Established way back in 1999, Forex.com, and the company behind it, Gain Capital Holdings, are true veterans of the online Forex and CFD industry. What kind of trading platform does the brokerage offer? What about its trading conditions? These are just two of the questions we’ll attempt to answer in this Forex.com review.
As mentioned above, the corporate owner of Forex.com, GAIN Capital UK Ltd is a company registered in the UK, under CH number 1761813. The address of the operator is 16 Finsbury Circus, London, EC2M 7EB. GAIN Capital is indeed registered with and authorized by the FCA, so from a regulatory perspective, everything is indeed on point with the operation. The FCA license number of the brokerage is 113942.
GAIN Capital is a technology and liquidity provider, whose goal is to offer active retail and institutional traders access to the global markets through its services.
The liquidity-related and clearing services of the operator cover some 12,500 markets, including Forex and CFDs, options and ETFs. In addition to acting as a trading destination for retail customers, GAIN Capital facilitate access to the market for institutional parties, in turn allowing them to offer access to the above said markets, to their own clients. The company runs a much-appreciated IB (Introducing Broker) program and it offers white label solutions to industry peers, allowing them to open up new revenue streams through the peddling of the Forex., CFD, ETF and options products offered by GAIN Capital.
One Click Install EA Packages
- Alarm Manager – Customize alarms for balance, margin, P/L, consecutive wins/losses, and more
- Correlation Matrix – Assess hypothetical scenarios, highlight strong or weak correlation between all markets
- Correlation Trader – Inspect historic correlation between symbols in more detail and watch for, and trade, emerging differences in that correlation
- Market Manager – Current open position and profitability for each symbol, quickly switch between different groups of symbols, ability to place new market and pending orders
- Mini Terminal – Simple fields for setting orders in pips, open position marker, templates, and risk calculators, and more
- Sentiment Trader – Current long/short sentiment for a market, dashboard of current sentiment for multiple symbols. Sentiment data is from FXBlue.com
- Session Map – Shows current active session with the user’s local time as a reference point. It also includes an integrated economic calendar and key market changes.
- Tick Chart Trader – Simple tick chart which updates every time the ask or bid price changes, tick chart plus tick speed: shows bars indicating how long the last N ticks have taken to form, indicating market activity, and more
- Trade Terminal – Pop-up dealing form for creating pending orders as well as market orders, ability to create templates for quick order entry, displays key symbol information (pip size, value per pip etc)
Why should you, a retail trader, choose Forex.com over other Forex/CFD offers available out there?
First of all, the most important thing from the perspective of a retail trader is clear pricing and competitive execution, and in this regard, Forex.com does indeed check all the boxes. Spreads are a little large though, that much has to be noted, however they are dependent on the actual traded asset. In the Forex vertical for instance, on AUD/CAD, the minimum spread is 1.5 pips, while the typical spread is 2.6 pips. One has to bear in mind though that the AUD/CAD is not a major. On the EUR/USD, the minimum spread is 1 pip, while the typical is 1.3 pips – a much better deal.
On limit orders, the brokerage gives its clients the opportunity to have their prices improved. What this means is that when the market moves in favor of the trader, the savings are automatically passed along to the user, through improved prices.
Consistently quick execution means that traders have their trades executed at the prices they aim for, or better. Given that the brokerage operates in a highly regulated environment, prices are never manipulated, and execution speed is not tinkered with either.
As far as the actual trading technology is concerned, Forex.com feature what they call at their site “world class technology”. Indeed, even their simplest trading platform, the Web Trader, is surprisingly powerful in the way of charting solutions and trading tools.
In accordance with the regulatory requirements to which it has subscribed, Forex.com keeps client monies in segregated accounts (as one would expect from an operation of this caliber and experience), and in some cases, users are indeed covered by the Financial Services Compensation Scheme.
The company regularly makes key financial data available at its official site, so those interested can snoop around there. What’s more, through the investor relations service, more data can be requested.
Forex.com Trading Platforms
The Advanced trading platform offered by Forex.com, lets users trade with a minimum of “hand-holding”. The platform comes with advanced charting tools, integrated trading strategies and a professional analytics suite. The platform has more than 100 technical indicators built-in, with the possibility for traders to add their own. 15-time frames are supported, and traders can open positions straight off the chart. The available drawing tools are customizable.
The integrated trading strategies section includes the likes of Average True Range, Aroon Oscillator and Average Directional Movement Indicator. Everything is laid out in a very straightforward and user-friendly manner.
In addition to everything, the dashboard itself can be customized too.
The aforementioned Web Trader is powerful trading platform in its own right. Though somewhat poorer features-wise than the Advanced trader, it still delivers more than 70 preinstalled indicators, together with an integrated news and market analysis section.
Features of Web Trader:
– Smart trade ticket with advanced risk management option
– Pre-defined and customisable layouts
– Powerful charts with integrated one-click dealing
Multiple chart types and drawing tools are available and trading directly from the charts is possible through this platform, too.
The mobile platforms support multiple order types as well, together with trading alerts and notifications delivered in real time. Funding one’s account is indeed possible through the iOS and Android mobile platforms too.
Those used to MT4 (and very much into using EAs to lighten their workload), will be pleased to learn that Forex.com does indeed support MT4, and with it, the use of EAs. Special MT4 accounts are available, which deliver the full suite of features one might expect from MetaQuotes’ industry-leading software. The MT4 deal includes the free hosting of EAs.
Three MT4 mobile apps are available too: for the iPhone, iPad and Android devices.
The Forex.com asset selection covers some 200 products, including 84 currency pairs, more than 90 equities, as well as a bunch of commodities and indices, not to mention BTC – the most popular crypto currency.
As far as Forex trading goes, the maximum allowed leverage is 200:1.
Some 17 index-based CFDs are currently on offer, with maximum leverage of 200:1, covering all the major world economies.
The shares section allows traders to create custom stock portfolios, while broadening their trading opportunities. It has to be noted that shares are not available on all the supported trading platforms.
Trading-related Tools and Services
Forex.com lets its users automate their trading through APIs. This way, traders are free to implement and to automatically put to use their own algorithms and trading strategies. Full API support is offered, and any network-accessible programming language is apparently compatible with the Forex.com system.
Through GTX Direct, Forex.com users can access ECN liquidity, though only those eligible can take advantage of this feature. Who is eligible? Mostly institutional traders, high net-worth individuals as well as professional FX traders. Those looking to trade on the ECN model (which is commission-based) as well as those whose daily trading volumes exceed the $5 million mark, also fall into this category. Obviously, this facility is not for your rank-and-file retail trader.
In addition to the above, Forex.com offer a signal service too. The said signals are delivered in real time, by a team of experienced market professionals. To make use of the service – which is normally a paid one – traders have to manually sign up for the offer. This will get them 45 days worth of free expert signals. The signals are delivered through email and SMS.
Forex.com is a serious and solid forex broker. Serving clients in some 140 countries worldwide, it is regulated, and it observes strict policies regarding the protection of its customer’s funds.
The trading conditions offered by the brokerage are decent – as long and one sticks to the right assets – and the trading platform offer is downright impressive. The multitude of trading tools and services represents a major mark in the plus column as well.Please be advised that certain products and/or multiplier levels may not be available for traders from EEA countries due to legal restrictions.