Forex is one of the largest markets with the highest liquidity that can’t be accessed by traders without the help of an intermediary. These intermediaries give traders access to the interbank market which helps them in making trades.

The sell or ask price is offered by the forex broker from the interbank market where they have the access to the liquidity. Some forex brokers use multiple liquidity banks and provide traders with the best pricing.

What Are Forex Brokers?

Forex brokers are the mediators that link traders with the forex market, allowing traders to trade the market. These forex brokers offer access to top-tier liquidity of the forex market, providing the best market price.

Types of Forex Brokers:

1. Dealing Desk (DD): Dealing Desk are the brokers that are referred to as the market makers. They usually offer fixed spreads and most of these brokers work by electing to quote below or above the real market price. They are a good option for new traders who do not want to trade with liquidity providers directly.
2. No Dealing Desk (NDD): No dealing desk gives traders direct access to the interbank market. A good NDD broker doesn’t require requoting of the price. No dealing desk brokers offer low and variable spreads which can change drastically with the increase/decrease in the volatility in the market.
3. Electronic Communication Network (ECN): ECN brokers actually display an order book that has details of the processed order as well as the prices offered by different banks in the interbank market. Traders are given access to this information to increase the transparency of the trade. Commissions are generally charged for every trade processed by the trader.
4. Straight Through Processing (STP): STP brokers pass the trade orders to the liquidity provider and do not interfere with the order execution transactions. STP brokers work with many liquidity providers that can increase the probability of getting the best market price.     

Features to Look for While Choosing a Broker:

1. Trading Conditions
2. Commissions: Commissions are the trading fees charged by the broker per trade placed. There are some brokers who do not charge commissions but have fixed spreads that are high, or have wider spreads. Traders must look for traders who are offering low spreads as well as fairly low commissions.
3. Leverage Offered and Margin: Leverage can increase the exposure of the trader in the market. The leverage offered is represented in ratio. Forex brokers offer a high leverage ratio that allows traders to open a large position with a relatively small amount of money which increases the potential profits. The margin is the minimum amount of capital that is required to open and hold a trade.
4. Spreads: Broker offers two types of spreads – fixed and variable spreads. The fixed spreads do not change and are high. On the other hand, where the spreads are variable, they are low. Traders choose brokers offering variable or fixed spreads, depending on their trading requirements.
   
   
5. Trading Platforms:

Trading platforms are the software that is provided by the broker to trade financial assets. It allows traders to open, close, and manage their trading positions. The trading platform offers an easy-to-use interface that eases the trading process. Traders must choose a broker that offers a trading platform that is easy to use, and also feature-rich at the same time, to execute complex trading strategies.

3. Responsive Customer Care Service

Efficient customer service can make trading simple and profitable. If any technical issues come while the position is open, it is better to have a responsive customer support team. Traders must check the responsiveness of the broker before going ahead with one.

Best Forex Brokers for Beginners

AAAFx

AAAFx is one of the most recognized brokerage companies founded in 2008. They offer a wide range of trading assets including Forex, Commodities, Indices, Stocks, and cryptocurrencies on the different trading terminals – MetaTrader4, MetaTrader5, and ActTrader.

AAAFx is regulated by HCMC (Hellenic Capital Market Commission, UK). They are an ECN broker that follows the segregation of funds model where all the information and funds of the clients are kept separate from other companies’ funds. They also have a negative balance protection feature that prevents the account balance from dropping to negative and even if it does, the broker resets the account balance to zero. Check out the detailed AAAFX review by clicking on the link.

Features of AAAFx

Account Features
Minimum Deposit	$10
Spreads (Minimum)	Starting from 0.1 Pips
Commissions	$1.98/ lot RT
Leverage (up to)	500x
Base Currencies	USD, EUR, GBP, and AUD
Negative Balance Protection	Yes

Fxview

Fxview is a brokerage company regulated by CySEC. It is one of the leading brokerage platforms with the lowest commission levels and offers multiple trading assets along with various trading tools, cutting-edge technology, and great client support.

Fxview offers the MT4 and MT5 platforms to traders. Apart from these platforms they also provide the ActTrader Platform for trading, as well as a copy trading platform – ZuluTrade. They  offer only one type of trading account which is an ECN account, for both beginners and experienced traders.

Features of Fxview

Account Features
Minimum Deposit	$50 (for global) and $200 (for EU)
Spreads (Minimum)	Starting from 0.1 Pips
Commissions	$2/ lot RT
Leverage (up to)	500x
Base Currencies	USD, EUR, GBP, and AUD
Negative Balance Protection	Yes

Click here to read the full Fxview review

Pepperstone

Pepperstane is one of the best and most trustworthy brokerage platforms that is regulated by various regulatory entities. They allow trading in multi-assets like Forex, Shares, ETFs, Commodities, Indices, and Cryptocurrencies.

Pepperstone offers four types of trading platforms- Mt4, MT5, cTrader, and TradingView.  These trading platforms are available on Windows and MAC OS for desktops and iOS and Android for mobile and tablets, and on Web app and WebTrader.

They offer two types of trading accounts – razor 0.0 and a standard account.

Features of Pepperstone

Account Features
Minimum Deposit	$200
Spreads (Minimum)	Starting from 0.2 pips
Commissions	For razor 0.0- MT4 – 7.53 RT/Lot MT5 – $7.00 RT/Lot cTrader – $7.00 RT/Lot Standard account- 0 commissions
Leverage (up to)	500x
Number of Base Currencies Supported	Nine
Negative Balance Protection	No

FxPro

Fxpro is a multi-regulatory brokerage company that offers trading in a wide range of trading instruments like Forex, Indices, Metals, Futures, Energies, Shares, and Cryptocurrency CFDs. They offer 4 trading platforms – Complete MetaTrader Suite (MT4 and Mt5), FxPro Trading Platform, and cTrader.

FxPro offers 6 types of trading accounts: FxPro MT4 Instant (with fixed spreads), FxPro MT4 Instant (with floating spreads), FXPro MT4 Market, FxPro MT5, FxPro CTrader, and FxPro Trading Platform.

Features of FxPro

Account Features
Minimum Deposit	$100
Spreads (Minimum)	Starting from 0.3 pips
Commissions	zero commission- FxPro MT4 market and FxPro MT5 account   zero commission- For FxPro cTrader account   Zero commission- FxPro MT4 instant (fixed spreads and FxPro MT4 (floating spreads)
Leverage (up to)	200x
Number of Base Currencies supported	USD, EUR, GBP, AUD, CHF, JPY and PLN
Negative Balance Protection	No

There are a number of options available when it comes to choosing a forex broker. Click here to find all Forex brokers. Traders should do their own research and choose a broker that fits in with their trading strategy. Prefer trading with a regulated broker with low trading costs and an excellent trading environment. Try their demo account before you actually commit to the broker.