Whether you are a new or experimented trader, the most important advise we would have for you is to protect yourself from scam brokers. Beware that most Forex brokers are unregulated, which means you will not be able to do anything in case of any conflict with them.
Now you may be wondering how can you spot a scam ? Don’t worry, you will find some help in this article.
When looking for a Forex broker, the first thing you need to look for is whether they have a regulation licence or not.
A stamp from a regulation licence such as CySEC, ASIC, FSA or any other reputed regulator gives you some guarantee about their reliability. Indeed, a broker regulated by CySEC will lose its licence if they break CySEC rules. In other words, they will lose it in case of any fraudulent practices with their traders.
If you can’t find any licence on the broker website, it means they don’t have one. Every broker licensed by a legit regulator will be happy to display it in their website’s footer (bottom of their page).
If it looks too good to be true, then you should probably stay away from it. There are no miracle in the Forex market and you won’t become a millionaire in your first month of trading without any experience.
This is just totally impossible.
A demo account is one of the first things you should look for when checking a Forex broker. It lets you try the trading platform without depositing real money on it.
If you are not able to find it, click on the top right corner’s red cross !
If you want to know more about it : Google it !
Another advise i would have for you is to do some research about the broker you are about to invest on. Just type the broker name followed by words such as ‘scam’ or ‘fraud’.
If you find a large amount of complaints about this broker on the internet, you better stay away from it !
Moreover, don’t forget to check if the broker appears in our Blacklist.
Don’t deal with any broker who won’t clearly give you their background information.
If you are not able to find the name or address of the broker’s holding company, this should be considered as a huge red flag.
Every legit broker will readily display all their legal information on their website.
Still looking for a legit broker ? Check out our top regulated brokers below.