Breaking down the brokers with the best trading platforms
Traders need the best trading platform to trade at their best. For that reason, we have assessed four leading brokers to help you find a trading platform that fits your trading needs.
Choosing a broker with the right trading platform can be a tough decision for traders. There are both major and subtle differences between the trading platforms that brokers offer and choosing the incorrect one can have a major impact on the profit and loss of a day trader.
Apart from the trading platform, other factors are also going to tie into a traders performance such as the trading commissions and the markets that are available to the trader. Also, in the unfortunate event of a liquidation of the company, it is always preferable if the trader is entitled to some compensation.
Don’t let all these considerations add unnecessary stress when choosing your broker. We have taken them all into account when analysing the brokers presented in this post. We have delved into the details so that you can place your priority where it needs to be, on your trading performance.
What did we take into account when assessing trading platforms?
Every trading platform needs to have a number of important features to be of consideration to a serious day trader. The capability to place a variety of different orders and access to technical analysis tools have become a necessity if traders are to stand a chance of competing with other day traders. The competition among active traders has intensified as technology has progressed and only the very best tools can provide traders with the information they need.
Other tools which have made trading platforms stand out is how they integrate with other resources such as news flow and economic data. Some of the best trading platforms have a real-time news flow integrated so that traders can keep up to date with key news developments.
After reviewing all of the factors, we generated a shortlist of four brokers that perform well across all. The four that made the list were the following:
Saxo Bank is not just a broker, they are a fully licensed bank. They are regulated by the Danish Financial Supervisory Authority (DFSA) and by numerous other regulators in jurisdictions where they operate. Saxo Bank is well suited towards traders with large account sizes. Smaller scale traders may find that the fees which Saxo Bank charge impact their returns too much. Day traders who do find Saxo Bank is a good match will find they have access to a wide variety of markets and high-quality trading platforms. Indeed, Saxo Bank provides access to over 35,000 markets which includes access to shares, forex, and futures among more.
Saxo Bank has two trading platforms which are unique to their services, SaxoTraderGO and SaxoTraderPRO. SaxoTraderPRO is a desktop client that has advanced technical analysis tools and enables the trader to manage multiple charts across multiple screens. The software makes executing a trade extremely straightforward and traders can navigate to making a trade within a number of clicks. There are a wide variety of orders available to the trader and there are orders available which are not typically available with other brokers. For example, there is the option to cancel all open orders at once. Users of the platform can also effectively place a stop-loss on their whole account whereby when the account hits a certain balance, all open trades are closed. SaxoTraderGO is similar software but is coded with HTML5 which allows traders to access the platform anywhere they can access the web. SaxoTraderGO does not have the depth of features that SaxoTraderPRO has but has all of the main features and is useful in enabling traders to access the platform straight from the web. Traders that primarily use SaxoTraderPRO can also login to SaxoTraderGO when they do not have access to their desktop.
Interactive Broker is one of the longest operating companies providing online trading services. The company was founded in 1977 and has been publicly listed since 2007 when it completed its IPO. The services of Interactive Brokers are available in 31 countries globally and the company complies with numerous regulatory authorities including the SEC, CFTC, and FINRA.
Interactive Brokers provide some of the most powerful trading platforms to their clients. This includes platforms accessible from web, mobile, and desktop. Interactive Brokers has features in their trading platform that go above and beyond what other platforms offer. The trading platforms have a built-in feature; IBot, which understands natural language text and voice commands. This enables traders to place an order by talking to the machine. There is also a variety of APIs offered by Interactive Brokers. The platform also have the basics such as technical analysis tools and the ability to place a wide variety of orders. Additionally, news flows can also be integrated into the platform. The desktop platform is the most powerful and has the most features. Overall, Interactive Brokers is a good choice for a wide variety of traders. This is mainly due to the versatility and depth of the suite of tools on the trading platform . This delivers a professional experience for any day trader and the competitive fees make the platform attractive for those with a smaller account size.
IG Group is another broker which has a long history of operation. The company has been in operation since 1974, originally from the UK but has since expanded its operations into multiple jurisdictions globally. The company is regulated by the Financial Conduct Authority (FCA) and several regulators in other jurisdictions where it operates. It specialises in financial derivatives such as CFDs and spread betting that provides traders with access to over 15,000 markets. These markets include access to shares, forex, commodities, cryptocurrencies, and more.
IG Group has a number of trading platforms that cater to traders ranging from beginner level to advanced. There is an online platform available and there are also applications which can be downloaded for mobile or tablet. For the desktop, traders can download the hugely popular MetaTrader4 (MT4). MT4 is a widely used desktop software that provides a wide range of technical analysis tools and other features. For more advanced day traders, they can link up their own front-end interface with the IG Group back-end through an API. They can also facilitate direct market access so that orders go directly to exchanges.
X-Trader Brokers is a more recently established company founded in 2002. Originally from Poland and is headquartered in Warsaw and publicly listed on the Warsaw exchange. The services of XTB are offered in multiple jurisdictions worldwide and the company is regulated and authorised by the FCA in the UK.
In terms of trading platforms and services, XTB caters for both retail and institutional clients. It’s trading platforms include MT4 and their own xStation 5 platforms. MT4 is a good option for traders that are familiar already with how to use the desktop software of MT4. XStation 5 has many advanced features that day traders are likely to find value in and is supported on mobile, desktop, and tablet. There are advanced order types available on the platform such as being able to close all orders at once and there are also advanced trading features including versatile technical analysis tools and market sentiment analysis.
One final thing before choosing the broker with the best trading platform…
There is a wide range of features to take into account when choosing a broker with the right trading platform. All of the brokers listed here cater to a wide variety of needs. However, before making the final decision on a broker, it is best to determine whether you have any specific needs for your trading. If you require access to a certain product or need certain trading tools, check on the broker’s website that they have the tool required before going ahead and opening an account. It is also recommended to take into account fees before signing up. While we briefly covered fees here, an understanding of the exact fee schedule of a broker will help traders remain profitable over the long run.