WHO IS Forex CH?
According to research in South Africa Forex CH is a Swiss company founded in 2005 with headquarters in Geneva, Switzerland.
Forex CH, also known as GFX Group, is a broker that operates a non-dealing desk and provides STP (straight through processing) trading.
The company does not boast a broad array of satellite offices spanning the globe but only operates from out of its headquarters in Geneva.
It offers strong and useful trading products for those who seriously want to trade on the foreign exchange market.
SAFE OR SCAM
Forex CH is not regulated by any financial authority. It boosts its reputation by being backed by two financial institutions. Its financial condition is regularly audited by KPMG, ensuring that customer funds are protected at all costs.
PRO AND CONS
|1. Mt4 trading platform||1. No US based clients allowed|
|2. STP trading (straight through processing)||2. Awaiting Swiss banking license
|3. Fractional lot size for flexibility||3. Minimum $2 000 deposit|
|4. Not a regulated company|
Leverage enables a trader to get a much larger exposure to the market the person is trading than the amount deposited to open the trade. Leveraged products, such as forex trading, magnify a trader’s potential profit – but also increase the potential loss.
Leverage is expressed as a ratio, for instance 50:1, 100:1, or 500:1. Assuming that you have $1 000 in your trading account and you trade ticket sizes of 500,000 USD/JPY, your leverage will equate 500:1.
Margin is the collateral to cover any credit risks that may arise during trading operations. It is expressed as the percentage of position size (e.g. 5% or 1%), and you need to have enough funds in your trading account to ensure sufficient margin.
For example, on a 1% margin a position of $1,000,000 will require a deposit of $10,000. The margin level in a trading account needs to be equal or more than 100% to be able to open new trades, otherwise your trading account will be fully hedged.
At Forex CH the leverage ratio in 1:200.
It is not clear what kind of account types Forex CH has on offer. It does offer two distinct products to its clients:
- MetaTrader4 with an initial deposit of $2 000
- WinTrader with an initial deposit of $500
Traders also have the option of a demo account.
The most popular market instruments available from most brokers for trading include:
Forex trading describes the currency exchange market which refers to the global, decentralised marketplace where individuals, companies and financial institutions exchange currencies for one another at floating rates.
Commodity markets offer many investment opportunities for traders. Soft commodities have been traded for centuries and plays a major role in portfolio diversification and risk management. Investing in contract-based tradable goods is a reliable way to mitigate risk during times of economic uncertainty.
Equity, or stock indices, are actual stock market indexes which measure the value of a specific section of a stock market. They can represent a specific stock market or a specific set of the largest companies of a nation.
The trading of gold and other precious metals, along with crude oil, copper or petroleum, are hard commodities that play a major role in the commodities market and are contract-based tradable goods.
The typical feature of energy prices is high volatility due to the influence of political and environmental factors, supply and demand, extreme weather conditions and global economic growth.
Forex CH offer 33 different currency pairs to trade along with gold and silver.
Cost and fees depend on different factors, like spread and margins, and Forex CH clients may also experience different fee structures according to their country or place of residence.
Margin is the amount of money required in your account in order to open a position. Margin is calculated based on the current price of the base currency against USD, the size (volume) of the position and the leverage applied to your trading account.
This broker is a non-dealing desk broker offering straight through processing for client orders and variable but tight spreads on major currency pairs.
Trading spreads for major currencies traded on Forex CH fall into the 2 – 3pip range. The use of fractional pip pricing enhances the tightness of the spreads. For instance, EUR/USD has a spread of 2.5 pips and USD/CAD has a spread of 4.5 pips.
The spreads are even better for clients who trade more than 500 lots per month.
DEPOSIT AND WITHDRAWAL
Accounts usually requires a certain minimum initial deposit, which can be paid in several ways. Withdrawals can usually be done with the same ways, but sometimes differ.
The minimum deposit to open a live account with Forex-ch is $2 000. Funds can only be deposited or withdrawn through bank wire transfer or cheque (personal or bank). Account currencies can be based in USD, EUR, or CHF.
Forex CH allow trade hedging and scalping and there are no added fees or trade commissions for withdrawals or any other services. Withdrawals usually take about 48 hours to reflect in the traders account after a request has been made.
The forex trading platform provided by Forex CH to its clients is the software to carry out their trades. Some brokers provide only one, others quite a few platforms.
A multi-asset trading platform is one that allows clients to trade forex as well as other asset classes. The decision about which platform to choose will usually depend on what a client would like to trade.
Forex CH offers the following two trading platforms:
The world renown and popular MT4 trading can be downloaded onto desktop, smartphones or tablets and let traders take advantage of all the features that MT4 has to offer.
MT4 allows automated and chart trading and experienced traders can get everything accomplished in record time. The instant order execution streamlines the entire process and fractional lot sizes allow traders to enjoy an enhanced trading experience
The real-time account and margin information make it easy to stay abreast of what is happening with your currencies.
HOW TO OPEN AN ACCOUNT
Similarly to a bank, to register a forex trading account with Forex CH for the first time, you will be required to go through a basic “know your customer” process, which will allow Forex CH to ascertain that your submitted details and ensure the safety of your funds and account details.
The process for setting up an account takes a bit longer than with most other brokers. Brokers need to fill out and submit an online application. Then a faxed copy of government-issued identification, or a passport, must be sent to the administrative offices.
The minimum deposit must be made and when all of this is processed and finalized you will receive an email notification including login information. You are then ready to start trading.
Potential traders need to make sure the broker company they chose will offer sufficient support whenever they need it.
In the case of Forex CH customers can reach the support team in real time by phone, chat or e-mail.
Before starting to trade, potential clients of Forex CH should avail themselves of all possible information and trading skills needed to be successful in the world of forex and commodity trading.
Forex CH offers some educational material to its trading clients. It has a basic forex training section that can give new traders to forex an overview of the trading basics.
To be able to trade with confidence, traders should do as much as possible research about this kind of speculative trading before commencing, but also preceding every daring deal to ensure that they don’t lose money unnecessarily and trade as profitable as possible.
With Forex CH customers have access to daily market strategy commentary, and free trading signals from a third-party signal’s provider, forexsignals.net, which is a $189 per month value.
There is no indication on the web whether Forex CH has received any awards since its inception.
Although there is not much information available on the web regarding Forex CH it is up to the trader to decide whether it wants to take a chance with it.
Traders who want a solid and reliable currency trading experience, and those who are adept at navigating the forex world in general, will appreciate the power and the advanced capabilities of Forex CH’s MetaTrader4 software.
It offers trading with the MT4 platform which is steady and reliable. It is also obvious that Forex CH is designed with the more serious and advanced trader in mind.
CFD is a complex instrument and the use of financial leverage is associated with a high risk of rapid financial loss. Traders should consider whether you understand how the CFD working and whether you can afford a high risk of losing your funds.
It may not be suitable for all investors as it is a highly speculative and risky investment. Before trading, it is strongly recommended that you familiarize yourself with any potential risks associated with trading as well as with the trading rules of these financial instruments.
All information provided on Forex CH are of an informative base, is it intended for study purposes and does not serve as a specific investment or business recommendation, according to research in South Africa.
FOREX CH AT A GLANCE
|Broker’s Name||Forex CH|
|Countries not accepted for trade||US|
|Islamic Account (Swap Free)||No|
|Institutional Accounts||Not indicated|
|Managed Accounts||Not indicated|
|Minimum Deposit||MetaTrader4 – $2 000
WinTrader – $500
|Deposit Options||Wire transfer, personal of bank cheques|
|Withdrawal Options||Wire transfer, personal of bank cheques|
|OS Compatibility||Mac, Microsoft Windows, Mobile, Web, iPhone|
|Tradable Assets||33 currency pairs and for gold and silver.|
|Languages supported on Website||English – no indication of any other languages|
|Customer Support Languages||English – no indication of any other languages|
|Customer Service Hours||24/5 customer support|
Frequently Asked Questions
How many instruments can I trade with Forex CH?
You can trade several different instruments with Forex CH which include the following:
- 33 currency pairs
- Gold and Silver.
Which platforms are supported by Forex CH?
Forex CH supports the Metatrader4 and WebTrader platforms
Does Forex CH offer leverage?
Yes, Forex CH offers a maximum leverage of 1:200
Is Forex CH regulated?
No, Forex CH is not regulated.
Is Forex CH a recommended forex trading broker for experts and beginners?
Forex CH offers a trading environment for experienced traders, due to its high minimum deposit requirements.
What is the overall rating out of 10 for Forex CH?
The overall rating for Forex CH is 5/10
Featured SA Shares Writer and Forex Analyst.