UK Broker

Jan 9, 2018
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#1
Could UK traders recommend what brokers they use as I've seen a lot of mixed reviews with brokers 'chasing stops' etc when spread betting.
Would i be better to trade forex DMA?

Any advice welcome!

Thanks
 

tomorton

Well-known member
Feb 28, 2002
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Exeter
#2
Stop hunting, whether done deliberately against your personal stops or because of whole market moves against everybody's coincident stops, can only hurt you if you trade very short-term. Spreadbetting is not the way to trade very short-term anyway, you basically can't win at it.
 
Jan 9, 2018
3
0
11
#3
Stop hunting, whether done deliberately against your personal stops or because of whole market moves against everybody's coincident stops, can only hurt you if you trade very short-term. Spreadbetting is not the way to trade very short-term anyway, you basically can't win at it.
Perfect, thanks for the feedback. Have you got any recommendations for brokers? as i can see you've been around a while so i imagine you've experienced one or two.
 

tomorton

Well-known member
Feb 28, 2002
7,056
916
173
62
Exeter
#4
Perfect, thanks for the feedback. Have you got any recommendations for brokers? as i can see you've been around a while so i imagine you've experienced one or two.


I'm only spreadbetting these days and no experience with actual brokers or CFD's. I'd definitely go for a UK-based, FCA-regulated firm. They should declare that they segregate clients' funds in separate accounts to their own operating capital. They should be members of the client funds protection scheme so that if they go bust your deposit capital is reimbursed.

In SB these are the big ones to look at first -
IG Index Limited (“IG”)
Gain Capital UK Limited (“Gain Capital”)
CMC Markets UK Plc (“CMC”)
Spreadex Limited (“Spreadex”)
Forex Capital Markets Limited (“FXCM”)
Monecor (London) Limited (“ETX”)
LCG (London Capital Group)

Try their demo accounts. But like I say, if you try to SB short-term you're effectively going head to head with these guys, not worth the bother. SB is fine for medium-term stuff, a few days to a month or two even. For longer-term (investments) the fees are too high to hold on.