Finding the best Australian forex brokers is very important when you trade forex. The Australian forex brokers that you use will impact the way that you trade and what you trade. There are a number of different points that you need to know about and look into with these brokers. Once you have looked at these different points you will be able to determine which Australian forex brokers are best for your trading.
The Regulations Australian Forex Brokers Have
If you are looking at Australian brokers then you should know what the regulations are and how this affects you. The ASIC is the regulatory body that all Australian brokers have to adhere to. The regulations out forth by this regulatory deal with the capital that a broker needs to have. This makes it harder for the broker to go under and take all the traders’ money with them. The regulation states that the broker must have AUD500000 in capital to be able to offer their services to retail forex traders. The ASIC does have a listing of the brokers that comply with this regulation.
What the Reviews Are
It is important that you do your research on your broker and find out what other traders think. There are a number of places where you can find this opinion. The most common place to look is a trader review website. These websites have reviews on all the brokers and trading technology that traders use. You can also look at forex forums and trader groups.
When you look at what other people think you need to separate the facts from fiction and emotional bias. There are a lot of traders who blame their brokers for losses they make on the market. This can cloud their review and you need to know about this.
What is the Contact Situation?
When you use a broker it is very important that you are able to contact them if there is a problem. You should see what the contact methods are for the broker before you open an account with them. Many traders recommend testing the contact methods before opening an account. To do this you need to have a question that you ask them. You then monitor how long the broker takes to reply and the details of the reply. If they take a long time to answer you should look at a different broker. However, if they answer quickly and in detail then you should consider using them.
The Amount of Capital Needed
The amount of capital you need to deposit to open an account should be considered. You also have to consider what type of account you are opening. If you are looking for a standard account you probably will not be getting this with an account that requires $1 to open. The different accounts offer different lots sizes. Most new traders are advised to open a micro or mini account when they move from demo account trading to live account trading. This limits the losses that you face on the live market.