Although trading is an English expression, it has been adopted on the financial market in Poland. It basically means investing on the international Forex market and CFD market. Both markets are highly dynamic and investing on them necessitates cooperation with a broker.
The brokerage company provides its clients — investors — with access to trading platforms through which they can assume buy and sell positions on selected assets. What is the most important thing when choosing a trading platform that will contribute as much as possible to the trader generating the highest possible profits?
What is a trading platform?
Before we move on to discuss the most important features of trading platforms available to investors on the Forex and CFD market, it would be worthwhile to state what they actually are. A platform is a tool, or rather a set of tools, made available to the investor by the broker. Therefore, an agreement first needs to be signed with the broker in order to access a comprehensive investment platform.
The broker frequently allows the potential client to test its platform without an obligation to open an investment account and make a minimum initial deposit. This is called the demo version of the trading platform. The broker in fact opens a test account for the client, through which you can test the platform and its individual functions. Additionally, it puts virtual funds at the client’s disposal. They can be freely traded by testing investment strategies on the Forex and CFD market.
What type of trading platform should you choose?
Brokers provide various types of trading platforms (like xStation provided by XTB Forex & CFD Broker). Choose a trading platform depends on what type you need, these are desktop, browser and even mobile platforms. Initially, several years ago, trading platforms were essentially the same and allowed only for placement of buy and sell orders for selected currencies or contracts for differences. However, they are much more complex nowadays.
These are no longer only desktop platforms intended to be installed on your computer’s hard drive, but convenient browser and mobile platforms. Browser platforms work on all computers and the user can use them wherever they have access to a computer and the internet. Mobile platforms allow you to log in from mobile devices. Thanks to these two types of platforms, you can always keep your finger on the proverbial “pulse” when investing.
A trading platform suitable for the investor will be easy to operate and its individual tools will be intuitively used by the investor. At the same time, how orders are placed on the brokerage platform is crucial. The speed and reliability of placing buy or sell orders on selected assets often determines how much the investor will lose or gain.
To support the investment decisions made by traders, trading platforms should provide them with information about current market developments as well as advanced tools and indicators included in the technical analysis.
Sometimes, the broker ensures that the trading platform has a tab or section which allows the investor to become immediately acquainted with interesting investment opportunities. The platform must provide access to markets and financial instruments which are interesting to the trader — not necessarily only currency pairs, but also CFDs — contracts for differences. An easy to use the platform, with a friendly interface, with access to important and current data and information, which will not entail excessively high costs, will be an ideal solution for every trader.