Nzer starting off with FOREX

[ghost]

Hi guys I'm wondering who is a trustworthy broker to start forex trading with. It appears CMC markets is the biggest in NZ? But they seem to have some pretty dodgy stories.
I would like to sign up with someone who offers a demo account too.

Thanks guys

[Pumice]

Hi guys I'm wondering who is a trustworthy broker to start forex trading with. It appears CMC markets is the biggest in NZ? But they seem to have some pretty dodgy stories.
I would like to sign up with someone who offers a demo account too.

Thanks guys

Have a look at OANDA, they are one of the largest. I have been with them for about 10 years and have found them to be pretty good. I dont think you can set your primary funding currency as NZD though if thats an issue.

Unfortunately the Forex thread on here is all but dead.

[000831]

Have a look at OANDA, they are one of the largest. I have been with them for about 10 years and have found them to be pretty good. I dont think you can set your primary funding currency as NZD though if thats an issue.

Unfortunately the Forex thread on here is all but dead.

Hi Pumice, what's the margin they have for currency trading, really like the NZD/AUD trend

[Pumice]

Hi Pumice, what's the margin they have for currency trading, really like the NZD/AUD trend

leverage on the majors is 50:1 (I would never recomend using that amount) Minors are 20:1
Spreads are pretty tight on the majors during normal trading hours (except news events)
between 1.5 and 2.8
What i like about OandA is you can trade any size you want, which is handy as they have changed the rules so that trades of the same size and pair use a FIFO rule. (that can now be avoided by adding 1 unit)

[macduffy]

Are you people serious?

FX trading is a professional business - as opposed to taking a punt on an exchange rate. You are up against full-time teams of traders with the latest tech aids, trading in millions, moving markets for the smallest of margins in the blink of an eyelid.

Are you feeling lucky?

[jennym]

if you have a strategy that is indepent of what instrument that you trade(eg if you are just wanting to catch part of a trend) then oanda is a goodie because they have bonds, indexes, fx, comodities. that is a good range and if there isnt a trend in one area then chances are there is one in another area. also there isnt too much to scan for your desired setup/s.
they dont do shares though. does it matter? i think not unless you especially like shares.

[peat]

agree with Pumice, while it is easier to set up an a/c with CMC as there are no o'seas transfers involved , the Oanda trading platform is superior in all respects and offers much more flexibility in trade sizing as well.

[ghost]

Cool thank you very much for your replies!
So if I start using Oanda, I will have to convert my investment into USD first? Sounds alright.
Do you guys reckon $3000 is too little to start with? I am a student...

[ghost]

Anyone? Or am I dreaming

[jennym]

i dont know how much you know about fx.

start with much less than $3000.
you should start with a demo to get started with the basics.
just about all brokers have a demo. you will need to get a feel for how the platform works etc. you will also need to scan for setups in what ever strategy that you are using.
i dont know anything about oanda but people seem to like it and trust it which is important.
fx is as much about risk management as about making winning trades.
you have to get very good at your chosen strategy to get the win/loss ratio that will let you win overall.

once you have gotten used to the demo, open a small live account, $500 or $1000 and never risk more than 1% of your account on any one trade. that is the distance from your entry point to your stop loss. there are tools and explanations as to how to do this on the internet.

maybe less than $500 in your account. once you get good and you get consistent then add more to the account then

should you choose to go with oanda and you need to convert to us dollars, our exchange rate isnt too bad.
there are heaps of brokers around though.

there is alot to this and it is not easy. i am a bit of a starter also and am looking for a broker also.
there are brokers that will let you do it in nz dollars.