That online trading to put it simply, it is trading via the Internet. Traders and investors buy and sell financial instruments using web-based trading platforms provided by brokers or banks. provide liquidity traders trading decision The order (or order) is made on the trading platform and then sent to the broker immediately. Therefore, an internet connection is an absolute necessity. (which is what we call online trading)
Online trading has grown exponentially since the 90s due to the development of computers and affordable high speed internet connections.
- Internet: According to world statistical data, Internet growth rate is very high. And nowadays people are starting to turn to the internet for online trading as well.
- Computers: Moore’s law states that the overall computing performance of a computer doubles every two years, giving traders a fast internet connection. and can analyze data on their own computer as well
Both of these factors have fueled the rapid growth of online trading. It also opens a way to access financial markets for everyone in ways that we have never seen before. More and more people are being able to trade online, and it looks like it will continue to grow in the future. If you look at statistical data, there are over 1.7 billion people who don’t have a cell phone. connection to the financial system If you compare it to before the advent of the Internet era, only telephone, telegram and fax were available. You will find that online trading really offers a lot of benefits.
Online Trading – What is a Trader?
Traders can generally be divided into three main categories:
- Analysts: Traders in this group analyze the context and environment of the instrument using fundamental and technical analysis. Although we’ve seen regular traders use both of these types of analysis already.
- Traders: Traders in this group sell and buy instruments, such as CFDs, for a profitable return, whose profit (or loss) is derived from the difference between the buy and sell price on the position of the contract that has been placed.
- Risk Managers: Traders in this group must manage their anticipated risks in the market in order to remain profitable while continuing to trade.
The first and foremost aspect of being a trader is an expert in the financial markets. Traders research and understand how the market works. including how to read and interpret market movements and how to exploit and profit from it
Benefits of online trading
Before we had the Internet Traders and investors must handle all their transactions and requests only via mail, telephone and fax machines. In most cases, traders make buying or selling decisions by calling the broker. The trading process will take a long time. Because brokers have to confirm transaction information first, such as price, volume, trade type, trading period, market exit price, account details, etc. But when entering the digital age with the Internet. It completely changed the trading experience.
Differences between past and present trading such as
- Transaction costs when trading online are significantly lower than trading over the phone.
- Transactions are faster and more efficient.
- More variety of financial instruments to trade
- The platform can be used to execute trading orders right away. You must have an internet connection.
- There’s no need to do any manual calculations as (almost) every tool automatically calculates them in no time.
- Even the trendline is semi-automatic. That is, traders can insert a trendline directly into the chart with a double click.
- It’s easy to move, insert or remove tools and indicators in seconds.
- Access to online trading services, knowledge library, analysis, trading courses. and more online trading sites
I can see that the internet and computers not only make trading so much easier. It also adds access to tools, indicators and data analysis methods that are more efficient and easier to use. In the past, traders had to write their own charts on paper. And although computers began to be used more in those days. But traders still have to calculate the indicator’s levels and values manually anyway. The online trading platform is therefore a great helper that also offers multiple order types. It can be set manually immediately depending on the broker you choose to use.
The ability to use multiple order types is very useful as it allows traders to plan their trades precisely:
- Order to make an offer:
- Buy limit order (buying at a price lower than the current market price)
- Buy market order (Buy at the current market price)
- Buy stop order (buy at a price above the current market price)
- Offer order:
- Sell limit order (selling at a price higher than the current market price)
- Sell market order (Sell at the current market price)
- Sell stop order (selling at a price below the current market price)
- Close order:
- Stop-loss by closing the order at the pre-set loss level.
- Take profit by closing the order at a profitable preset level.
- Trailing stop, closing the order at a better level if the market continues to move in the desired direction.
Instruments and financial markets that can be traded online
Today, brokers can offer trading services for a wide range of instruments and financial markets. For example, a broker offers the following products:
- Forex market (foreign exchange)
- Trade multiple currency pairs such as EUR/USD, USD/GBP and USD/JPY.
- Commodity CFDs
- Trade CFDs on Commodities such as Gold, Crude Oil and Energies.
- Index CFDs
- Trade CFDs on DAX30 Indices, NASDAQ and more.
- Stock CFDs
- Trade CFDs on major world stocks such as Apple, Tesla and BMW.
- Bond CFDs
- Cryptocurrency CFDs
Here you can see that there are 7 different products for trading. In each category there are several instruments that traders can analyze and trade. For example, the Forex (or FX) market has a wide variety of currency pairs. which will be divided into ‘Major currency pairs’ (Forex Majors) such as EUR/USD , GBP/USD and USD/JPY, etc. The second is ‘Minors / Minor Currency Crosses’. ) such as EUR/JPY currency pair, GBP/AUD currency pair and GBP/JPY currency pair, etc.
The last part is ‘Exotic Pairs / Local Pairs’ such as EUR/NOK , NZD/SGD , USD/HUF, etc. are just a few examples. In fact, there are many other currency pairs that can be traded. Other equally popular financial instruments include Gold CFDs, Oil CFDs (WTI), CFD DAX30, Stock CFDs such as Facebook, Google and BMW.
What should a good online trading program have?
An online trading platform should be a tool that makes it easy for traders to trade and access the financial markets. Besides that Traders also need to use the trading platform for other uses. Here are some of the functional features that professional traders need in order to trade effectively.
- Market Order Management
- Management of exit orders from the market
- General management settings
- doing chart analysis
- Using indicators
- Replacing or replacing tools for analysis
- Using Expert Advisors
- Using a trading strategy tester
- news tracking (Fundamental Analysis)
- Tracking of open and closed orders
- Switching accounts back and forth quickly.
- Using multiple profiles for different analyzes
As you can see, the trading platform is not just for trading. A good trading platform can do a lot more than that.
Another thing that any online trading platform should have is its ever-growing community where not only online trading tutorials are shared, but also online trading tutorials. But it also requires support and technical troubleshooting. The most widely used platforms are those that have a large community and are very supportive.
The popular trading platform with open programming language has enabled the huge development of Expert Advisors and plugins from independent developers. These will help traders develop and build strategies. including a more efficient trading plan These can be found for free in the community of trading platforms, but there are also expert advisors and plugins developed by experts and available for sale.
It is therefore important to check the features of the trading platform before starting to use it. This ensures that the trading platform works the way you want and has all the features you need to make your trading as efficient and successful as possible.
Both of these trading platforms are very good programs for trading Forex and CFDs. The MetaTrader trading platform has an easy-to-use charting feature. And it’s also not difficult to control. If you want to learn more about trading, trading strategies, how to use the trading platform, etc.
The best online trading platform for Forex and CFD trading.
A good option for trading Forex and CFDs is the MetaTrader plugin for MetaTrader 4 and MetaTrader 5, which can be used to trade a wide range of financial instruments, including Forex, CFDs, CFDs, commodities and stock indices, among others. Even more by adding customized and developed tools as well. In addition to the features already available in MT4 and MT5
SE has additional special features such as
- mini terminal
- Trade terminal
- Global opinion
- Indicator package containing pivot points, renko and keltner channels.
- Tick chart trader
- Trading simulator
- Mini charts
- and many more
How to choose a broker for online trading?
If you are confident in the performance of your Forex broker then you can fully concentrate on analyzing and improving your various FX trading strategies. Researching before deciding to commit yourself to a particular broker is very helpful in the long run. It also increases the chances of a trader’s trading success.
When it comes to Forex and CFD trading, it’s important to consider choosing a good and suitable Forex and CFD broker. There are many things taken into account.
- Is the broker famous? and has been properly supervised or not You may need to look for a financial license. and the awards that the broker has ever received
- Does the broker have a fast, reliable trading program that will help with your trading strategy?
- Does the broker offer trading services in a wide variety of markets? Because some brokers may only offer trading services for one type of market, such as Forex or Stocks. You have to be very careful about it. If you want to trade more than one market instrument
- The broker has support, education. And a trading course to help you trade successfully? This could include articles, webinars, courses, etc.
- What are the trading costs? A good broker should be able to explain the costs of online trading in a transparent and thorough manner. and should be low cost
offers over 8,000 trading instruments and offers low spreads, low commissions. And there is a policy to protect the negative balance in the account as well. To provide clients with the best trading experience As well as increasing the chances of success in trading more as well.
we have a wide range of trading knowledge resources such as educational resources. Let you learn every detail, strategies, techniques. Including facts about the trading industry and financial markets.
We also charge low trading costs with spreads, commissions and swaps, and our trading costs are among the best in the trading industry.
These are just some of the reasons why more than 100,000 traders around the world choose their broker.
Tips to start trading online
when searching the internet You will find a lot of advice on trading. Almost everyone has their own opinion on the most important steps. and important tips for successful trading for new traders. It wouldn’t be easy to put all the opinions, experiences, knowledge together and come to a conclusion. But we’re trying to share some of the top topics that are discussed frequently.
Tip 1: Build a System and a Trading Plan
The first step is to create your own trading system and plan. How to trade will help you understand and know when to trade and when not to trade. It also helps to manage your thoughts and trading methods. Make it a habit to trade. Following your own trading style, whether your analysis is working or not, how is your overall trading setup? It is all necessary to assess the results of your own trading system and plan. This will allow you to learn the mistakes that have been made and improve your trading method.
Tip 2: Set Up Proper Risk Management
The second step is to understand the benefits of risk management. After you have tested your trading system and tried trading on a demo account. The next step is to enter real trading with real funds. Sometimes traders forget to think about the risks they can take when they actually start trading. As a result, the stop loss point is not used, which is very important in trading as it helps to limit the trader’s risk to the trade.
Another problem is that traders may trade with too much risk. by choosing excessive leverage for their trades. Traders who choose to trade at low risk will find a way to survive when their trades go down (lose trades) or the market doesn’t move in the direction they expected. With a small loss of money, there is an opportunity for a faster profit back when the market starts to move in a better or expected direction.
Tip 3: Match the trading system to your style and preferences
Traders are not quite sure which trading method is best for them. They often switch trading styles to try other trading methods. This is not wrong if it is a new trading start as new traders still need time to find the trading style and method that they are. best suited to oneself It is important to understand that one trading strategy might work well for ‘Trader A’ but not for ‘Trader B’. For example, ‘Trader A’ might be a profitable scalping trade. But for ‘Trader B’, there may not be enough time for scalping.
When to trade It is important to know the following details about their online trading.
- Are your financial goals short-term or long-term?
- What level of risk is acceptable to you?
- How many trading strategies can you follow and use?
- What motivates your trading and why?
- What trading style, what tools?
Tip 4: Try trading with a demo account
Traders do not need to risk their real investments from the start. But all trading and online trading strategies, analysis, technical strategies, indicators and trading methods can be tested and tried with a Forex demo account that simulates the experience of trading in the financial markets for you and allows you to trade without hesitation. Totally risky Trying out with this demo account is an important first step for a novice trader.
This document does not contain and should not be construed as containing investment advice, investment advice, offers or solicitations for transactions in any financial instrument. any references to past performance or statistics The behavior of such information may change over time. Before making any investment decisions, you should seek advice from an independent financial advisor to ensure that you fully understand the risks .