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Month: December 2017

What to Look for on a Trading Platform

What to Look for on a Trading Platform

A trading platform is basically a software that is used as a channel of communication between a trader and a broker. This platform will provide all the information the trader needs to know, for instance quotes and charts. It also should have an interface that should be used for orders to be performed by the broker. There are different types of trading platforms, offered by different types of brokers in the industry. Some are locally based and others are web-based. Most of these trading platforms are offered free of charge. Those that have a higher functionality are offered at a fee though. More active members can enjoy platforms with more functionality too. There are many things to look out for when you are choosing a trading platform. Some of them are:

1. Whether or not it is free

Like earlier mentioned, most trading platforms are offered for free, unless those that have more functionality. If there is a nominal charge, you should ensure that the trading platform has additional features that will be important to your trading.

2. Availability of technical analysis tools

Technical analysis tools help a lot as they provide insight, allowing forex traders to understand information in price charts better. This is how you end up making better trading decisions. Some of these tools include statistics, technical indicators as well as chart overlays. With these, you should be able to break down important trading data to be able to make the best trading decisions.

3. Accuracy and reliability of quotes

When it comes to forex trading, accuracy and reliability of quotes are key. You need to trade in a platform that uses accurate trading quotes in the kind of trade you are interested in. This way, you will be able to avoid those quotes that could end up costing you a lot of money. Since the market keeps changing every minute, you need reliable quotes to be able to initiate a trade in a timely manner.

4. Options to help manage your account

Not all trading platforms allow their users the luxury of managing their own accounts. This is important though, for you to keep track of your account balances as well as the profits that are coming in. This should be done in real time as the market moves. You therefore should be sure that the software you are about to sign up for trading has some account management options in place for you to maintain tight control over your trading activities.

5. Automatic trading support

Automatic trading is now very important in forex trading. It can guarantee trading success; therefore, if you are using a trading strategy that focuses on strong automation, this is something you must check out for in the trading platform of your choice. Today, this is one of the most important features therefore all good trading platforms should be able to support and accommodate automatic trading.

6. Data security

Safety and security are very important to those people trading in the forex market. This is because chances of losing so much money to insecurity are high every day. You therefore have to ensure that the trading platform you are eying has put measures in place to help protect your account especially your personal data. Take time to understand how the platform operates on matters to do with data loss, data loss prevention, internal security protocols and any loss to personal data.

Finding a good trading platform will obviously not be easy but with plenty of due diligence, you will with no doubt settle to a platform that will offer you everything you need to trade successfully.

Stock Trading Applications You Should Know

Stock Trading Applications You Should Know

It takes time for one to familiarize themselves fully with the workings of the stock market. Before then, it can be a very daunting affair. For a beginner in stock market investing, it can take time before you are confidently able to trade without thinking of losing it all. The starting point is always the hardest because at that time, investors do not have the money or even the understanding that is required to invest like experts. That is why there are stock trading applications, meant to help investors get started. These are some of these applications that you should know about:

1. Hello money

This is a great application that allows investors to pick and choose the different stocks and funds that they want to invest in as they create their investment portfolios. There are basically over 24,000 different funds and stocks to choose from, with new ones being added to the list every day, giving investors a wide range to choose from. This is the best type of application for the savvy investors who are not afraid to try as many investments as possible.

2. Robinhood

This is a zero dollar commission brokerage firm that tries to make it easy for first time investors to invest their money in the stock market without being required to pay the typical fee. This fee can go up to 10 dollars for every trade one makes. The company is able to make money nevertheless, through its gold membership. It gives members up to two times their buying power as well as access to extra hours of trading. The company also earns some revenue from the interest collected on the cash and securities in its accounts.

3. Betterment

This is an application for those investors who need help with managing their investments. The app is basically an online investment management program from a company that wants to help investors achieve their maximum returns at different levels if risk. The company can help an investor generate higher returns than they would do if they were managing their own investments. It achieves this through portfolio diversification, lower fees as well as through automated rebalancing. The company uses an investment framework that is goal based in order to help investors stay on track and attain their long-term goals.

4. Acorns

This application is designed to help people start investing earlier in life through use of a simple investment experience. Investing through the company means investing directly in some of the major companies in the stock market. Every dollar an investor puts in is automatically diversified across so many bonds and stocks. The advantage of investing in this platform is that there are no trade fees or minimums. The prices are also very clear to the investor.

5. Wealthfront

This one is an automated investment management system that can help you invest and maximize your long-term returns. Such investment management services were in the beginning benefitting the wealthy investors, who could afford the high annual management fees. These days, any investor can enjoy its benefits. The application is web based, which means that it is easily accessible to anyone. It is also very affordable.

There is a lot that is required of an investor for him to succeed in stock investing. Such applications are meant to help them along the way. As a new investor, you may not have the time to learn everything there is in the stock market to start making smart investment decisions. That is why it will help a lot to pick a few of these applications to help you.