Forex trading is an interesting area of the financial market. It’s estimated that 90% of trading volume actually comes from day traders.
Nearly all of them are using specialized Forex trading software to execute their trades. You need the right tools to trade in Forex.
So how do you find the right trading software for you?
What Technical Indicators are Available?
The majority of day traders are not trading based on the news. They’re trading on the technical indicators. Unless you read specialized websites, you won’t hear about these in the news. When was the last time you heard CNN talk about moving averages?
There are literally hundreds of technical indicators. But more doesn’t mean better. Choose the ones that matter most to you and find the trading software that provides reliable indicators.
Is the Graphical User Interface Contusive to Good Trading?
With high levels of leverage allowing you to make a trade while having just 2% of the contract size, you need to make your trades count.
The Graphical User Interface (GUI) is important for traders on two levels: the ability to monitor information and the ability for you to stare at it for a long time.
This is why so many trading software options have free trials. You need to try out different GUIs to see if they work with your trading style.
What’s the Type of Trading?
Automatic Forex trading is the latest innovation in trading software. Enter the relevant parameters and allow it to act at your command, without having to sit there and press the buttons yourself.
It’s a new type of trading and is well worth checking out. Deciding to start trading automatic can greatly increase your yields and reduce your time spent on staring at a screen.
Is Historical Data Provided?
Historical data is just as important as current data, even if you’re leaning more towards technical indicators over fundamental indicators.
Your Forex platform should already have a certain amount of historical data built into the platform, so new users can jump right in. You shouldn’t have to source this data from elsewhere.
Remember, things like the GBP leaping by 100 pips against the USD at the end of August 2018 because of Brexit-related news could be relevant to traders using a new platform a few weeks later.
The more historical data you have the better but demand at least a few months because this remains relevant to the current trading environment, particularly in times as volatile as these.
Have You Tried it Out?
Many Forex trading platforms don’t allow a free trial, at least not without asking you to provide your payment information first.
To find the right trading software for you, make sure you take advantage of a free trial. Test it with small amounts or on a trial account through your brokerage.
You can’t know how good a piece of software is until you give it a test run.
Last Word – What Do Others Have to Say?
The final indicator you should take advantage of is what other people are saying about a piece of software. Look up reviews from current users on independent websites. They will be able to give you an idea of the pros and cons of a specific Forex trading software option.
Are you ready to change your Forex trading option?