Best Forex Brokers and Online Trading Sites for Beginners 2020

Filippo Last Updated: October 2020 13 min read
Top Rated:

So, you’re about to embark on the world of Forex Trading and you’re looking for the best forex brokers and the best resources for beginners, right?

We know very well what it means, we have been there.

In this post I didn’t (purposely) insert dozens of brokers or sites.

The reason?

You don’t need it.

The best strategy to effectively start (and continue) is to keep everything as simple as possible and stay focused on a few items at a time (or just one, even better).

“Simplicity” is the key word.

Few sites, few resources, few choices, but of course, they are only among the best possible.

And hey… don’t forget we have our own Forex Market guide for beginners, that will explain with super easy words how this market works. Check it out.

Table of contents

Best Forex Broker and Trading Platforms for Beginners 2020

The first thing you need is a good Forex Broker. Among our personal list of the best forex trading platforms for beginners we have.

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75% of retail investor accounts lose money

1. eToro

Want to try something different from the classic brokers? Then eToro may be right for you. eToro is the best Social Trading network in the world.

What is Social Trading?

Basically, with eToro you don’t simply open a normal trading account, but you enter directly into a real Social Network, populated only by investors, many of whom are professionals.

You can follow them, interact with them, ask questions, get information, and, more interestingly, copy them automatically. In other words, you will never be alone.

The only thing you don’t have at your disposal is an efficient platform like the MT4, but you can only use the eToro Webtrader, which is still a good product. Added to this, you have an unlimited opportunity to practice with the eToro demo account which is unlimited and functions just like the real thing.

The other really positive point when it comes to trading on the eToro platform is that it is well renowned as being one of the most user-friendly social trading platforms in the business.

77
Rated: Excellent
security 93
cost 64
trading 71
education 72

Platforms: Proprietary Web Platform Regulations: FCA, CFTC, MIFID-ESMA, ASIC, CYSEC Minimum Deposit:
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73.57% of retail investor accounts lose money

2. XM

Next on our list of top forex brokers for beginners is another huge name in the industry. XM has been around for many years and is an instantly recognizable top brand in the sector. This brand recognition alone can help in attracting a diverse range of new traders.

There is also plenty to be attracted to with XM. They offer a range of account types, several of which are designed with new traders in mind including the XM micro account. This can be opened with as little as $5 minimum deposit. This means it offers a really easy way to get started with forex trading and you can also use their unlimited demo account.

On top of this, there are great swap-free options if you require an Islamic trading account and an abundant education section to keep you learning, with a selection of webinars, videos, and informative tutorials.

76
Rated: Excellent
security 96
cost 75
trading 55
education 81

Platforms: MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web, MAC Platforms Regulations: FCA, MIFID-ESMA, ASIC, CYSEC Minimum Deposit: $5
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79% of retail investor accounts lose money

3. AvaTrade

AvaTrade is another top name and well-trusted in the industry. The Irish headquartered broker boasts regulatory oversight from a number of the different top bodies in the industry around the world and this is music to the ears of any new trader. They are also one to offer fixed spread trading from 1.3pips so you always know your trading costs.

Their demo account is top quality and available for a 21 day period and with a minimum deposit starting from just $100 then you don’t have to worry about the high start up costs. Negative balance protection from the broker also means you can never lose more than your account balance. Added to that and perfect for learning the ropes, is the AvaProtection feature. This, when enabled, actually protects you from losses for a certain period. Ideal for when you are first starting or the market is volatile.

80
Rated: Excellent
security 93
cost 74
trading 75
education 63

Platforms: Mirror Trader, ZuluTrade, MT4 Web, MT5 Web, Proprietary Web Platform, MAC Platforms Regulations: FSA, MIFID-ESMA, ASIC, IIROC, FSCA, Offshore, FSC (British) Minimum Deposit: 100
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74-89% of retail CFD accounts lose money

4. FBS

FBS is next to feature on our listing of the best forex brokers if you are new to trading. Again FBS is a broker that allows you access to great value when starting out in the industry. This is showcased by their Cent Account that can be opened for just $10 minimum deposit and still with the excellent trading conditions you would expect from a top broker.

Another great addition is that of FBS copy trading through their own proprietary platform that can be fantastic for following the trades of others if you are not confident in being out on your own. This is not yet available to European traders though. In that case, you could try the 30-day extendable demo account for an extremely accurate practice with no risk.

FBS is one of the best choices if you want a top named broker with a very low deposit starting point.

74
Rated: Excellent
security 95
cost 72
trading 51
education 81

Platforms: MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web, MAC Platforms Regulations: MIFID-ESMA, CYSEC, Offshore Minimum Deposit: $1
Open an account
73.5% of retail investor accounts lose money

5. Oanda

Oanda is the next top broker for beginners to make our collection. There are a number of reasons why this Canadian broker can be considered one of the best around. Among these is the fact they bring a huge wealth of experience. From 23 years in the industry, they have also continued to adapt so they remain one of the most user-friendly brokers around. Another hugely attractive point for new traders is that Oanda do not have any minimum deposit requirement at all. This and allowing positions lower than $1 to be opened is a great way to manage your risk.

At your disposal here you will also have an unlimited demo account you can open, and if you are non-European then you can link your Oanda account with Zulutrade to enable a range of copy trading possibilities.

They are perfect if you want to trade with one of the industries biggest brokers at very low risk levels.

72
Rated: Excellent
security 97
cost 53
trading 51
education 100

Platforms: Proprietary Desktop Platform, Proprietary Web Platform Regulations: FSA, MAS, FCA, CFTC, MIFID-ESMA, ASIC, IIROC Minimum Deposit: $0
Open an account
72.90% of retail investor accounts lose money

6. HotForex

Next up for consideration as a top forex broker if you are a beginner is HotForex. Like all the names on our list, they are a household name to traders in the industry and a broker with international links around the world. You will be welcomed here with an unlimited demo account providing all the same tools as real trading, and a variety of account types starting from a minimum deposit of $5 -$50. Al round great value for a new trader.

You will have several trading platform options here too from Metatrader, though a very popular choice among new traders is the user-friendly and intuitive copy trading platform from HotForex. They also provide a really supportive learning environment with video tutorial, webinars, and more to help you improve as well as keeping your balance safe with negative balance protection employed around the world.

81
Rated: Excellent
security 96
cost 84
trading 58
education 100

Platforms: MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web Regulations: MIFID-ESMA, CYSEC, Offshore, FSC (Mauritius) Minimum Deposit:
Open an account
74-89 % of retail CFD accounts lose money

7. IC Markets

IC Markets also makes the list as a top Australian forex broker and a fantastic choice for new traders in the industry. They provide for lightning fast trade execution through their ECN systems and a trading cost that is hard to beat with spreads from 0 pips. All of this is available with a zero minimum deposit, ideal to get you started.

If you are into copy trading, then you can also link your Zulutrade account here, but perhaps most importantly for new traders, the educational structure is really great. There are stacks of information available including videos to help you learn and grow in forex trading. You can implement some of these ideas with the unlimited IC Markets demo account and even take advantage of the low spreads that are perfect for learning about forex scalping.

84
Rated: Excellent
security 95
cost 86
trading 74
education 80

Platforms: cTrader desktop, cTrader web, Mirror Trader, ZuluTrade, MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web Regulations: ASIC, CYSEC, Offshore Minimum Deposit: $0
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76.69% of retail investor accounts lose money

8. NAGA Trader

Another Social Trading network, this time of different concept, is Naga Trader.

Naga Trader is defined the “Tinder of trading”, but in this case you don’t swipe people, but rather trades of other investors, with the possibility to copy them if you like.

Naga Trader, in addition to a very advanced social network, has even developed a “trader radar” feature to find the traders subscribed in the network that are geographically near you.

Basically, being a beginner, you can easily find other traders with whom to share experience and advice. This works as a fantastic alternative to eToro for many new traders in the industry. One of the biggest benefits is the fact that together with having no minimum depositcryptocurrency deposits are also allowed.

This can be perfect if you already have a crypto balance or are looking for another top alternative to eToro.

71
Rated: Excellent
security 95
cost 56
trading 53
education 79

Platforms: Proprietary Web Platform Regulations: FCA, MIFID-ESMA, CYSEC Minimum Deposit:
Open an account
81% of retail investor accounts lose money

9. FXTM

With FXTM we again have one of the top ECN forex brokers in the world. They have a major name and presence in forex trading worldwide but cater especially well to traders in Africa. When you arrive here as a new trader, you will find a huge selection of 6 account types available. This includes a cent account with a $10 minimum deposit, ideal for starting out.

When you are ready, the fast order execution ECN trading account is available with a $500 minimum and you can also choose to try out the FXTM copy trading platform if that is more your thing. The broker is well supported by a solid educational system to help you keep learning and its support of African traders and base currencies in NGN and others make it the best choice for new African forex traders.

74
Rated: Excellent
security 96
cost 58
trading 54
education 100

Platforms: MT4 Dekstop, MT4 Web, MT5 Desktop, Proprietary Web Platform Regulations: FCA, MIFID-ESMA, FSB, CYSEC, FSC (Mauritius) Minimum Deposit: $100
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61.14% of retail investor accounts lose money

10. Instaforex

Last but not least to feature as a top forex broker for beginners is InstaForex. Again, they are active around the world but particularly popular with Asian traders. An unlimited demo account is immediately available here to help you learn the ropes as a new trader, and even then, the minimum deposit starts from an amazingly low $1. If you already are working with Zulutrade then you can link your accounts with Instaforex if you are a non European trader too.

Increasing the appeal of this broker is the fact that if you are a new trader to them, you can access a full trading course to continue your development. This could be invaluable to your trading future and make InstaForex a great choice for Asian traders and other beginners alike.

73
Rated: Excellent
security 96
cost 59
trading 57
education 78

Platforms: Mirror Trader, ZuluTrade, MT5 Desktop, Proprietary Web Platform Regulations: MIFID-ESMA, CYSEC, FSC (British) Minimum Deposit: $1

Best Online Forex Trading Sites and Resources for Beginners

Now that you have an account to work with, you need only one more thing, the most important one actually being a beginner.

You need information, and you need top quality.

1. Babypips

You won’t find anywhere else on the web with a better beginners course than the BabyPips one, called School of Pipsology.

Here you can find everything from the very basics, from what Forex is and how it works, to some really advanced strategies and concepts. All this, accompanied by quizzes to test your progress in your studying.

If you want a summarized version of the first part of the School of Pipsology, you can consult our guide How Forex market works.

2. Investopedia

The Forex market is part of a much larger and complex world, the world of financial markets in general.

On your long journey, you will definitely come across terms and concepts you don’t know the meaning or the function of.

Don’t worry, Investopedia has ALL the answers to your doubts. You will see what we mean when you use Google to search for information and you always find Investopedia among the first positions.

3. Forexfactory

The experience of participating in a Forum is a very important helping hand in your path of growth, from beginner to expert.

In a forum you can find the stories, strategies, tricks, advice and, in general, the direct experience of traders who started just like you, as beginners.

The ForexFactory Forum is definitely the biggest and most populated one in the world of Forex. Here you can really find some great resources. Sign up and utilize it as much as possible.

Choosing a forex broker for beginners: 5 tips

Armed with all the best information and training, here are five final tips to remember when choosing your first forex broker:

1. Demo account service

Opening a demo account is the best way to get a true feel for both a broker and the trading platform. It is completely no risk practice with virtual funds only, though demo accounts function just like the real thing so it is ideal.

For a complete forex beginner, look for a broker with an unlimited demo account to give you the most practice time. If you are feeling confident, then 30-90 days may be fine. When you feel you have the hang of it, you can open a real account, but remember that opening a demo account does not oblige or tie you to that broker in any way.

2. Low minimum deposit

Typically, the standard minimum deposit with many top forex brokers is $200. With that said, the market is very competitive so you can now find some brokers as above, with no minimum deposit at all, or one that is very low. This means, lower risk for you and is something you should be on the lookout for.

3. Risk Management services and tools

One of the key things you want to make sure of as a forex trader, is that you are protected. As a new trader, you may not know all the points about each regulation yet. You should know though that things like negative balance protection, segregated funds, and margin stop losses, are all positive features for your protection. These are all mandatory within Europe and the UK thanks to ESMA regulations. Outside these areas though, be sure to research the regulator of your broker first.

4. Education section

We never stop learning. Especially if you are new to forex trading, make sure you find a top broker with a great educational infrastructure, and be sure to use it. This means taking the lessons, watching the videos, attending the webinars, and everything they offer. Learn about the platforms too as this can stand you in good stead for the future with many brokers using the same trusted trading platforms like MT4, MT5, and cTrader.

5. User friendliness

Nobody likes a complicated layout when they are learning something new. Look for a broker that makes the process easy to understand and as user-friendly as possible. eToro, their site, and proprietary platform is a good example of one that is very good in this respect.

Not feeling confident? Try CopyTrading!

If you still have not built the confidence, or maybe you just want to save time, or sit back and let others do the trading. In that case, why not try copy trading? This allows you to literally copy the trades of others and earn or lose depending on the profit and loss of that person.

There are a variety of ways to copy trade, they may be built into the broker platforms like eToro, or could be offered by third-party brokers like Zulutrade. They are one of the best copy trading platforms around.

You can open an account with them and connect it with your regular broker account to start copying other traders as long as you have a balance of at least $100. As you will have seen above, Zulutrade has connections to many of the top forex brokers if copy trading is more your style.

Did you know that thanks to Social Trading you don't have to be a Trader to earn like one? OPEN AN ZULUTRADE ACCOUNT AND TRY!

74-89% of retail CFD accounts lose money


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