Black Pipper

Forex Dreamers

Top 5 U.S. forex brokers

Best Forex Broker in U.S.A

The sphere of investment and finance in the USA is particular. There are many exchanges in the country with an annual trading volume of tens of trillions of dollars, where investors worldwide trade. On the other hand, the dealers’ activities are closely monitored by regulators who fine and revoke licenses to violate established requirements.

Before we learn about the top 5 US forex brokers, we should know some facts about US forex brokers.

Features of trade in the USA

Trading is carried out according to standard schemes: a client registers, deposits in an account, and places orders using a trading terminal.

All customer accounts must be verified. The customers must provide:

  • a copy of an identity card (passport, driver’s license, or another document);
  • a copy of the document confirming the address of residence (telephone or utility bill, bank statement, or otherwise).
Also read  LiteForex Broker Review 2021

The documents must be translated into English and the translation certified.

Advantages and disadvantages of U.S. brokers

Opening an account with a forex dealer from the United States is worth it for several reasons:

  1. Regulator protection. If the account is blocked or profits are improperly debited, the trader can contact the CFTC or NFA. The representatives of the organization will thoroughly understand the situation.
  2. Availability of information. The broker honestly indicates what spreads are in effect and what commissions apply.
  3. Brokers submit weekly and monthly reports on transactions, which allows them to quickly prevent manipulation of quotes.
  4. Good tutorials, but in English.

American brokers have several disadvantages :

  1. Increased requirements for user identification. The client should be ready to mail copies of his documents with a certified translation into English. Also, the dealer may require confirmation of the legal origin of funds.
  2. High spreads. The difference in prices for buying and selling reaches 2-3 points for popular pairs. For unpopular ones – 40-50 points. Low spreads of 0.8 pips are rare.
  3. Additional commissions. American brokers can charge a fee for trading operations, and commission compensation for account replenishment is available only at an inevitable turnover.
  4. Leverage limitation.
  5. High requirements for the minimum deposit.
  6. The legislation does not provide for any compensation for clients in the event of bankruptcy.
Also read  What is the best forex broker in the USA?

US financial regulators

The Forex market is regulated by the NFA, a non-profit association of forex dealers. It was established in 1982 as an independent regulator for financial derivatives. The NFA operates on contributions from its members and is responsible for, among other things, issuing forex licenses (RFIDs). Every forex dealer providing services to US residents must be an NFA member.

There is also the CFTC, which is a government commission that does not directly supervise forex dealers. But the CFTC can order the NFA to protect the interests of investors from abuse.

American brokers who work with clients from worldwide.

Forex brokers from the United States work with residents of any country unless sanctions are imposed on a particular country. Citizens of the United States should pay attention to the following organizations.

Also read  Best Forex Brokers for US Residents

Here are top 5 US forex brokers in our view:

FOREX.com

The company was founded in 2001, has many licenses in Europe and the Pacific region.

OANDA 

It is a low spread broker with a minimum deposit of 1 USD. Many technical indicators can be connected to the trading terminal; there is support for MT4.

TD Ameritrade

The company has been working with investments for over 40 years. Lots of currency pairs, no trading commissions, there is a mobile application, trading 24/7.

ATC Brokers 

It is a dealer for experienced traders. Scalping is allowed, multiple bracket orders are supported, you can leave orders in the online chat and by phone.

American brokers are chosen by people who are ready to invest large sums of money and are not afraid to provide real information about themselves. 

1 thought on “Top 5 U.S. forex brokers

Leave a Reply

Your email address will not be published. Required fields are marked *