What is the Deal With Forex Brokers?

By: Rick Martin

Forex brokers are the best thing out there right now. And whether you are looking to hire one or you are looking for some Forex courses for yourself, you are making a good choice. Although it is said that brokers only buy and sell, thus having a boring job, the satisfaction can be quite big! Truth be told, Forex is a great market and there are millions to be made... In order to fully understand this world, one must take some Forex courses, or have Forex brokers work for them. For instance, one of the forex broker leaders is located in Switzerland and is regulated by the Swiss Federal Department of Finance; audited by KPMG. They have very tight spreads, with a total of 25 currency pairs Gold and Silver. Here are the spreads:

2 pips for EURUSD, USDJPY, AUDUSD, EURGBP, EURCHF;
3 pips for GBPUSD, USDCHF, USDCAD, EURJPY;
4 pips for CADJPY, CHFJPY;
5 pips for NZDUSD, AUDJPY;
6 pips for EURAUD, GBPCHF, NZDJPY;
7 pips for EURCAD, GBPJPY;
8 pips for GBPCAD, GBPAUD, AUDCHF, CADCHF, NZDCHF;
10 pips for AUDCAD, AUDNZD.

The default leverage is 1: 200 but the client could choose the leverage from 1:1 to 1:200 at the account opening procedure. Depending on the client's account equity they can have different margins. Different equity levels have different margins. For instance different Forex courses show these margin requirements:

Less than 25,000 - 0.5%
25,000 to 1,000,000 - 1%
1,000,000 to 5,000,000 - 2%
5,000,000 to 10,000,000 - 3%
above 10,000,000 - 5%

Please have in mind that on weekends and holidays margin requirements remains the same.

Forex brokers count SWAPS both as negative and as positive. Swap - free accounts are also available. As well as that, Forex brokers can place Stop and Limit orders as close as 5 pips from market price. as a client, you can choose to have your account denominated in either USD, EUR, GBP, JPY, CHF, AUD or CAD.

If you want to do it yourself, you could get some Forex courses that show you everything you need to know. You can become very successful using proprietary software from different companies. These are network marketing companies and usually their only products are such soft wares for which they charge about $100 per month. Some people are more interested in the sensational results of the Forex trading than in the network marketing business. Their system is "set it and forget it"; this is why one checks their account twice per day and do not have to watch a computer screen constantly. They have set up great deals with 4 large Forex brokers for anyone - these are the kind of deals that normally only large institutional investors get.

Foreign Exchange
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