Top 10 Best Scalping Forex Brokers 2020

Filippo Last Updated: October 2020 12 min read
Top Rated:

Would you like to give scalping a go, or are you a veteran just looking for the best scalping forex brokers?

Then read on.

We have searched for, and compiled a list of the top 10 brokers for scalping 2020 (even encouraging it, in some cases).

But that’s not all.

To understand this all better, let’s see what scalping is, and what features and services should be offered by a forex broker to be one of the best.

Table of contents

What is Scalping?

Scalping is a trading technique which focuses on profiting from the subtlest price variations of a financial asset.

The Scalper, is the trader who, more than anyone else, can achieve returns regardless of the general trend of the underlying asset. An index which loses an overall 2% value in one day could mean quite a few percentage points of profits for a good scalper.

A scalper doesn’t care for the trend direction of the financial asset, as long as it keeps moving.

But now, let’s see the list of the best forex brokers for scalping. At the bottom of the post you can find other useful information on how scalping works.

Best Forex Brokers for Scalping 2020

This is why we have prepared a ranking of the 10 best broker for scalping. These brokers, besides not forbidding it, favour it through several services aimed at excelling in the above-mentioned features.

Open an account
79.3% of retail investor accounts lose money

1. Pepperstone

Operating since 2010, Pepperstone has quickly become one of the best forex brokers in Australia and in the world (as its many awards can prove). The ECN access through cTrader with DMA (Direct Market Access), the low commission fees, and the reduced spreads make Pepperstone ideal for scalping thus our best scalping broker.

These features are great for making scalping very accessible to traders. Another key attraction is the fact that Pepperstone manage to keep trading costs low. This is achieved through having a very competitive spread that starts from 0 pips as well as an active trader program to help in further reductions. With a minimum deposit starting at just $200 and a range of social trading features that can help you decide on markets as well as trading availability through all the major trading platforms of MT4, MT5, and cTrader. It becomes quite clear why Pepperstone is a favored choice among a huge proportion of scalpers.

83
Rated: Excellent
security 96
cost 76
trading 70
education 100

Platforms: cTrader desktop, cTrader web, ZuluTrade, MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web, MAC Platforms Regulations: FCA, MIFID-ESMA, ASIC, DFSA, CYSEC, Offshore Minimum Deposit:
Open an account
74-89 % of retail CFD accounts lose money

2. IC Markets

Ranked as one of the top 10 best forex brokers in the world, IC Markets is one of the fastest growing brokers in Australia. The CySEC and ASIC regulated broker is headquartered in Sydney, and it has offices all over the world, including Vietnam and China. Its high financial leverage, low spreads, the absence of a withdrawal commission fee, the multitude of available trading platforms (including cTrader), make IC Markets perfect for scalping.

Much of this favorable nature for scalping is driven by keeping costs low with a very competitive spread that starts at only 0.1 pips and of course their lightning fast execution meaning you never miss a move. The fact that IC Markets boast a no minimum deposit policy also keeps them as a good choice for new traders and scalpers alike. With markets available on indices, commodities, stocks, futures, bonds, and crypto, there is also certainly no shortage of trading opportunities.

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
Open an account
76% of retail investor accounts lose money

3. Admiral Markets

Next on our listing of top scalping brokers is Admiral Markets. They are a top market maker broker also hugely popular for scalping and particularly well-regulated by both the FCA and CySEC. Scalpers are in for a treat here with more than 4,000 assets available for trading. This selection includes bonds, and even ETFs and cryptos among others. Admiral Markets continues to present value too through an accessible Prime or Standard account with minimum deposits of just $100 and spreads at great value from 0 pips on a Standard account.

Trading and scalping with Admiral Markets takes place through the top trusted platforms of MT4, MT5, and Webtrader, all of which are available. The broker also provides well for the future development of scalpers with a detailed education section offering a lot of free lessons and support on scalping and other techniques.

75
Rated: Excellent
security 96
cost 57
trading 58
education 100

Platforms: MT4 Dekstop, MT4 Web, MT5 Desktop, MAC Platforms Regulations: FCA, MIFID-ESMA, ASIC, CYSEC Minimum Deposit: 100
Open an account
75.54% of retail investor accounts lose money

4. FxPro

FxPro is one of the most famous Non-Dealing Desk forex brokers. An English broker famous all over the world for its quality of execution, innovation, and platforms, make this the perfect candidate for scalping. Through the development of several technologies, FxPro has always welcomed traders looking to easily automate their strategies (see cAlgo Algorithmic Trading, FxPro Library, FxPro Quant Strategy Builder, and FxPro VPS).

Another very welcoming factor for all levels of scalper is the fact you need only have a minimum deposit of $100 to get started. This, combined with the low costs that are supported by the 0 pips spreads that the broker offers, are both very important points for any scalper given the margins involved. If you open an MT4 account, you will also have access to fixed spreads. These may not suit everyone but do help you maintain an accurate trading cost.

76
Rated: Excellent
security 96
cost 51
trading 63
education 100

Platforms: cTrader desktop, cTrader web, MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web, MAC Platforms Regulations: FCA, MIFID-ESMA, FSB, CYSEC, Offshore Minimum Deposit:
Open an account
74-89% of retail CFD accounts lose money

5. OctaFX

Operating since 2011, OctaFX has been awarded the “Best ECN Broker in Asia – 2014” by the Global Banking and Finance Review, and the “Best Broker in Central Asia – 2014” by the Forex Report Magazine. The broker offers a wide range of assets, is highly liquid and ideal for scalping. They also offer great promotions, such as their trading contests, carried out through their demo accounts, which do however include real money prizes. Their 50% bonus on deposits is also extremely appealing as is the low minimum deposit of just $100 to start trading.

The costs too are kept low, with variable spreads from 0 pips perfect for scalping. Fixed spreads from 2 pips, or 0.2 pips with a $500 minimum deposit to open an MT5 account may also be attractive to many scalpers with this helping calculate costs at the same time as keeping them low.

72
Rated: Excellent
security 96
cost 60
trading 52
education 77

Platforms: cTrader desktop, cTrader web, MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web, MAC Platforms Regulations: MIFID-ESMA, CYSEC Minimum Deposit: $100
Open an account
79% of retail investor accounts lose money

6. AvaTrade

Avatrade is next on our list of top brokers for scalping and the Irish-based broker does not disappoint here. A favorite among European-based scalpers, the broker is globally operated and regulated. In fact, it is the perfect place for scalping with fixed spreads since that is what they offer at Avatrade.

The great value fixed spread starts from just 1.3 pips on forex with scalpers and traders alike attracted by this and the low barrier of a $100 minimum deposit, great for a top broker. Once you are inside, you also have a great selection of markets that includes 60 forex pairs all available for scalping. With all of the trading taking place through MT4, or MT5, traders know they can trust this broker. A further attraction, particularly for new traders, is the AvaProtect feature that temporarily shields you from losses. An amazing feature from any top broker.

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
Open an account
74-89% of retail CFD accounts lose money

7. Vantage FX

VantageFX is the next top scalping broker to make the selection. They have already been around for a number of years and gained a strong popularity among all types of forex traders. A strong degree of this support may have been garnered through the comprehensive regulation the broker has in place from ASIC, the FCA, and CIMA.

Scalpers will also be very much attracted by the ECN execution style that provides for maximum speed and efficiency through the 2 account types. Both the Raw ECN, and Pro ECN have competitive spreads that start from 0 pips and a respective minimum deposit of $500, and $20,000 for the big hitters. The range of markets with more than 150 available in CFDs and 40 forex pairs is also of great appeal for scalping through either the MT4, or MT5 trusted trading platforms available.

72
Rated: Excellent
security 95
cost 73
trading 46
education 80

Platforms: ZuluTrade, MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web, MAC Platforms Regulations: FCA, MIFID-ESMA, ASIC, Offshore Minimum Deposit: $200
Open an account
74-89% of retail CFD accounts lose money

8. FP Markets

FP Markets are another top Australian broker and one of our best selections if you want to get started forex scalping. The broker have been around for many years since their foundation in 2005 and are a very well trusted market maker broker that are already popular for scalping. They boast regulation from both ASIC, and CySEC.

One of the major points that helps to attract traders for scalping is the very low spreads on offer. These start from just 0 pips across the board and are perfect for limiting your scalping costs, a key to your success. The ECN/STP execution offered is also fast and highly efficient, another very appealing aspect of FP Markets. The low minimum deposit of just $100 can also be of great support in getting started if you are new to scalping, and you can’t go wrong with the experience of MT4, MT5, and Webtrader platforms all being available.

77
Rated: Excellent
security 95
cost 62
trading 70
education 71

Platforms: MT4 Dekstop, MT4 Web, MT5 Desktop, MT5 Web, Proprietary Desktop Platform, MAC Platforms Regulations: ASIC Minimum Deposit: $200
Open an account
72.90% of retail investor accounts lose money

9. HotForex

HotForex are next on the list of our top scalping brokers and they are something of a household name among all traders in the industry. Perfect for scalpers and others from top to bottom thanks to their variety of deposit methods and base currencies making it so easy to get started. The amazingly low $5 minimum deposit is also perfect for new scalpers.

The minimum deposit here for an ideal scalping account is $200 which is still competitive in the sector. This is well balanced by the fantastic value spreads that start from 0 pips. You can also try it out first with a free unlimited demo account. Making it most suited to those new to scalping is the negative balance protection available globally as well as the very well supported range of video tutorials, webinars, and more to help you keep growing in scalping and forex trading.

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:

How does scalping work?

The old (and correct) adage “let profits run, cut losses short” isn’t particularly relevant to scalping, at least as regards letting profits run. The scalper takes advantage of the market’s micro-oscillations, which have a set duration in time, from a few seconds to a few minutes, which is why it bears slim profits.

People who use this technique settle for small, yet fast, profits, continuously opening new positions on the market, trying to exploit its many oscillations, cutting losses to a minimum.

To take advantage of the continuous price variations, scalpers must dedicate several hours of activity to graphs, keeping a steady and constant focus and carrying out many operations. It isn’t rare to see scalpers performing even more than 100 operations in just a day’s trading.

You can read here for more details.

How does the Scalper Trader earn?

As we’ve already mentioned, given the nature of scalping, the profits earned with just one operation are quite slim, ranging from a couple of pips to a few tens, at most.

So, for scalping to produce real profits, traders must focus on two things:

  1. finding many trading opportunities throughout the day;
  2. having a high percentage of trades closed with profits.

Other categories of professional traders, generally speaking, aim at having a good Risk/Returns ratio (from 1:2 up), which allows them to sustain even smaller percentages of success, even below 50%, still generating profits. However, this isn’t the case for scalpers. Taking profits after such short times, the Risk/Returns value tends to be quite low, which forces scalpers to keep an extremely high percentage of winning trades to constantly generate profits.

This activity isn’t for anyone. Besides having solid technology assets (such as PC, monitors, etc.) and a fast, stable connection, scalping requires extremely high self-discipline and concentration.

Furthermore, obviously, it is necessary to work with a good scalping Forex Broker, preferably one from the list below.

How much money does scalping require?

In addition to the high psychological capital, scalping normally requires a certain amount of financial resources. Having to profit from small market investments (a few pips or points at a time), to have noteworthy profits, the investment volume must be kept high.

Therefore, scalpers must have an appropriately funded account, or else work on a high financial leverage, which however does notably increase risks.

The best financial assets for scalping

High liquidity assets are among the preferred scalping markets, to avoid that the lack of buyers and sellers increases the spread between purchase and sell price to an excessive amount, making profits harder to achieve over the short term.

Highly capitalized and traded assets are therefore favoured, such as indexes, forex trades, and other assets which tend to have a good quantity of variations over the trading day.

The forex broker features for scalping

Given this peculiar activity, it is necessary to find a broker presenting the following basic features:

  • Availability of high liquidity assets (high capitalized assets, index and exchange rates);
  • Possibility to analyze markets with several indicators, possibly customizable;
  • “Market depth” visibility;
  • Direct market visibility, not an “artificial” version of it (dealing desk);
  • Exclusive intermediation activity, possibly directly on the market;
  • Swift order execution;
  • High financial leverage;
  • Bare-boned brokerage fees;
  • Easy trading platforms, fast and intuitive.

Given the peculiarities of scalping, not all forex brokers encourage it. Some even forbit it.


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