A Forex trading system is a very important tool for anyone who wants to trade in this financial market. With so many trading platforms in the market today, it is not impossible that you will find one that matches your preferences and budget. But you would need to do some research first before you can find the right one for you. Adding to the confusion is the plenitude of reviews available which are sometimes rife with exaggerations or downright lies. While there are also unbiased testimonials that can help narrow down your choices, you should never decide solely on these reviews. You should demo the app first. Below are tips on how to choose a trading platform.
Recommendations from peers and other people you trust can help you zero in on reliable trading systems. Select three to five Forex trading systems to demo. Trustworthy Forex brokers and dealers make free trial version of their trading platform available for you and they will allow you to open a virtual trading account. If they don’t offer a free demo, be wary.
Determine the platform’s reporting and charting capabilities. Without this feature you will miss out on a lot of earning opportunities and fail to react quickly to unfavorable market movements. A good trading system has a lot of technical indicators such as trends, trend lines, moving averages, and momentum. The most common technical tools include trend lines, moving averages, and momentum. Your trading platform should also be able to pull out economic reports such as GDP averages and interest rates as soon as they are released or become available. That way, you won’t have to go to another section of the platform just to browse through news reports.
Also check if you can trade directly on the charts or if you can only place an order after leaving the chart section. It would be a good idea to get a system where you can trade straight from the charts because this is far more convenient than the latter. You also have to check if the platform allows several types of orders. At its most basic, the trading platform should be able to handle market, limit, and stop orders. In general, the more options the system can give you, the better it is. You should also verify if you can do backtesting on your strategies. Backtesting makes it possible for you to do simulations of your trade strategy using the historic price data in the system so you can see if it will work or not.
Last but not the least, look for a platform that is intuitive. Even the most advanced platform will be ineffective if you don’t know how to use it. If you have to look at the users’ manual every few minutes, try a different system.