JoshEach day, millions of people around the world trade currencies in an effort to make a profit for their portfolios. In some cases, people hold their positions for many weeks or months before closing them. However, it is also possible to hold positions for as little as a few hours or minutes. Before you buy or sell currency, you will need a broker. Ideally, your broker will offer free VPS hosting.
How to Choose a Forex Broker
There are many items that you should consider before you choose a Forex broker. First, you need to know that the broker takes security seriously. This means using a VPS server that has multiple data centers throughout the world. Hopefully, one of these data centers will be in your hometown or within several miles of your computer.
The broker that you choose should also keep your money in a segregated account. Finally, when choosing a Forex broker, use one that follows all relevant trading rules and regulations to ensure that you are trading on a fair and transparent market.
Finding the Best Forex Trading Platform for Beginners
One of the unique aspects of Forex trading is that anyone can do regardless of their experience level. However, you should not make trades until you are sure that you understand why you are making them. The best platforms for beginners are the ones that allow you to open a demo account. Demo accounts allow you to place real trades with paper money.
In most cases, you will get $25,000 in paper that allows you to test your systems and get you used to the emotional aspect of being a trader. It also allows you to get used to the platform itself and the features that it offers. Most brokers will host webinars or other classes for new traders to get them comfortable with both the platform and trading in general.
Why You Need a Broker That Offers Free VPS Hosting
You should choose a Forex broker with free VPS hosting because you know that broker puts a premium on security. Since the hosting is free, the fees to make trades are likely going to be lower. Most brokers will charge you anywhere from $1 to $10 a contract to make a trade. This means that you could be right on a trade and still lose money. It also means that you could lose more than the amount of money that you risked on a given trade.
Before signing up with a particular broker, ask if the free hosting is a permanent perk or is just a promotional offer to new customers. While there is nothing wrong with a broker offering incentives to new customers, you want to know ahead of time if your cost to trade will increase going forward. You should also ask if free hosting is available to anyone regardless of the size of their account.
Is The Service Reliable?
Just because a service is free doesn’t mean it is the best option. Make sure that the broker that you choose offers reliable service as even a slight lag or delay could turn a winning trade into a losing one quickly. If you are using margin to make a trade, you could lose more than you have in your account, which means that you need to be able to execute trades within seconds.
Becoming a Forex trader can be a great way to make money and gain more control over your life. However, it is important that you have a broker that believes in good service and a secure trading experience. Otherwise, you could easily lose thousands of dollars or more to a shady corporation with little or no recourse.