OANDA Review – Leading the Way in Online Forex Trading
- WebTrader, Mobile App and MetaTrader4
- Company: OANDA Australia Pty Ltd
- Founded: 1995
- Headquarters: Australia
- Phone: +61 2 8046 6258
- Email: firstname.lastname@example.org
In 1997 OANDA became the first company to share free exchange rate information over the internet. The company founders, a computer scientist and an economist, recognised that technology and the internet would open Forex trading to all. Within a year OANDA was supplying audit firms and tax authorities with corporate Forex solutions. Over the years the OANDA has grown to trade into almost every country across the globe. It has offices in eight financial centres and has tier one licences in six. These include: The United States, The United Kingdom, Japan, Canada, Singapore and Australia.
Trading Platforms and Features
OANDA makes it easy to trade on the currency markets. They offer three trading platforms. Each has its own features and benefits.
OANDA’s own trademarked platform has won numerous awards for its ease of use. Launched in 2001, the FxTrade platform was the world’s first automated Forex platform.
Fx Trade gives traders the use of proprietary charting. Add to this advanced charting from Tradingview and technical analysis from Autochartist. The platform supports web trading, desktop and mobile trading apps.
Market and limit orders are quick and easy to set up on the system and you can trade directly from the charts. When you sign up with Fx Trade you’ll benefit from complex order types including buy, sell and trailing stops. You’ll have four different order options along with stop loss and take profit.
In addition, you’ll have access to research, market analysis and newsfeeds along with a full toolbox of features and resources available in ten languages.
You can also choose to use automated trading. This allows you to trade in multiple markets simultaneously and create notifications for exit and entry positions among other things.
Despite having its own proprietary platform OANDA also offers users one of the best MT4 options on the market with its 28 plugins. The MT4 platform combines an intuitive interface with functional trading.
The platform offers sophisticated analysis tools and customizable layouts. This is why it has become the most used trading platform on the web. Use the platform to examine up to four charts at once, customise your charts and move seamlessly between financial instruments.
OANDA has recently added MT5 to its platform offerings. MT5 has all of the benefits of MT4 and then some more. Instead of 9 timeframes, you can access 21. There are six pending order types as opposed to four in MT4. These are but a few of the upgrades available on MT5.
Would-be traders can use the OANDA demo account to learn the ropes for as long as they deem fit. Though a number of competing products include a demo account, many set time limits on its use. The demo account has most of the functions of a live account so you can use it to get to know the platform and markets before you venture in with your own funds. When you are ready you can upgrade to live trading.
Trade from anywhere at any time by smartphone or tablet. The OANDA mobile app is easy to navigate and use. The platform migrates well and includes most of the functions available on the desktop version.
Conditions of Trade – Market Instruments
OANDA traders can only trade in Forex or CFDs. OANDA offers trading in 45 currency pairs. CFD options include commodity, stock, metals, bond and index options. The CFD choice depends on where you are. OANDA also offers traders a range of spread betting options across a number of asset classes. Leveraged trade is an option with maximums set by regulators in the various geographic areas.
Deposits and Withdrawals
Traders can use their debit or credit cards to deposit or withdraw funds free of charge. There is however a fee for the second and subsequent card withdrawals in a month. Bank wires and PayPal options are also acceptable. Traders do not have to make a minimum deposit to trade on OANDA but you should ensure that you deposit enough to cover margins and trading fees.
As with most traders OANDA earns its commission through the spread. OANDA charges a reasonable fee on both Forex and CFD trading comparable with similar trading companies. In addition, OANDA does not charge for deposits or withdrawals, though bank fees may apply.
OANDA uses an electronic platform to calculate the spread. This platform collects the latest information on FX and CFD rates from major banks. It monitors market volatility, widening spreads in response to increased volatility. The platform will charge a fee of $13 for inactivity if the account has been inactive for more than a year. This does not apply when there is an open position.
One of the most important issues when it comes to investment and trading is the security of your funds. Too many people have lost money to scams over the last few years. OANDA has been around for a long time and is considered low risk. It is fully regulated, keeping customer funds separate from operating funds. This means that if OANDA had to go bankrupt, it would have no impact on your deposit. The platform also offers negative balance protection. The organization does not run a bank nor is it publicly traded.
OANDA ensures cybersecurity through advanced firewalls, encrypted servers and personal data protection.
In the trading environment, time is money. If you have problems with your software, you’ll want quick and effective customer support. OANDA offers multilingual support 24 hours a day, five days a week.
Is OANDA For You?
OANDA has stood the test of time. They have led the way in Forex trading and their platform has won several awards. Still, if you’d prefer to use the popular MT4 or MT5 platforms, these are also on offer. It takes no more than $1 to open an account. You can use the demo account to strategize and learn the ropes and when you’re ready to start trading you can place orders directly from the charts.