forex.wf forex forum binary options trade - Forex - Top US forex Brokers.
  • Welcome to forex.wf forex forum binary options trade. Please login or sign up.
 

Top US forex Brokers.

Started by admin, Jul 29, 2020, 09:08 am

Previous topic - Next topic

admin

Top US forex Brokers.
Do you live outside the USA? If so, the brokers listed below may not be regulated in your country. For our list of best internationally regulated brokers, see our global brokers list.
If you're a US citizen trying to choose between different US forex brokers, you've probably realized that your options are more limited than those available to international traders. US forex brokers must be regulated by the NFA or CFTC, and are subject to stringent restrictions which are designed to protect US traders. NFA regulated brokers must limit their leverage to 50:1 and conform to rigorous record-keeping and reporting requirements.
Nevertheless, there are a handful of NFA regulated forex brokers in the USA that offer reliable service and user-friendly platforms (there are also several US-based forex brokers that operate within the country's borders without the necessary regulation). We've tested the trading platforms, customer service and ease of use of the top US forex brokers and recorded our findings to help you choose the NFA regulated broker.
If you're looking for a forex broker outside of the United States, check out our forex brokers reviews list to find the broker that's appropriate for you.
Excellent trading conditions + NFA regulation.
MetaTrader 4, Proprietary platform.
CFTC, FCA, NFA, FSA, ASIC, IIROC, SFC, CIMA, MAS.
Excellent trading conditions + NFA regulation.
Up to 27% lower spreads vs top two U.S. brokers. Spreads starting at 0.8 pips with zero commission.
MetaTrader 4, Proprietary platform, Web-based.
Up to 27% lower spreads vs top two U.S. brokers. Spreads starting at 0.8 pips with zero commission.
Only NFA regulated broker that offers binary options.
Only NFA regulated broker that offers binary options.
forex Brokers Operating Under US Regulations.
Do you live outside the United States of America? If so, the brokers listed below may not be regulated in your country, and even if they are, you have a much wider pool of potential to choose from. For our list of best brokers regulated outside the United States, see our global brokers list.
If you're a United States citizen or even simply resident in the United States and trying to choose between different United States forex brokers, you've probably realized that your options are more limited than those available to international traders. Since 2010, the Dodd-Frank Act has been the major source of law governing forex within the United States, and its provisions were stringent enough to almost kill off the burgeoning American forex industry. All forex brokers able to offer their services within the United States, even including "introducing" forex brokers, must secure registration as a retail foreign exchange dealer from the Commodity Futures Trading Commission (CFTC) and as a futures commission merchant from the National Futures Association (NFA). Regulated forex brokerages in the United States are subject to very stringent restrictions which are (allegedly) designed to protect US traders, although many industry analysts suspect that such restrictions are more the result of intense lobbying by the options/futures/stock brokerage industry, which is a far bigger business there than forex has ever been, and are designed primarily to protect the interests of that industry rather than the interest of aspiring retail forex traders or investors. Interestingly, the Securities Exchange Commission (the SEC) has no jurisdiction over forex in the United States as forex currency pairs are not deemed to be a "security".

admin

An additional restriction placed upon U.S. forex brokerages is that they aren't allowed to offer CFDs (contracts for differences) as tradable products to their clients. Furthermore, NFA regulated brokers must limit their leverage to 50:1 and conform to rigorous record-keeping and reporting requirements. However, it is worth noting that 50:1 leverage is considerably higher than the maximum limit placed upon forex / CFD brokerages in the European Union, which regulators have set at 30 to 1. Both maximums are higher leverage than any forex trader should ever need to use anyway. Another well-known, tedious and frankly pointless restriction specific to the U.S. is an effective ban on hedging due to the FIFO (first in, first out) rule which stipulates that traders with multiple positions of the same size in the same asset must close a position opened earlier than a position opened later, as the rule's title suggests. This may sound painful, but two reasonably straightforward work arounds are opening two different forex brokerage accounts (it can be difficult to do this with the same broker) or always opening trade positions of slightly different sizes. The second option can be challenging to execute if you are not well capitalized. Despite these minor obstacles, there are a handful of forex brokers in the United States successfully maintaining NFA regulation offering reliable services and user-friendly platforms (there are also several "offshore" forex brokers operating outside the United States without American regulation, although most. brokerages outside the United States expressly refuse to accept U.S. persons as clients). We've tested the trading platforms, customer service and ease of use of the top U.S. forex brokers and recorded our findings to help you choose an NFA-regulated brokerage.
Before you start making comparisons to make a selection, you might ask, what are the characteristics of forex brokers regulated in the United States? They are primarily market-making brokers with few ECN / STP execution models available. Very few of them are well-known globally, and one or two of them are primarily futures brokers offering forex as a sideline. At least one broker falling into this category requires clients to have a liquid net worth of at least a quarter of a million dollars in order to trade forex even without using any leverage at all, and it is hard to see much sense in that when other asset classes are demonstrably far riskier. However, don't worry, it is still entirely possible to find a good regulated forex brokerage in the United States. If you're looking for a forex / CFD broker outside of the United States, check out our forex broker reviews list to find another broker that's appropriate for you.

admin

Top U.S.-Regulated forex Brokers.
The foreign exchange (forex) market runs 24/7, offers global currency pairs for trading. The market is driven by geopolitical developments, news, the release of macro-economic data, and related developments. On one hand, such a global market offers enormous trading opportunities, but on the other, it is challenging to protect individual traders from any financial irregularities. Thus, regulations were introduced through an established framework that ensures that financial intermediaries, like forex brokers, comply with the necessary rules to offer loss protection and controlled risk exposure to individual traders.
Learn more about the basics of forex market regulation in the U.S., as well as some of the popular forex brokers in the country.
Key Takeaways.
The Commodity Futures Trading Commission and the National Futures Association are responsible for regulating the forex market in the U.S. All U.S. forex brokers must be registered with the NFA. The Dodd-Frank Act, which was signed into law in 2010, constitutes the primary body of rules governing forex trading. Some of the most popular forex brokers include forex.com, OANDA, TD Ameritrade, ATC BROKERS, thinkorswim, Interactive Brokers, and Ally Invest.
U.S. forex Market Regulation.
There are two institutions responsible for regulating the forex market in the United States--the Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA).
Every forex broker operating in the U.S. must register with the CFTC. The laws enforced by the CFTC and NFA apply to both U.S.-based forex brokers, as well as any other forex broker who intends to serve clients in the country.
All U.S. forex brokers (including the introducing brokers) must be registered with the National Futures Association (NFA), the self-regulating governing body that provides the regulatory framework to ensure transparency, integrity, abiding of regulatory responsibilities, and protection of various market participants. The NFA also offers an online verification system called Background Affiliation Status Information Center (BASIC), where forex brokerage firms can be verified for having necessary regulatory compliance and approval.
One point to note is that the Securities Exchange Commission (SEC) does not have authority over the forex market because it doesn't consider currency pairs a security.
Daily trading volume has reached as high as $4 trillion in the forex market.
Dodd-Frank Act: forex Rules.
In the United States, the Dodd-Frank Act constitutes the primary body of rules governing forex trading. Signed into law in 2010 by President Obama, it reformed insufficient financial regulation that allowed too much leeway to financial institutions, which contributed to causing the 2007-2008 financial crisis.
These regulations have scared off both forex brokers and retail traders. There are fewer forex brokers currently operating in the U.S. compared to other areas in the world--primarily because of the regulations enforced by the NFA.
U.S.-Regulated forex Brokers.
This list of seven U.S.-regulated forex brokers--that remain after Dodd-Frank washout--is not in any particular order, and it is not comprehensive:
forex.com.
Owned by NYSE-listed parent company, GAIN Capital Holdings, Inc. (GCAP), forex.com offers many salient features like tight forex spreads, timely trade executions, a mobile trading platform, and numerous technical research indicators in 29 different languages.
forex.com trading offers integration across MetaTrader 4 or forexTrader PRO platforms. There are three ways traders can trade--advanced trading, web trading and mobile trading applications.
High volume traders get cash rebates, earned interest, and bank fees waived.
OANDA.
OANDA is another popular broker offering competitive spreads with no commissions and deep market liquidity, along with its OANDA Marketplace. It offers loads of features for forex traders such as forex tools, products, advanced analytical tools, forex news, training videos, and MT4 plugins from OANDA and associated partners.
You can start with a free demo. The site also offers benefits for high volume traders. You can get a discounted spread, a subscription with a partner platform, free wire transfer among other perks.
TD Ameritrade.
TD Ameritrade offers powerful charting tools, capable of comparing multiple currency pairs alongside each other, as well as providing any necessary technical indicators. Customers can also analyze social sentiment from Twitter. The brokerage also provides reputable third-party research tools from Morningstar and Market Edge.
The firm promises no hidden fees, access to its mobile trading app, and 24/7 support.
Verify a forex broker's status by using its NFA ID or firm name through the NFA's Background Affiliation Status Information Center.

admin

ATC BROKERS.
STP Execution, No Dealing Desk, Scalping Allowed, Multiple Brackets Order along with other risk management tools like breakeven capability, custom trailing stop-loss, and more enable ATC BROKERS to be one of the popular regulated brokers in the U.S.
The broker also provides access to news events and an economic calendar, along with support through email, phone, and online chat.
thinkorswim.
thinkorswim by TD Ameritrade is another popular U.S.-regulated forex broker that offers to trade in more than 100 global currency pairs.
You can sync the platform on multiple devices and customize and share your alerts. You can also get in-app chat and sharing, so if you need help, the representative you're communicating with can access your screen. And like TD Ameritrade, it promises no hidden fees, and data fees also don't apply.
Interactive Brokers.
Another popular broker having a global presence, Interactive Brokers claims to have low trading costs with high-level execution, global offerings, high-end trading technology, risk management tools, and trading tutorials.
It promises access to 23 different currencies, as well as 120 different markets in 31 different countries. You can stay connected to global markets 24 hours a day, six days a week.
Ally Invest.
Ally provides traders with comprehensive research and analysis, competitive pricing and robust educational resources. The trading platform includes a full suite of trading tools, 24/5 market access and a practice account for testing investing approaches.
The Bottom Line.
Regulations are a balancing act. Too little will lead to financial irregularities and inadequate protection to individual traders; too much will lead to a lack of competitiveness in global markets. One major challenge reported with U.S. forex regulators is that leverage provided is limited to 50:1, while global brokers, outside of U.S. regulations purview, provide up to 1000:1 leverage. Traders and investors need to take a cautious approach, ensuring security first.
Disclaimer: Information presented is as available at the time of writing this article, and may change in due course of time. The author does not hold an account with any of the mentioned brokers.