Forex trading software has become almost pervasive in today’s trading environment, but which software performs the best? The answer to this question may be illusive because there are so many choices. This is dilemma is compounded by the fact that there is not very much margin for error because, with Forex, most people cannot afford to lose big in a live trading account. Demoing the various software offerings from various sources on a demo account first makes the most since and will definitely save money in the short and long run.
As previously stated, there are several sources competing online in the market so how does one go about finding the software solution that is right? First of all, it will depend on what your goals are. Do you plant to trade intraday, or do will you trade over the long term? The trading strategy that you use when trading is critical when you are considering purchasing a Forex trading software platform. After you have decided which strategy that you will use, conduct research on the Internet to find out which software platforms are performing well. Blogs are a great source for this type of information because people appear to be more open and honest about how they truly feel on blogs than they do on more formal Websites.
After you have combed two or three blogs about that Forex software that you are researching, it is time to take narrow down your selection. While this should be a very simple process, it could be very challenging. Here’s why: most of the time the software vendors manipulate emotions to buy by stating how much money that the software will make. So people are inclined to choose the platform that they believe will make the most money based on vendor hype. To select the right software that is required for the chosen strategy, try to get past the vendor hype.
After the vendor hype is past, it would be wise to open a demo account with a broker of your choice and test drive the software. Most of the respectable Forex software vendors provide some sort of trial period. Test the software with the demo account for one to two weeks to see if the software lives up to the hype. Testing the software on a demo account does not expose one to the risk of trading with real dollars that one would otherwise incur. After using the software over a period of days, one should be able to access if it meets his/her requirements.
In summary, there are several trading sources that are competing in the Forex trading software markets, and it can be difficult to recognize which software meets the requirements for a given trading strategy or approach. Use caution when deciding which software to choose because eventually real money will be invested using the software. Test drive the software with a demo account first to make sure that it is stable, user-friendly, and reliable on a demo account before it is tested in a live (real money) environment.