Do I Need an Online Forex Trading Platform?

A forex trading platform is a tool that one can choose to use in forex trading. Yes, it is not required, and in fact, some traders choose not to seek membership for one. But a growing number of traders, experts, and intermediate alike have found the same to be worth the extra expense. This article will discuss the basics.

MetaTrader 4 Forex platformMembership Fee
Online forex platforms can be utilized for a fee. Most of these platforms provide for a free demo account though, one for a limited time and for a limited functionality. In some cases signing up for a forex broker will include a free online forex account.

Platform Functionality
Below are some of the services that can be found within an online trading account:

  1. Currency Converter/Calculator: Yes, there are free forex calculators, but in most cases the same is not updated as swiftly as those within paid accounts. Remember, values change constantly so the most up to date calculator is the best.
  2. Practice Accounts: The trader can set up a practice account so that the same can simulate previous trading days. One only has to look for historical data in order to determine if you read the market forces right and traded with profit. If you traded wrong, you can analyse your mistakes.
  3. Indicators: There are dozens, if not hundreds of indicators that are relevant in order to predict market movement. A paid account allows you access to the same in one location. Yes, you can find the information for free, one at a time. In doing so you have just wasted time and the trade might have already closed.
  4. Alerts: SMS alerts and live feeds can be sent to any smart device i.e. smart phone, tablet p.c. laptop, desktop, even a smart TV, etc. These alerts can be configured to pertain to trades in general or a specific currency and/or pair.
  5. Newsletters: regular newsletters allow the member to be appraised on relevant news as well as important updates. Remember, forex trading strategies are not constant! The same changes every trading day. Therefore information relevant today can be outdated tomorrow.

Trading Platforms
The answer depends on what kind of Forex trading you want to do. Remember, utilize demo accounts properly. This means you scrutinize everything, before you make your pick. In some cases, the more demanding traders actually pay for a couple or several different platforms.

MetaTrader 4
The MetaTrader 4 Forex platform focuses on margin trading. The same is widely considered as the most popular, if not the most effective platform for its specialization. It is meant to be a standalone system, but some third party providers have been allowed and have in fact integrated their service with the same. Other platforms to consider include but are not limited to the following:

  • TS Desktop
  • TS Web
  • TS Mobile
  • Active Trader
  • Mirror Trader

In Closing
You do not need a college degree in order to trade in forex. However forex trading is not child’s play. You need to take your time to learn everything, practice slowly, gain experience and be careful with every trade.