Best Rated Brokers in 2021
|FX Broker||Min. Deposit||Min. Margin||Max. Lev.||Spread EUR/$||FX Pairs||CFD||Trading||WWW|
Read our Review
|$200||0.25%||1:400||3 Pips||16||No||Software, Browser||etoro.com|
|$100||0.25%||1:400||2 Pips||>100||Yes||Software, Browser||easymarkets.com|
Why Should You Compare Forex Brokers?
There are a lot of Forex brokers and everybody wants to attract as many traders as possible. This means that there is fierce competition between FX brokers in favor of the trader. Everyone tries to be the best in a certain niche and therefore you can choose the best provider by comparing FX brokers. You are not limited to a single or a few brokers; you can trade wherever you want, whenever you want. But every Forex has its advantages and disadvantages. Your goal must be to find the best Forex brokers for yourself.
Forex Broker Comparison at Broker Reviews
You are probably wondering why we have only a handful of brokers to choose from even though there exist hundreds of them. The reason is quite simple: the listed Forex brokers are the best brokers in our opinion and they have the best deal for the average trader.
The Criteria to Compare Forex Brokers
We have tried to incorporate as many criteria in our evaluation which we think are the most important. We believe it is more essential that a broker offers many currency pairs than offering a payment method almost nobody uses. Thus our main criteria are:
Software – how easy is it to operate? How is the usability? How about the features?
Bonus – a trading bonus can be very attractive
Payment Options – without payment options, no money and without any money no trade
Extras – such as CFD, commodities, etc.
What Forex Brokers Also Offer Trading with CFDs?
In our Forex Broker comparison you can find a column that indicates whether you can trade CFDs or not. At the top of the Chart FX broker, you can find a column named “CFD”. AvaTrade, eToro, Finexo, InstaForex and Forexyard all allow trading with CFDs.
What FX Trading Platforms Provide Trading in Your Browser?
It is handy when you do not have to download separate software for each broker. Therefore, some FX platforms thought that you should be able to trade in your browser. Online trading without downloading software has become more and more popular. This is also a customer need: You can thus trade currencies from any PC in the world – even from a desktop on which you may have no administrator rights.
What FX Brokers Offer the Best Forex Bonus?
You can find an overview in our table and you can see which FX broker offers which bonus. Click above in the summary on the broker of your choice. We have however created an article that deals only with bonuses: Forex Bonus
Which Broker Offers the Best Deposit Methods?
A lot of Forex brokers move with time and offer new and innovative payment methods. Unfortunately, there are also forex brokers who sleep a little and think that traders are still willing to pay only by bank transfer or credit card. This is, of course not a good option. Therefore, we have added payment options to every listed Forex broker. Furthermore, we have created a detailed article about deposit methods. We also answer important questions you may have on the different deposit options and deposits in general. Two popular eWallets are Paypal and Moneybookers. We created a list to show you the best FX brokers, where a deposit with Paypal and Moneybookers is possible.
Which Broker Provides the Best Trading Software?
“The best” is of course relative. One trader needs certain functions another trader doesn’t need at all. One trader may prefer clear and easy-to-use software and another trader needs Metatrader 4 or 5.
So this is a tough question. We at Brokerreviews.org made it as simple as possible. In every review you will find information on the broker software.
We also created a list which brokers offer Metatrader 4 . Additionally, a list for everybody who doesn’t want to download any broker software: FX trading in browser – shows you what brokers allow you to trade in your web browser and don’t need a downloaded version.
Which FX Broker Offers the Highest Leverage?
The maximum leverage vary between 1:100 and 1:1000. With 1:1000 the broker Instaforex leaves the competition behind. No other Forex broker offers such a huge leverage. You can see in our Forex broker comparison chart what leverage the specific broker offers.
Which Forex Broker Offers the Lowest Spread?
The most used currency pair to compare spreads is EUR/USD. This is the most representative. The difference between Forex brokers is not that huge and they are close together. Most brokers offer a spread of 3 pips on EUR/USD.
What’s the Forex Broker with the Lowest Minimum Deposit?
In our test, the Forex broker with the lowest requirement is clearly InstaForex with only $ 1. The other Forex broker offer minimum deposit between $ 50 – 200. But it really depends. It’s very important for Forex Beginners to keep the first investment at a minimum and thus they should look for a FX broker with very small deposit limits. Many simply want to invest and pay only 500 €. However, one must be aware that in FX Trading the risk increases when working with (too) little money. Even the $ 1 minimum deposit at InstaForex is put into perspective. This is of course not possible with every deposit method. Many deposit methods make no transfers under a certain limit, like $ 20. A positive trend is that Forex brokers move toward “micro pips” which means enabling a low-risk trading for the small wallet traders.
What’s the Best Place to Trade?
This question is impossible to answer of course. It depends on many factors. For example, it is dependent upon whether you are a beginner or an advanced trader, or what software you prefer, if you use Metatrader or your own software which may be easier to manage. We recommend taking a look at our Forex comparisons to make a decision.
What are the best resources?
You have to be careful. You have to be aware of the fact that there are lots of people out there that want to sell their “trading secrets”, books, signals, etc. Whatever it is, be cautious. When somebody claims you will make good profits be even more cautious. This should be your natural instinct. When it comes to Forex resources there are a lot of good ones out there. Some of them are well known like BabyPips and others are less popular (yet), where you will find a lot of good stuff about Forex and Binary Options Trading. It’s really worth taking a look especially when you are engaged with both trading techniques.
Forex Autotrader and Copytrader
The human being is basically very comfortable and usually takes the path of least resistance. Why should it be different with trading? Especially when there are so many possibilities to choose this way?
Many CFD brokers now offer autotrading or copytrading features and the first major broker to bet on this horse was eToro. That’s why eToro likes to call itself a “social trading broker”. It’s more about showing off your own trades and successes (Openbook) or imitating other traders (Copytrader) than just trading. The strategy worked out for eToro in any case and many years after its introduction the eToro Copytrader is one of the best tools on the market.
The question you have to ask yourself is of course whether you should rely on such tools or if you prefer to take the rocky road for successful trading. The latter is by no means easy – it is not for nothing that 3/4 of all traders lose money on average. So you have to be one of the 1/4 of successful traders to make any profit at all.
A problem of tools like Copytrader is the Survivorship Bias. This means that even completely incompetent long term traders can be listed at the top in the short term. They then show 200% returns this week and are celebrated as new heroes. But where the success comes from and whether it is sustainable is another story. It is therefore easy to find a successful trader again and again who you want to copy – even if in fact 100% of the traders are not successful in the long run. This concept is also already known with managed funds. There are always large winners over 2-3 years, who beat the market. Then one invests only to find out later that they no longer beat the market and that it would have been better to invest in an ETF. So in short: You have to deal with this topic very carefully and also copying successful traders requires a certain set of skills.
Metatrader vs. eToro, Plus500, etc.
Metatrader is still the gold standard for professional CFD trading and this will probably not change anytime soon. For a CFD broker the decision is also easy, because after all you only have to license this platform and not develop it yourself. Moreover, almost all traders are already familiar with it. Actually a win-win situation.
That’s why there are only very few brokers who actually develop their own platforms. They do it especially if they expect an added value for their traders. This is e.g. justified in the fact that Metatrader is confusing for certain traders at first and is not necessarily self-explanatory. One must actually already deal with the matter to be able to trade really successfully. Even platforms like eToro and Plus500 need some training. But first of all you should clarify the question if you are using Metatrader or another platform. Here we compared eToro with Metatrader: eToro platform vs. Metatrader.