Forex brokers in this century don’t offer a single trading platform, they offer a range of platforms to suit different traders at different times. You can typically trade from a PC-installed program, via the broker’s website, or on the go with a mobile app. This benefits the trader (who can trade from anywhere at any time) and the broker (which earns more commissions from the increased trading activity).
This guide helps you choose the best trading app and presents you with a few from which to choose.
Our List of the Best Forex Trading Apps
Here is our list of the best Forex trading apps for this year:
What Is a Forex Trading App?
A forex trading app is the version of the broker’s trading platform designed specifically for smartphones. Depending on the broker, the app may be built in-house or licensed from a third-party software provider.
If the broker offers the popular MetaTrader 4 or MetaTrader 5 trading platform then the app will be the third-party MetaTrader app. After downloading the app, you just need to find your broker, log in, and start trading. If your broker doesn’t support MetaTrader then you’ll be using the smartphone app that they most likely developed themselves.
How Does a Forex Trading App Work?
Many people think that most trading is done in front of a desktop computer but a surprising amount of trading is done via mobile apps. The subtlety is that whereas most trades are opened on the desktop, most of them are closed on the go. The reason is simple: opening a trade requires a lot of chart-based technical analysis that benefits from a large screen.
Key Features To Look in a Forex Trading App
Ease-of-use is at the top of the forex app feature list, specifically how easy it is to open the app and connect to markets. If it’s the MetaTrader app, you might already know how to use it, and there is a thriving community of users who can help you out. If it’s the broker’s own app, it should be intuitive to use without having to read through reams of tutorial materials.
Ideally, a forex trading app will support all the functions of the desktop or web equivalent. You should be able to use all available order types (market order, limit order, stop order), view charts, and deposit/withdraw funds.
Pros & Cons of Using A Forex Trading App
How To Choose the Best Forex Trading App?
Unfortunately, traders have little or no power over the forex trading app to use because they must use the app provided by the broker. At best, you might be able to choose between MetaTrader and the broker’s own app. The choice, therefore, really comes down to which broker to choose, based on its app and many other factors.
How To Safely Use a Forex Trading App to Make Money Online Trading?“ Whether you use a mobile forex trading app or any of the other trading interfaces provided by your broker, trading safely comes down to the same two things: risk management and money management. Risk management means limiting the amount of money you can lose on each individual trade, for example by applying a protective stop order that will close a trade automatically if it starts to go against you. Money management means ensuring that your account stays solvent, for example by deciding on the maximum drawdown you are willing to suffer on the way to an eventual profit, or by allocating no more than 1% of your available funds to each separate trade. ”- Mircea Vasiu
A forex trading app lets you trade from anywhere at any time as long as you have your mobile phone with you. On the plus side, this means you can react more quickly to unfolding events. On the minus side, it means you might be tempted to trade too often.
Frequently Asked Questions
No. Most of them are regulated by one or more entities, but regulation is mandatory only in some jurisdictions. In other words, it depends on the local laws. Most advanced economies do not allow brokers without a license to offer their services in the country/region.
MetaTrader 4 and 5 are two versions of the same product and are very popular among retail FX traders. Other platforms also exist, but the MetaTrader versions have stood the test of time as they are suitable for all types of trading: automated, scalping, swing, investing.
Yes, they do. Besides the full FX range, brokers also provide access to other markets to differentiate their services from competitors. From a forex trading account, a trader can also typically access oil, gold, silver, bonds, indices, and many other markets in the form of contracts-for-difference (CFDs).
Very easy. It takes mere minutes to fill out an online application form, and you could get access to some features almost immediately. To fully activate your account, and before you can withdraw any money, you’ll most likely have to upload some identification documentation.
A stop order is a pending order that you attach to an existing trade. It instructs the broker to close your position if the price starts to go against you; the aim being to exit at a small loss before it becomes a big loss.
Most brokers’ mobile apps can be installed on Apple’s iOS operating system (for iPhones and iPads) as well as Android phones. The same goes for MetaTrader 4 and 5. Find the app in the relevant app store or download it from the broker’s website.