close to one hundred million. We’re sure none of you can imagine generating that much income with the low capital. Sometimes knowledge is the only thing that truly matters for having a successful career and joining the ranks of the best forex traders in the world .

Urs schwarzenbach

The united kingdom-based trader, the founder of the intex exchange, urs deserves to be mentioned as the most successful forex trader. The FX community itself may not refer him to the best one, but the kind of knowledge and the ways of dealing with issues he encountered is what defines a successful financial career.

Having a few years of experience in the corporate world was the main reason why he had managed to earn the first million dollars on the foreign exchange market without owning any large capital. Still, there are no sources, indicating how urs makes this amount of money, but one thing is sure – running multiple companies without facing any financial issues definitely is not easy and requires a certain type of patience and education.

Richard dennis

The so-called genius of the commodity trading systems, richard borrowed less than $2k from his relatives and turned it into $200,000,000 in an approximately 10-year timeframe, earning his position among top 10 forex traders in the world . While working as an order runner for the chicago mercantile exchange, he managed to learn the basics of trading and later expanded his knowledge.

He’s mentored thousands of brokers, located in different parts of the world. Considering the fact that he has also managed to unite people interested in trading for the purpose of achieving a certain financial goal. It took them about 4 months to exceed annual revenue of $100 million.

Here’s one of the famous quotes, that got my attention: “I always say that everyone can publish a set of rules into the newspaper and no one pays attention to the actual power of it. The mandatory thing is discipline and consistency”.

Start your own journey into forex

The success stories of these people are a monument to the fact, that anyone can make it in forex trading. There are many ways to find the right strategy for you, be it through years of research, studies and mentorships, high-risk stakes or cold-calculated moves. These stories can inspire every one of us to get down and start our own journey into the exciting world of forex, full of opportunities. And while passion for trading is certainly an important part of success, its only half the equation, and you need to conduct good research and find strategies well suited to you. Our advice would be to start out with small trades on a reliable trading platform, to put your skills to test and let them grow, as the saying goes – practice makes best. What can also do is, open a demo account at forex platforms that offer such services, so that you can start trading with no financial risk for yourself.

Key takeaways

Making the list of successful forex traders is not an easy thing to do. However, the ones who want to step into the world of trading should have enough courage and proper financial education to reach the desired results. Considering the costly mistakes along the journey will also help you accelerate your career growth, leading to you living your dream life. Unfortunately, only having the knowledge of stories of successful forex traders’ is not enough for having the right direction. You will need proper guidance and hours of practice to get to the level where you want to be.

Take some time to take in proper financial education. Without knowing the specific terms and strategies, it will be close to impossible to find success. Undoubtfully, people with some sort of financial background can easily take you over, no matter what career path you will choose.

Some people root for the business school, while others think that going through the macroeconomic courses will be enough to enter the forex market. You might have already heard the statement that having the official education is kind of obligatory. Nowadays the set of rules, regulating the market constantly changes and that’s the reason why no one knows what will happen in the close future. We do recommend having certified documents in order to prove others wrong and start your journey towards becoming a successful FX trader.

4 types of forex trader and how they invest

Every day, traders from around the world come together online to trade in the foreign exchange (forex) market.

The different trader types

Bigger than every stock market combined, the forex market attracts a variety of traders, all of whom operate with distinct trading techniques.

Here are the main types of trader you’ll find operating on the forex markets today.

Day traders

Day traders, as their name implies, work on a day-by-day basis. At the end of every day, a day trader will close out all of his or her trade positions, opting not to leave anything running overnight.

Typically, this type of trader is highly skilled and deeply knowledgeable about the market in which they operate. Day traders also use a variety of techniques to ensure their success and make trading decisions quickly.

Apart from closing out their positions at day’s end, you can identify day traders by the following characteristics:

High volume trading

Ability to focus on technical patterns rather than relying on data analysis

A focus on quick turnover rates, aiming for more profit

Pairing volatile currencies such as the pound and the yen, which can show large movements over very short timescales

Trading through day averages and characteristics rather than using long-term planning

Success, for a day trader, means ending the day with no open positions and a profit relative to the beginning of the session. This type of trading often appeals to people who deal in high-volume stocks and who have a thorough grasp of price analysis.

As with any trading style, day trading needs to be partnered with sensible money management principles.

Position traders

On the opposite end of the spectrum from the day trader lies the position trader, who holds his or her position over longer time periods: weeks, months, or even years.

Less interested in the short-term price fluctuations than a day trader, these forex experts pay attention to weekly or monthly price action analysis.

They adhere more strictly to fundamental models, closely watching for announcements such as earnings reports, stock splits, reorganisations and acquisitions, and looking for the associated opportunities.

In general, position traders:

Hold fewer trade positions (sometimes only a handful a year)

Make decisions by taking economic models, governments and interest rates into account

Work across any of the major currencies, including emerging market favourites

Seek to capture the bulk of a position’s movement in the hope it will appreciate over time

Emphasise fundamental analysis of stocks

The draw of position trading is its lower demand on a trader’s time relative to other trading styles. Many position traders work on fewer than 10 positions over a year, freeing them to build out other aspects of their portfolio.

Risk-wise, however, position trading relies on a bet that a certain trend will continue over time. If this doesn’t happen, it can cause long-term capital losses.

Swing traders

Somewhere in between day and position traders are swing traders, who make a profit by holding a position anywhere from overnight to several weeks.

As their name implies, these traders buy when the market begins to show a swing upwards and sell when this price swing stops.

Timing is very important for swing traders and a savvy trader will pay close attention to a stock over a longer time period. Swing traders work on the following principles:

A blended approach to fundamentals analysis and patterns; they’ll look at macroeconomic as well as day-to-day trends

A focus on short-term price momentum to capitalise on the upward swing

Placing positions in liquid currency pairs like the pound and the dollar

Capturing high and low extremes

Like day trading, swing trading involves technical analysis of price movements

Successful swing trading can result in higher profits with less risk. However, the practice requires a firm grasp on forex strategies and the ability to read trends well.

For money movers and makers

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How to spot a forex scam

The spot forex market traded over $6.6 trillion a day as of april 2019, including currency options and futures contracts. with this enormous amount of money floating around in an unregulated spot market that trades instantly, over the counter, with no accountability, forex scams offer unscrupulous operators the lure of earning fortunes in limited amounts of time. While many once-popular scams have ceased—thanks to serious enforcement actions by the commodity futures trading commission (CFTC) and the 1982 formation of the self-regulatory national futures association (NFA)—some old scams linger, and new ones keep popping up.

Back in the day: the point-spread scam

An old point-spread forex scam was based on computer manipulation of bid-ask spreads. The point spread between the bid and ask basically reflects the commission of a back-and-forth transaction processed through a broker. These spreads typically differ between currency pairs. The scam occurs when those point spreads differ widely among brokers.

Key takeaways

Many scams in the forex market are no longer as pervasive due to tighter regulations, but some problems still exist.

One shady practice is when forex brokers offer wide bid-ask spreads on certain currency pairs, making it more difficult to earn profits on trades.

Be careful of any offshore, unregulated broker.

Individuals and companies that market systems—like signal sellers or robot trading—sometimes sell products that are not tested and do not yield profitable results.

If the forex broker is commingling funds or limiting customer withdrawals, it could be an indicator that something fishy is going on.

For instance, some brokers do not offer the normal two-point to three-point spread in the EUR/USD but spreads of seven pips or more. (A pip is the smallest price move that a given exchange rate makes based on market convention. Since most major currency pairs are priced to four decimal places, the smallest change is that of the last decimal point.) factor in four or more additional pips on every trade, and any potential gains resulting from a good trade can be eaten away by commissions, depending on how the forex broker structures their fees for trading.

This scam has quieted down over the last 10 years, but be careful of any offshore retail brokers that are not regulated by the CFTC, NFA, or their nation of origin. These tendencies still exist, and it’s quite easy for firms to pack up and disappear with the money when confronted with actions. Many saw a jail cell for these computer manipulations. But the majority of violators have historically been united states-based companies, not the offshore ones.

The signal-seller scam

A popular modern-day scam is the signal seller. Signal sellers are retail firms, pooled asset managers, managed account companies, or individual traders that offer a system—for a daily, weekly, or monthly fee—that claims to identify favorable times to buy or sell a currency pair based on professional recommendations that will make anyone wealthy. They tout their long experience and trading abilities, plus testimonials from people who vouch for how great a trader and friend the person is, and the vast wealth that this person has earned for them. All the unsuspecting trader has to do is hand over X amount of dollars for the privilege of trade recommendations.

Many of signal-seller scammers simply collect money from a certain number of traders and disappear. Some will recommend a good trade now and then, to allow the signal money to perpetuate. This new scam is slowly becoming a wider problem. Although there are signal sellers who are honest and perform trade functions as intended, it pays to be skeptical.

"robot" scamming in today’s market

A persistent scam, old and new, presents itself in some types of forex-developed trading systems. These scammers tout their system’s ability to generate automatic trades that, even while you sleep, earn vast wealth. Today, the new terminology is “robot” because the process is fully automated with computers. Either way, many of these systems have never been submitted for formal review or tested by an independent source.

Examination of a forex robot must include the testing of a trading system’s parameters and optimization codes. If the parameters and optimization codes are invalid, the system will generate random buy and sell signals. This will cause unsuspecting traders to do nothing more than gamble. Although tested systems exist on the market, potential forex traders should do some research before putting money into one of these approaches.

Other factors to consider

Traditionally, many trading systems have been quite costly, up to $5,000 or more. This can be viewed as a scam in itself. No trader should pay more than a few hundred dollars for a proper system today. Be especially careful of system sellers who offer programs at exorbitant prices justified by a guarantee of phenomenal results. Instead, look for legitimate sellers whose systems have been properly tested to potentially earn income.

Another persistent problem is the commingling of funds. Without a record of segregated accounts, individuals cannot track the exact performance of their investments. This makes it easier for retail firms to use an investor’s money to pay exorbitant salaries; buy houses, cars, and planes or just disappear with the funds. Section 4D of the commodity futures modernization act of 2000 addressed the issue of fund segregation; what occurs in other nations is a separate issue.

An important factor to always consider when choosing a broker or a trading system is to be skeptical of promises or promotional material that guarantees a high level of performance.

Other scams and warning signs exist when brokers won’t allow the withdrawal of monies from investor accounts, or when problems exist within the trading platform. For example, can you enter or exit a trade during volatile market action after an economic announcement? If you can’t withdraw money, warning signs should flash. If the trading platform doesn’t operate to your liquidity expectations, warning signs should flash again.

The bottom line

Conduct due diligence on the forex broker you’re considering by going to the background affiliation status information center (BASIC), created by the NFA. Many changes have driven out the crooks and the old scams and legitimized the system for the many good firms. However, always be wary of new forex scams; the temptation and allure of huge profits will always bring new and more sophisticated scammers to this market.

So, let's see, what we have: there are various traders that make up the forex market. These traders trade currencies and various securities using different trading strategies, concepts and approaches. At names of forex traders