How To Correctly Choose Online Trading Platform
One of the first things you need to think about when picking an online trading platform is what features you need and realistically how much you will use the platform. There are dozens of trading platforms to choose from and each one offers many different benefits and choices to choose from.
Many online trading platforms have build in charting features. This allows you to use the same platform to execute your trades and at the same analyze different commodities and stocks. I recommend you test the platform before using it.
Most vendors give a full two week trial so you can see what you are getting and how the platform performs. There are many different type of platforms and each one has different technical indicators and abilities to back test strategies and systems.
My advice is to stick to reliable platforms from reliable vendors who can also provide you with tick by tick market data for the futures market you are trading.
If you decide to trade options, many platforms allow you to view the options chain and execute trades from the options screen.
Be Prepared When Choosing Online Trading Platform
There are several brand of online futures trading platforms that also provide level two screens. These are the same screens available to stock traders who want to see supply and demand for a specific stock. I don’t pay any attention to these numbers and believe they are useless. But many traders rely on these numbers and swear by them for analysis.
Another feature of the trading platform is the ability to back test automatic strategies. This is a great feature for anyone who wants to gain an upper advantage. Automated trading strategies are the wave of the future in commodity brokerage and you would be smart to pay attention to what the future holds for neural networks and other automated trading techniques.
In conclusion, I think you should test out each trading platform and make sure you feel comfortable trading it. I’ve heard horror stories about platforms doing unimaginable things like opening and closing trades on their own.
Good luck to you!