Hi all,
New to forex, something which has interested me for a while now and something I have a genuine interest with global econmics and business and would like to tap into the potential of trading in the forex market. Over the last couple of months I have been learning alot and picking up the skills of trading forex and currently going through the babypips eduction (Which has been brilliant so far!) but also looking around the community built here seems really positive and look forward to linking in with like minded individuals.
One of the burning questions I have at the moment is what broker/platform is the best, being UK based? I would be looking doing intraday trading.
Thanks all and look forward to being a part of this community.
Spreadbetting and trading CFD’s are popular, similar in cost, identical in technique. SB is tax-free, CFD trading is liable for capital gains tax. Very low deposits and very low stakes are permissible. Deposited funds are segregated and protected.
Platforms are either MT4 or a similar in-house design.
That’s really interesting with SB being tax free, I hadn’t picked that up, much appreciated
I am using MT4 demo account to practice and test different strategies on as it happens and find the interface really easy to use for both laptop and mobile. I have also used the plus500 demo platform which also seemed pretty good, but reviews on that platform seemed quite negative and suggests that scalping is against thier policies.
Looking into the best broker to use once I am more confident in my ability and knowledge.
All brokers have reservations about scalping as the frequency of trades makes it harder (more expensive) for them to adequately hedge their risks of clients winning big very quickly. So some prohibit it, some have vague restrictions (which might well be stepped up if you start winning big) and all the SB firms have wide spreads (not prohibitive but they really bite into scalping profitability).
Scalping is also the area of trading where old hands will tell you only the big banks can win.
Start from demo account and trade with small lots and short stops. It’s critical to keep you afloat during period of emotional adaptation, when you don’t realise how important is trading plan.
Have a read on risk management. Know what amount is at risk. Get a really good understanding about trade setup/position size, lots, micro/mini, stop loss and leverage, and how each affects your risk. Start on demo for sure!
