Business

Just starting to trade? Don’t choose a trading platform without checking these things first

Using an online trading platform to engage in the financial markets is now the most convenient way. You can do it from wherever, at any time you deem comfortable, and you don’t need much other than a steady internet connection. Brokerages have designed competitive offers, leaving you with a lot of options available when opening an account.

However, regardless of whether you want to choose a platform like MetaTrader 4, or a proprietary trading solution, several key aspects must be verified, and you should know what to keep an eye out for.

Alt-text: choosing an online trading platform

man holding black smartphone with flat screen monitor in front

#1 Multi-device compatibility

First, the platform should be available for installation or accessible via any type of device. You might want to trade at home using a PC or laptop. At the same time, there might be instances when you need to monitor markets and manage open trades on the go. By having the platform on your phone, it would be easier to perform these tasks at all times, acting exactly when the market gives you a signal.

A high level of flexibility is necessary during times of great market volatility. High inflation, geopolitical tensions, and prospects for monetary policy normalization are currently keeping most asset classes on edge. You need to be well equipped and ready to place trades, trim exposure, or simply monitor price action at any point in time.

#2 Security

Opening an account with a brokerage means entrusting that brand with your own finances. Gaining people’s trust is not easy in such conditions, which is why it’s important to make sure that the platform you are about to use is secure. More specifically, it should be using advanced technologies, allowing for multiple layers of protection (like 2FA), and also, undergoing constant upgrades, both on the back-end and front-end.

That way, the platform you are using is updated and ready to work in the current environment. That’s why you should be working with a reliable and reputable brand. These companies are well-known for their work on the security front.

#3 Tailored trading tools

Maybe you want to trade on an intra-day basis, or maybe your schedule allows for swing trading or scalping. Either way, each of these strategies requires specific tools the platform should have integrated.

As any professional trader out there, you must have a well-defined strategy that includes what indicators you use and how you use them. A rules-based approach is critical given market volatility continues to remain elevated and prices could go either way, catching unprepared traders off guard.

#4 Positive feedback from other traders

Ultimately, a reliable platform that has been in the market for a decent amount of time benefits from positive feedback. There are numerous websites where you can find reviews and also forums where traders are discussing various topics, including platforms.

If you are new to the world of trading, it would be appropriate to conduct some research with regard to the platforms available on the market. Make sure to check multiple sources of information, in order to filter out subjective opinions.

 

Back to top button