Getting a Forex broker is a very crucial step in venturing to Forex trading. This is why it is important for you to get a broker that has all the necessary qualities so that you can have a bright future ahead of your trading venture. There are so many brokers out there that it could be pretty hard for you to decide which one to get. Nevertheless, here are some of the qualities that you should look for in a broker, which could help you determine if the broker in question is a good catch or not.

Registration

First of all, you should confirm that your potential broker is for real and is registered with one of those currency regulators, like: National Futures Association, Commodity Futures Trading Association, Securities And Exchange Commission and the like. You should also notice whether your proposed broker sports a dealing desk or doesn’t. However, you should know that dealing desk brokers would mean that you’d be trading against brokers and would eventually loose money. Hence, you should get a non-dealing desk type of broker, in which you would directly trade at interbank level along with matching orders.

Reputation

Of course, having a good reputation is very important. This highly counts, especially when you’re considering on opening an account. You should go for a reputed broker that has pretty good feedback. It would be best that you research first on the broker. It would be helpful to search on the Internet. Try looking at different forex-related forums or blogs and see what they have to say about that specific broker. Such kind of reviews would give you an idea of the broker’s reputation in the trading industry.

Account Size

A good broker would also allow you to trade having a very flexible lot size. This would allow you to have the opportunity to try out different strategies using your account. Most brokers would offer mini-accounts and standard accounts; these are the most common that you would find. The mini type would be good to start out with and in time, you could always upgrade to the standard type.

Margin

Majority of brokers let you have the leverage of 1:50 to 1:400. It would be best to get one that has adjustable brokerage. In this way, if ever your need to draw-down, you could still trade using a low leverage.

Spread

Spread would be the difference between the given bid and the ask price. Majority of forex pairs would have a spread between 1-5 pips. It would always be best if you get a lower spread, since this means that you’d get the more profit. Wider spreads are for the accommodation of the affiliate’s expenses. Hence, it would be better to get a broker that doesn’t make use of any affiliate programs. You should also get one that sports very low spreads like 1-2 pips.

Research And Tools

Forex brokers offer a lot of different trading platforms to their clients, just like how brokers in other markets do it. These trading platforms usually feature technical analysis tools, real-time charts, real-time data and news. They even have trading system supports. Before you commit to any broker, make sure that you request from them free trials, so that you could test various trading platforms. Most of the time, they also give fundamental and technical commentaries along with economic calendars.