Before you even open a funded account with an online forex broker, you will usually have an opportunity to review the features of their forex trading platform by using it to trade forex in a demo or practice account first.

No matter whether you plan on trading forex personally or automating your trading activities by using a trading robot, the following sections cover some of the most desirable features to look for in a forex trading platform.

• Displays Accurate Trading Prices

Perhaps the most important thing you will want to see in any forex trading platform is that it generally displays an accurate representation of where the market is currently trading in the currency pairs you might wish to establish positions in.

Any forex trader needs to know where the market is, especially when they have a position or order in the market, so this information is crucial to your trading success.

Most forex trading platforms available to personal traders operate via the Internet, so you will also want to have a stable and reliable high speed Internet connection to assure the fasted possible transmission of pricing data.

• Executes Transactions and Places Orders Reliably

Real time pricing is insufficient in a forex trading platform if actual live deals cannot be executed in a reliable and timely manner using it.

Also make sure to test that orders are transmitted properly, and that the forex trading platform supports the types of orders you will want to leave in the market.

• Offers Suitable Market Analysis Capabilities

Most forex traders who base their trading decisions on technical analysis like to be able to analyze the market using exchange rate charts and technical indicators. They then usually like to be able to immediately place trades from their charts once a trading opportunity gets identified.

Furthermore, traders using fundamental analysis usually need to have access to a quality live news feed from a reputable news wire like Reuters or AP/Dow Jones via their platform. It also helps to have access to an accurate economic data release calendar to know when key fundamental information is due out.

• Takes Strong Data Security Measures

You will probably be passing sensitive personal data, as well as account access information via the log in process to the trading platform.

As a result, you will want to make sure that the forex trading platform provider has taken strong data security measures to protect your private information.

• Has Minimal System Downtime

Any good trading platform needs to have an up time record during forex trading hours that approaches one hundred percent.

The forex market often moves rapidly during its open hours, and so traders need to have full access to the market at all times to protect their positions appropriately.

• Provides Compatible Automation Features

If you plan on automating your existing forex trade plan or using off the shelf forex trading robot software, you will want to be sure that any forex trading platform supports your intentions in this regard to the fullest extent possible.

Also, most automated trading software programs tend to work best if they are run on a virtual private server or VPS. Installing the software on a remote server like this helps automated traders to minimize down time due to dropped or unstable Internet connections.

• Allows Active Account Management

Once you have established a forex trading position, you will probably need to manage it and keep track of your account balance and trading profits on a real time basis as the market moves.

An ideal forex trading platform will therefore offer suitable account management functions for you to watch over your trading portfolio with.

Conclusion

Basically, the current widespread availability of forex trading platforms from online forex brokers and independent software developers has allowed just about anyone with a computer and an internet connection the chance to trade forex.

Nevertheless, quality can really count when it comes to a forex trading platform, so be sure to test any platform thoroughly to make sure that it fulfills your particular trading needs in a reliable way.

Risk Statement: Trading Foreign Exchange on margin carries a high level of risk and may not be suitable for all investors. The possibility exists that you could lose more than your initial deposit. The high degree of leverage can work against you as well as for you.