Easy Forex is aimed squarely at the beginners side of the trading spectrum. Their simple platform allows you to speculate on a range of currencies, metals and indices. The Israeli company behind Easy Forex launched in , and has its headquarters in Cyprus.
The company is not regulated in the U. S clients at the present time. Accounts are available in most major currencies. The standard account offers fixed spreads from 3 pips for the majors and is designed with the newbie day-trader in mind. The premium accounts do require a higher deposit amount and have a greater dealing size. Guaranteed stops Stops are not normally guaranteed by brokers because of the risks.
These events can potentially cause a loss much greater than the amount invested, especially when high leverage is involved. When guaranteeing stops, the broker carries this risk — but keep in mind this is usually offset with higher trading fees. While there are no deposit or withdrawal fees at Easy Forex , the spreads on the standard account are fairly high compared to the industry average. You do have to bear in mind however that these spreads are fixed. But it does mean a higher percentage of rejected orders.
The renewal fees are very high, at 7. These can really add-up especially if you have many open positions with substantial leverage. This makes Easy Forex better suited to day traders rather than position traders. What this means is that when you trade, Easy Forex is your counterparty. Your gains are their losses and vice versa. They are the market maker in every deal transacted on their system. Many traders believe these are preferable — because there are no conflicts of interest.
They obtain quotes from a number of liquidity providers usually international banks and currency dealers and simply broker the transaction adding on their spread or commission. Pros and cons There are pros and cons to everything and dealing desk execution is no different. Plus you do at least know and can asses the risk of your counterparty. Conflicts The downside however is that it raises a potential conflict of interest.
This setup is designed with the beginner in mind so that they can see how much is at risk when they trade. It makes it easy to see how much exposure you have. Easy Forex states that MT4 accounts use straight through order execution and trades will bypass the dealing desk.
Using MetaTrader also allows the use of expert advisors to automate your strategy. Instead, it asks you for the amount to trade and your chosen margin the amount you want to risk.
This establishes your leverage. The system then calculates the stop level automatically based on your given settings. Each position trades with its own margin and leverage. And the margin gets locked from your overall free balance. This setup is designed with the beginner in mind so that they can see exactly how much is at risk when they trade. It makes it very easy to see how much exposure you have.
What this does is it allows you to temporarily fix a rate just before you enter a trade. This is helpful in fast moving markets.
Plus it only freezes the price for a few seconds. The choice of instruments you can trade will depend on your platform — all are available on the webtrader or mobile app. The complete selection includes:. Easy Forex allows you to trade options on a range of currency pairs. Opening a new position brings up the options trade tab in easy mode.
One side is for trading put options, and the other calls. If you click the button at the bottom it brings up a scenario generator. The attraction of trading options is that the loss is limited to the amount paid for the option premium. However due to the high gearing, the upside can be enormous.
In here you can enter a range of expiry levels against your given strike price. The chart and tables will show you the expected payoff and potential cash flow from the option.
By default, the tool only displays options with strike price at the money at the current spot price. This takes you to the advanced panel where you can create a customized option. Just enter your required strike price as a percentage away from the current price or as an actual value. The scenario tool will then show you your potential payoffs.
This is especially true with options which are deeply out of the money and which are close to expiry. Having a high probability of expiring worthless, these options are more speculative. However most are beyond the scope of this review. Insider View This gadget lets you see how other people are trading at any given instant.
This is useful for deciding how to setup your own trade. It lets you graphically adjust the stops and take-profit levels for the trade. The bar underneath the graphic tells you your potential profit or loss with your chosen values. The charts which are integrated into the trading panel are a bit on the small side. You need to open the full charting section for that.
This is probably the most useful part of the site. The UBS report usually arrives at 7a. This includes important economic releases as well as central bank statements. It also has a nice technical summary which gives trend forecasts for several currency pairs using their own proprietary charting models.
The eBook provides a decent introduction to the subject and covers all of the essentials including trading basics, spreads, pips, leverage, fundamentals, and charting.
It also explains the key factors that can influence exchange rates such as interest rates, inflation and the economy. All of the examples are geared around and contain references to their own platform.
Nevertheless the book is a worthwhile read and summarizes a lot of important concepts very nicely. Fixed spreads and guaranteed stops help to eliminate uncertainty. Easy Forex also lets you trade the forward markets as well as currency options. Leave this field empty. Want to stay up to date? Just add your email address below and get updates to your inbox.
Leave this field empty if you're human: The bid and offer prices are simply the What are the Alternatives to the Yen Carry Trade? The carry trade has a simple aim: Borrow low and lend high. Japanese yen is often the borrowed currency Slippage, Requotes and Unfair Price Execution Price manipulation allows your broker to make a riskless profit using your money. This means you can Reducing broker fees can be one of the most effective ways to improve your trading profits.
The role of the interbank dealer is for the most parts transparent. To retail traders, the primary dealer How to Arbitrage the Forex Market Forex arbitrage is a bit like picking pennies. The opportunities are very small.