I have done some reading into my brokers. I have narrowed down the list. I am currently interested in getting an account with a 1:100 leverage but with the hopes of increasing to 500 once I am more experienced. Canadian brokers only give you a 1:50 leverage which really sucks especially if your starting with small amounts. I have a few questions:
If the broker is in the EU zone and measures like the one in Cyprus are imposed on the banking system, would that affect traders accounts?
Do dealing desk brokers manipulate the “artificial” market they produce to make you loose?
If I put my money in an over seas broker and they end up being a bucket shop, what are my chances of suing them and successfully getting my money back?
Do you guys have any recommendations for broker that offers 500:1 leverage for Canadians?
For Regulatory organization which one is the best one to look for in a broker if there is a “golden standard” that one should consider?
My current list is:
Synergy Fx
Liquid markets
JFX
I know Synergy is no dealing desk while Liquid and JFK are dealing desk brokers. Has anyone used any of the above brokers and has negative or positive feedback about them?
I have not used any of the above brokers, neither have I done any research on them. However, I have checked out FXCM, EXNESS and some others. These brokers offer both no dealing and dealing execution, but I would not recommend any of them. Most canada, us and UK brokers are too restrictive and their trading condition is not really favorable to new traders. I think Profiforex would be a better choice. I am currently using this broker and so far everything is ok. The spread is fixed and you are charged only 0.3pip for a whole deal. I am very comfortable here. My orders are always executed fast and this has helped me to improve a lot. Here, you can open account with at least 1$ and use Leverage from 1:1 to 1:500, without inquiry.
First of all you have to ignore brokers that have a lot of don’ts. You can use broker reviews sites to narrow down your search. There are many brokers that offer 1:1 to 1:500, such as the ones mentioned above.
I just looked them up. They seem pretty legit. I just got a demo account with them. I will test them out for a month and if I don’t find a broker that I think might be better than these guys, I will send my money in. Have you had any problems with them? In terms of execution of order on high volatility days or etc?
you should likely get a much better handle on the leverage and its implications while having open trade(s) and what a fair / reasonable leverage actually is before attempting to hook up only with brokers who offer extremely high levels of leverage.
i’ll cut to the point - a leverage of 100:1 is more than sufficient.
I’m personally ok with even a 50:1 leverage. But when I do go live, I plan to start with $1000 (either CAD or USD). Also I plan to follow EUR/CAD and CAD/JPY mostly but it’s not exactly set in stone. Some questions that come to mind are, even if I’m to be trading crosses, is it better to have USD as my base currency instead of CAD? Is it better to stick to 1 or 2 of the majors instead of crosses? I’m hoping to be a day trader but I have no preference and am open to swing trading as much as any other type. I also currently have no set platform but have been hearing good things about MT4 so might be using that. The only other platforms I’ve heard of are Multicharts and Ninjatrader but I think they’re more for futures than forex.
Any recommendations based on that much information? Or is more information needed? I’m not fully clear on what else I need to know before I go with a broker. I also plan to try a demo account to get used to the company if I can.
Edit: I decided to ask again because at least a month has passed and that’s more than enough for changes to take place.
Edit2: Apparently Ninjatrader can be used with forex too…but again, no clue which brokers regulated in Canada allow it.
I had the same problem with you but i found one site that can check all many brokers and find not only the leverage but many other details that can help all the traders to find the right broker. choosefx.com