This article looks at the different considerations to be made when working with a forex broker on the foreign exchange Singapore market.
In order to be an effective trader you must take various points into consideration, one of these is the type of forex broker being used. The ideal broker on the foreign exchange Singapore market will present with suitable characteristics, and this article will examine what these characteristics are.
The forex trading tools
When choosing a broker you must consider the forex trading platform you will use. An effective trading platform will present with efficient technical analysis features including the appropriate trading tools to carry out beneficial trades with ease. Below are certain questions you should ask when establishing if the trading platform and forex broker are best for you.
- Does the platform offer forex charts?
- Does the platform offer trading report options?
- What are the features of the forex trading reports/journals?
- Is the platform purely technical or are there forex news feed options as well?
- Will you be able to receive live commentary of market movements?
- Is the platform easy to navigate?
- How is the information provided and are there mobile trading facilities?
- What technological apps are available?
The forex broker payment structure
Unlike the other trading markets, the forex broker does not charge clients a commission fee. Instead, brokerages earn their income via the trade spread. The spread is a calculation of a variance between the bid and ask prices on the foreign exchange Singapore market. However, before you register with a forex broker you must determine the type of spread used as this will vary from broker to broker.
Customer support on the forex market
The foreign exchange market has a unique trading timeframe of 24 hours per day from Monday to Friday. It is imperative that you find a forex brokerage that offer trader support during all these hours. Before registering with a forex broker you must determine the methods used for customer support. In previous years, a broker could be contacted via fax or email with effective results. Nowadays, the most effective traders are contacted telephonically or via live chat.
Ordering filling on the foreign exchange Singapore market
It is vitally important that you familiarise yourself with the process of order filling when utilising a forex broker’s trading platform. This is why you should open a demo trading account before commencing trading on the forex live market, particularly when establishing profit and stop loss orders.
Before working with a forex broker you should confirm that the orders being placed are guaranteed to be filled. It is always recommended that you gain this information via email or in writing as a form of proof and future use.
Using leverage on the foreign exchange Singapore market
Before utilising leverage on the foreign exchange Singapore market, you should consider the different risks involved. Leverage is used by new traders as a means of trading large trades with small trading amount. While this can be highly beneficial, the raise in risk can cause detrimental losses if the trade should turn bad.