If you're considering trading Forex in Canada, it's essential to be aware of the legal requirements and restrictions. These may include minimum deposits, IIROC regulations and regional restrictions.
Canadian traders have the advantage of selecting from a range of brokers. Account types, trading platforms and software may differ between these brokers.
AvaTrade
AvaTrade is an established Forex broker that offers a range of trading options, such as stocks, commodities and cryptocurrencies. The platform has been regulated in multiple countries and boasts impressive customer service and security measures.
On the AvaTrade platform, traders have access to a range of tools like a demo account and trading strategy calculator. Furthermore, AvaProtect, their risk management product, helps reduce risks by protecting traders against losses up to $1 million over an agreed time frame.
The AvaTrade website is user-friendly and packed with helpful features like the ability to open or close positions quickly with just a click. Plus, there's charting software with 93 indicators plus a watchlist for added convenience.
In addition, AvaTrade also features a research section. Here you'll find up-to-date news and events in the market, along with articles on economic calendars and trading tools.
AvaTrader's research offering is adequate, yet not as comprehensive or sophisticated as other brokers'. Their content comes from Trading Central, a third-party provider which specializes in technical analysis of commodities, stock indices, and FX pairs.
Like other brokers, AvaTrade provides a wide range of trading assets to choose from: 55 currency pairs, 16 cryptocurrency pairs and 27 commodities. Furthermore, it provides 58 ETFs, 44 options as well as 31 index CFDs.
Users can select from a range of trading accounts, from retail investor to professional. The retail investor account is ideal for individual traders while the professional account caters to professionals looking to utilize advanced strategies like hedging and scalping.
AvaTrade offers an educational section with video tutorials and written guides for new traders, as well as automated copy trading platforms to copy the trades of successful traders.
AvaTrade's fees are reasonable, and its services highly regarded. This broker is licensed in six countries and keeps client funds segregated. Furthermore, AvaTrade provides negative balance protection - if a trader loses more than their account balance, the broker will reimburse them the difference.
Oanda
Oanda is a US-based forex broker that provides advanced trading tools and analysis. Additionally, it offers low-cost trading as well as a demo account so you can test out your skills without risking real money deposits.
Oanda requires only $1 to open an account on a standard account, which is lower than other forex brokers and ideal for new traders who don't want to risk too much in the beginning.
It offers a vast selection of trading instruments, such as currency pairs, ETFs and commodities. The platform is user-friendly and intuitive to navigate; furthermore, their customer service team are helpful and accommodating.
OANDA offers competitive spreads that vary according to account type. Furthermore, they provide two pricing options - spread-only and core pricing - designed for different styles of trading.
Traders have access to an array of account currencies, such as US dollars, euros, pounds, yen and Swiss francs. Furthermore, they may create up to 19 sub-accounts in each currency for added flexibility.
They provide unique features that offer insights into trader sentiment and behavior, such as MarketPulse and Autochartist, along with real-time news feeds and calendars. Their economic calendars and pattern-matching engines are particularly beneficial for advanced traders who must stay abreast of trends.
The trading platform is user-friendly and accessible on both desktop and mobile devices. Its UI is clean and straightforward to navigate, featuring numerous charts and indicators that make technical analysis quick and efficient.
Oanda's customer support is available around the clock, but can be slow to answer queries; on average it takes 35 minutes to answer them.
Oanda offers support via phone, email or live chat. For the quickest response time, opt for phone support; its experienced customer care agents will gladly address any concerns promptly and effectively.
OANDA provides an impressive library of research tools, such as articles, videos and webinars on various subjects. However, these are often disorganized for ease of use.
Interactive Brokers
Interactive Brokers (IBKR) is a global broker/dealer providing access to over 135 markets around the world. It provides trading in stocks, options, futures, forex and fixed income products as well as providing investors with all kinds of investment tools for day trading.
IBKR is a member of the SEC, FINRA, NYSE and FCA as well as being affiliated with the Canadian Investor Protection Fund (CIPF).
In addition to stock and option trading, this broker also provides commodities, precious metals and other financial assets. This makes them an attractive option for investors looking to diversify their portfolios or trade cryptocurrencies.
Traders can access the Traders' Academy online hub for educational resources such as webinars, articles, courses and videos. The learning center is organized according to experience level and topic.
The Traders' Academy is free and provides courses tailored towards both novice and expert traders alike. It has an extensive FAQ section, Knowledge Base, as well as a Cyber Security Notice page which outlines how it keeps your digital information secure.
Professional traders and day traders will find IBKR to be a top-tier broker, but it may not be suitable for casual investors. Those with larger trading volumes will benefit from IBKR's tiered pricing system which offers lower commission rates when trading large volumes.
Interactive Brokers does not offer traditional banking services, but it does have a cash management account which allows customers to earn interest on uninvested cash. Furthermore, it provides debit card and bill pay services as well as 24/7 customer support.
Furthermore, the company boasts an expansive research library that covers a broad range of sectors and topics like stocks, options, ETFs, currencies and more. Furthermore, it provides social sentiment data, news updates and real-time quotes from market major players.
Interactive Brokers is the ideal choice for investors who seek to be socially responsible. Its Impact Dashboard, available free to all Trader Workstation, Client Portal and mobile app users, allows them to select their personal investment criteria based on 13 principles. Furthermore, they can exclude investments based on 10 categories like animal testing or corporate political spending.
XTB
XTB is one of the top Forex brokers worldwide, providing traders with an array of features and benefits that make it a great option. It provides traders with access to various trading instruments and global markets, plus tight spreads and numerous account options.
Clients can open accounts quickly and easily on the website. Registration is straightforward, requiring no minimum deposit for individual accounts. During registration, clients are asked for their name, email address and phone number as well as uploading ID proof that is current and in-tact.
At XTB, traders can choose from three account types: Basic, Standard and Pro. Each comes with its own set of trading tools and features. Furthermore, the broker provides a demo account as well as live chat customer service support.
The XTB platform is user-friendly and intuitive, giving traders access to thousands of global financial markets. They can place orders from any desktop, web, or mobile device and execute them securely on a dependable platform.
Clients at XTB can utilize a range of tools to trade successfully, such as charts, alerts and market analysis. Furthermore, they are invited to join one of XTB's Trading Clubs where they can connect with other traders in real-time.
XTB boasts a dedicated customer support team that is available 24/7 via phone, email and live chat. These experts are trained to answer your queries quickly and precisely; they may even assist in developing trading strategies tailored for individual needs.
XTB's website is user-friendly with an informative FAQ section. New traders can take advantage of a free trial account to test out the platform before making a commitment. Furthermore, the company is regulated by both Financial Conduct Authority and KNF, guaranteeing high standards in security protocols.
Leverage is an integral factor in successful Forex trading, and XTB provides leverage up to 1:30 for Forex trading and 1:5 for stocks trading. However, it's essential to remember that higher leverage ratios may increase the potential risk of losing money.