Often newbie traders come into forex Australia trading due to the bonus offered brokers. They take the offer first and then a few months down the line, they will find out that the gift is equivalent to the cliché Trojan horse. Many people find out later on, after amassing decent profits, that trades don’t get filled in, slippages happen every day and in some cases, withdrawals are out-right refused. So what is the best way to avoid this?
Sign up with only forex Australia brokers that are licensed
Due to the fact that forex Australia trading laws aren’t as strict as what is obtainable in places like the United States and the United Kingdom, you find many brokers coming over to set up shop. Now even though most of these brokers are regulated in the countries where their headquarters are domiciled, this doesn’t make them good enough to use in Australia. There have been numerous instances in the past where reputable brokers in other countries have engaged in shoddy deals in other places where they have branches.
So make sure the broker has ASIC certification. The ASIC isn’t as strict as the NFA etc. but they still do a very good job! Also make sure you don’t buy the “we are working on getting certification” excuse.
Look for brokers located in your city
There are many good forex Australia brokers with offices all around Australia. The big cities of Sydney, Melbourne etc. have a handful of them. So, if you are resident in these areas, or close to them, it is advised that you sign up with any of them. The reason for this is that it will be easier for you to settle any issues you have with them face to face. Such offline confrontations yield results quicker than having to rely on an email sent to a broker on some Greek island thousands of miles away from you.
Which brokers are popular?
If a broker is very popular, then it is certain that they are doing something right. You can check out forex Australia communities to see what brokers have good reports. You can also ask offline by talking to any successful traders you know. If you were trained by someone around you, don’t forget to ask what broker they have used and liked the most. However, you must note that most popular and largely successful brokers do not offer as much incentive to join them as the newer ones still struggling for an improved client base. Therefore, you should not expect deposit bonuses etc. from such providers.
If you put these three tips to use, there is an increased possibility that the broker you sign up with is going to be one of the best forex Australia brokers.
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