The Best Forex Brokerage Account Is Offered By IC Markets
Our forex broker account comparison completed on 19/02/2019 found that IC Markets offered the best value due to four key factors:
1) Market Leading Spreads
IC Markets uses an ECN which allows Australian forex traders to trade directly with hedge funds, investment banks and dark pool liquidity execution venues. As trading is done directly with no dealing desk, spreads are kept to minimum.
There are three options ranging from a standard account which has higher spreads (pips) but no commission. The trademark ‘True ECN’ account has pips starting from 0.0 pips but with a commission of $3.50 per lot. For those that prefer the cTrader there is also an account with no dealer desk offering low spreads but a commission.
ESP (know as Executable Streaming Prices) are sent from liquidity providers to the ECN allowing their forex traders to trade without a dealing desk, re-quotes or price manipulation. The deep liquidity from a wide range or providers ensures sufficient volume for high volume traders, robots and scalpers to trade effectively..
2) The Highest Leverage For Australian Traders
All Australian forex traders require leverage and having access to high levels can be critical for certain currency trading strategies. IC Markets offers the rate of 500:1 which is the highest of the best forex broker accounts in Australia.
A 500:1 ratio means an Australian forex trader can effectively trade with 500x their deposit. So if the deposit is $400 the forex trader can trade the equivalent of $200,000 on currency markets. This means that just a 0.1% will lead to a 50% profit or loss ($200). Leverage therefore effectively accelerates your profits or losses so prior to using the full leverage available it’s critical to understand the risks and gain some experience on currency markets.
3) The Best Forex Platform Options
The two best forex broker platforms worldwide are MetaTrader and cTrader. IC Markets offers both!
This is the world most popular trading platform due to the platform’s easy to use interface, comprehensive features including graphing and the ability for automated forex trading. The platform has ‘one click’ trade options unique to IC Markets which allows Australian forex traders to buy/sell at the stroke of a button and more complicated pre-defined orders with two. This ensures fast trade executions in volatile markets.
While not as popular as MetaTrader this is the platform some of the most experienced Australian forex traders choose. It is ideal for day-traders or those who want to use robots/automation when trading. A unique feature of cTrader with IC Markets is that inverse spreads can be offered depending on market conditions with the average USD/EUR spread just 0.1 pips.
4) The Fastest Execution Speeds
IC Markets uses one of the fastest forex trading servers in the world and a fibre optic connection for the fastest speeds available.
The hardware uses includes a data centre NY4 (a location need Wall Street in New York) and LD5 (in London). MetaTrader directly connects to the NY4 while cTrader connects to the LD5 data centre through the ECN engine. The connection is through a fibre optic cable from Australia to these locations to minimise latency that can be experienced by Australian forex traders. This speed is a key reason why IC Markets was considered as the best forex broker account as slower speeds can lead to ‘slippage’ which means the price you receive varies to the actual price requested. While IC Markets can’t guarantee that slippage won’t occur their market leading infrastructure will minimise this risk bringing more certainty to forex traders.
Forex Brokerage Account Risk Management
Sure, trading forex and cfds can result in significant gains. However, foreign exchange speculation carries high risk. Its incredibly important you understand the risks associated with online forex, cfd trading and trading leveraged products. Make sure you select the right forex brokerage and forex platforms that meet your level of expertise and risk. There are a wide range of forex brokers and foreign currency trading providers out there. Be sure to put your skills and strategies such as technical analysis to the test using a demo account.
More About Demo Accounts
No trader regardless of how experienced they are should ignore the benefits of a demo account. Demos are not just for beginners. Many experts use these demos to test out their trading strategies. This helps to minimise risk and ensure a strategy is tried and true. Most brokers offer a demo account and it truly is remarkable how similar the ‘test’ trading environment is to live trading.
When selecting a Forex broker that is right for you, ensure they boast an unlimited, free demo account. Some brokers limit the amount of time you can use a demo for before access to it expires. These accounts should form part of every trader’s arsenal. Not just to develop experience and trial strategies, but also to ensure automated trading algorithms such as Expert Advisors are accurate and work effectively.
About This 2019 Forex Broker Comparison
Compare forex brokers completed this FX comparison on the 19/02/2019 based on information sourced by broker websites. When requested some providers have verified information to ensure it is accurate both in our forex broker reviews and comparison tables. For each comparison (including this one) has a primary focus which in this case is leverage. Only brokers offering at least 300:1 leverage were considered after which factors ranging from spreads and execution speeds were factored to find the best forex broker account.