What is FOREX.com？
FOREX.com, a China-based broker, provides a wide range of financial instruments such as precious metals, energy, and forex trading. However, FOREX.com currently operates without regulatory oversight.
In the upcoming article, we will comprehensively analyze this broker's attributes from various angles, delivering clear and well-organized information. If you find this topic intriguing, we encourage you to continue reading. At the conclusion of the article, we will provide a concise summary to offer you a quick grasp of the broker's key features.
Pros & Cons
Pros:
Multiple trading platforms including MT4/5: Access to popular and versatile trading platforms like MetaTrader 4 and 5 offers flexibility and advanced trading features.
Demo account available: Provision of a demo account allows traders to practice and familiarize themselves with the platform and trading strategies without risking real money.
Cons:
Unregulated: The broker operates without regulatory oversight, exposing traders to higher levels of risk and uncertainty regarding fund safety and fair trading practices.
Commissions charged on stocks trading: While transparent, the additional cost of commissions for stock trading deter some traders who prefer fee-free options or lower-cost alternatives.
Is FOREX.com Legit or a Scam？
When considering the safety of a brokerage like FOREX.com or any other platform, it's important to conduct thorough research and consider various factors.
User feedback: To get a deeper understanding of the brokerage, it is suggested that traders explore reviews and feedback from existing clients. These shared insights and experiences from users can be accessed on reputable websites and discussion platforms.
Security measures: FOREX.com implements stop-loss orders and trailing stops through its trading platforms to enhance security. These features enable traders to set predetermined exit points to limit potential losses and automatically adjust stop levels as market conditions change, providing enhanced risk management capabilities for investors.
Ultimately, the choice to trade with FOREX.com is a personal decision. It is important to thoroughly assess the risks and benefits before arriving at a conclusion.
Market Instruments
FOREX.com provides access to a wide range of financial instruments through its FOREX.com proprietary platform, MT4 and MT5. Traders can choose from over 4,500 stocks, numerous stock indices, spot precious metals, currency pairs, and crude oil futures from both the United States and the United Kingdom.
FOREX.com boasts a robust selection of precious metals, including gold and silver, which are renowned for their intrinsic value and historical significance in the financial markets. These metals serve as popular investment vehicles due to their status as safe-haven assets, providing a hedge against inflation and economic uncertainty.
The broker also offers a variety of energy commodities such as oil and gas, which are essential resources in global economic activity. Trading energy commodities allows investors to capitalize on price fluctuations driven by geopolitical events, supply and demand dynamics, and macroeconomic trends.
Furthermore, FOREX.com provides access to a wide range of foreign exchange pairs, including major, minor, and exotic currency pairs. Forex trading offers opportunities for speculation and hedging, with the ability to profit from fluctuations in exchange rates influenced by economic indicators, central bank policies, and geopolitical developments.
Accounts
forex.com offers two account types to traders: demo account and a live account.
Demo account allows traders to familiarize themselves with the platform and test their trading strategy in a risk-free invironment without losing any real capital.
On the other hand, the live account allows traders to engage in real-time trading with actual funds, providing an opportunity to experience the dynamics of live markets and potentially generate profits.
How to Open an Account？
To open an account with FOREX.com, you have to follow below steps:
Complete any verification process for security purposes.
Once your account has been approved, you can set up your investment preferences and start trading.
Leverage
FOREX.com offers leverage of up to 100x, providing traders with enhanced buying power to amplify their trading positions. With this level of leverage, traders can control larger positions in the market with a smaller initial investment, magnifying both profits and losses.
While higher leverage can increase the potential for significant gains, it also comes with increased risk, as even small market movements can result in substantial losses. Therefore, traders should implement risk management strategies when utilizing high leverage, ensuring they have a thorough understanding of its implications and the impact on their trading capital.
Spread & Commission
FOREX.com offers fixed and floating spreads tailored to each market, traders can benefit from competitive pricing and high-quality trade execution.
Additionally, FOREX.com provides commission-based trading for stocks, where commissions are determined by the market and the minimum unit is calculated in the base currency of the account. For instance, U.S. stocks incur a commission of 1.8 cents per share, with a minimum of $10, while European equities have a commission rate of 0.08% with a minimum of €10. Similarly, commissions for Hong Kong stocks stand at 0.15%, with a minimum of HK$15, and for Japanese stocks, it's 0.05%, with a minimum of 1,000 yen.
Trading Platforms
FOREX.com offers a diverse selection of trading platforms tailored to meet the needs of traders of all experience levels.
Their proprietary trading platform provides access to over 4,500 stocks, stock indices, spot precious metals, currency pairs, and crude oil futures.
Additionally, traders can choose between the popular MT4 and MT5 platforms, each offering a wide range of tradable instruments and advanced analytical tools. The platforms support various order types, including market orders, limit orders, and stop-loss orders, empowering traders with flexible trading strategies.
With features like one-click trading, customizable watchlists, and advanced charting tools, FOREX.com ensures a seamless trading experience across desktop, web, and mobile platforms available on both Android and iOS.
Traders can also access comprehensive market commentary, news updates, and economic calendars to make informed trading decisions. Experience the platform risk-free with a demo account before opening a live account to start trading.
Deposit & Withdrawals
FOREX.com provides a wide range of convenient payment options for funding and withdrawing from trading accounts.
Clients can choose from popular methods such as VISA, Mastercard, Neteller, bank wire transfer, Skrill, and WebMoney. These payment methods offer flexibility and security, allowing traders to easily manage their funds with confidence.
Customer Service
FOREX.com offers comprehensive customer support through phone, live chat, and email channels for immediate assistance or inquiries.
Phone: 400-8428138.
Email: cn.support@forex.com.
Conclusion
FOREX.com, a broker based in China, offers a variety of market instruments including precious metals, energy and forex. However, its unregulated status raises concerns for investors about its legitimacy and customer protection.
Therefore, if you are considering FOREX.com, you should be at utmost caution and do you own research before committing actual tradings, and explore regulated alternatives that prioritize transparency, security, and client protection.
Frequently Asked Questions (FAQs)
Risk Warning
Online trading involves significant risk, and you may lose all of your invested capital. It is not suitable for all traders or investors. Please ensure that you understand the risks involved and note that the information provided in this review may be subject to change due to the constant updating of the company's services and policies.
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