Trading forex (currencies) is increasing in popularity all over Australia and new forex brokers are constantly appearing to meet this demand. Finding a forex trading platform with local legal regulations is important for investors.
There is a multitude of forex broker options available for Australians, making the choice challenging for new investors.
This article will provide the best options based on our research, so you can find some trustworthy forex brokers in Australia to fit your needs.
Australian forex traders can participate in the global forex market 24 hours a day, excluding weekends. The forex market is not dominated by single exchange, there are four main areas of the forex market - Sydney, Tokyo, London, and New York. Sydney, in particular, is a major active Forex market.
The following periods are generally considered to be the most active in each region.
- London: 3 a.m. to 11a.m. (EST)
- Sydney: 3 p.m. to 12 a.m. (EST)
- New York: 8 a.m. to 5 p.m. (EST)
- Tokyo: 7 p.m. to 4 a.m. (EST)
Trading volume varies by session, but the highest volumes tend to occur when London and New York trading sessions overlap.
The 7 most traded currencies in the world are the U.S. dollar, the euro, the Japanese yen, the British pound, the Australian dollar, the Canadian dollar, and the Swiss franc. The Australian dollar is one of the most frequently traded currencies because it is closely correlated with commodity prices.
All forex brokers operating within Australia must be regulated by ASIC. This ensures public safety and security, and all brokers referenced in this article meet compliance regulations.
ASIC (Australian Securities and Investments Commission) is the integrated corporate, markets, financial services, and consumer credit regulator in Australia. It acts with the purpose of:
- Maintaining, facilitating and improving the financial system and the entities that operate within it
- Promoting confidence and participation by both investors and consumers within the system
- Administering and enforcing the law
- Publishing company and broker information for the public
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The following are 13 good forex brokers for Australian traders, divided into beginner and advanced categories. There are still many other good brokers outside our list and they may be more suitable for you than anyone on our list. (Thus, this list is merely for your reference, you should do your own research to find the one who fits you the most. )
Each forex broker was assessed and compared in terms of industry compliance, available investment instruments, platform features, awards, fees, and reputation. This list is in no particular order.
Let's start to find your best forex broker in Australia.
Mitrade is an online forex and CFD trading broker based in Melbourne Australia, regulated by ASIC (AFSL 398528). They offer over 300 financial instruments including forex, commodities, stock index, and cryptocurrency.
The trading platform is minimal-looking, intuitive, and much “cleaner” compared to Metatrader, which looks complex with a lot going on.
The minimum size per trade is as low as 0.01 lots for many markets. Leverage up to 200:1. You will enjoy seamless trading via both iOS and Android mobile apps along with the web platforms. Check the details on the trading platform and practice with a demo account!
#2 - GO Markets
Known mostly as a forex trading broker, Go Markets also offers binary options trading. With a good reputation and strong regulatory compliance, GO Markets is a reliable choice for many beginner and advanced-level traders.
#3 - Avatrade
Popular with newer traders, Avatrade supports smaller trades and features an intuitive easy-to-use platform. Compliant with regulations across five continents, the company has a solid reputation throughout the world. Based in Dublin, Avatrade has offices in several major centers, including Sydney.
#4 - FXCM
Now fully compliant with Australian legislation, FXCM was founded in New York and is now based in London with a presence in Australia. The company provides both standard and mini accounts, making it a solid choice for advanced and beginner investors.
#5 - IC Markets
Based in Sydney, IC Markets is one of the largest forex brokerage companies in the world, and one of the most popular in Australia and the far East. Focusing mostly on ECN brokerage, it only serves clients in countries where its services are legal.
#6 - CMC Markets
One of the best forex brokers in Australia, CMC markets has been around since 1989. Based in London with offices in Australia, CMC markets is one of the original currency trading brokerages with a solid reputation.
#7 - Pepperstone
Based in Australia, this award-winning company was established in 2010. It is highly regarded and respected, offering a wide range of trading options to Australian clients.
#8 - USGFX
USGFX, also known as the Union Standard Group, was founded in 2005 and is headquartered in Sydney, Australia. In addition to being regulated by ASIC, it also holds an Australian Financial Services Licence under the name Union Standard International Group Pty Ltd.
Popular with both beginner and advanced traders, USGFX offers four different account types: Mini Account, Standard Account, VIP Account, and Pro-ECN Account.
#9 - Vantage FX
Vantage FX is authorized and regulated under the name Vantage International Group by the Cayman Islands Monetary Authority (CIMA). The Vantage Group also operates other companies such as Vantage Global Prime, which is regulated by ASIC.
Vantage FX offers trading platforms that provide unique advantages to both beginner and professional traders. They offer a demo account for new clients to test a variety of order types and execution modes.
#10 - AxiTrader
Founded and headquartered in Australia, Axitrader is an award-winning forex trading platform designed by traders for traders. Formerly known as AxisForex, the company is reported to have a monthly volume of approximately $100 million.
#11 - Easy Markets
Recent award-winner and highly trusted, Easy Markets has earned a solid reputation in the marketplace.
With an easy-to-use platform, Easy Markets offers many unique features that make it attractive for beginners and advanced traders.
Hugely popular with Asian traders, ThinkMarkets is based in Australia and has a strong reputation for regulatory compliance.
While it offers services in several jurisdictions, this broker restricts activities in countries where certain categories of trading are not accepted by law.
#13 - City Index
Popular with newer forex traders, City Index offers an extensive range of financial products. Backed by GAIN Capital, the company has a strong reputation and offers reliable customer service.
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Most forex brokers cater to every experience level and the right choice is highly individual. As a general rule, beginner traders will benefit from simpler trading platforms and lower leverage levels, while advanced traders will appreciate more sophisticated tools and higher leverage.
***Kindly note that the info is accurate but these characteristics might change in the future.
Choosing the right forex broker in Australia has many factors. Here are 6 crucial factors to consider:
1. Transaction Costs
Whether they are commissions or in the currency spreads will affect every currency trader.
For example, the spreads can be the variable spread and fixed spreads. The larger the spread, the more difficult it is to make a profit.
2. Deposit and Withdrawal
Easy deposits and withdrawals from your account are essential for every trader. The broker may allow funding the account online via credit card, PayPal, wire transfer, bank check, or other ways. Some brokers make the process tedious. Careful research is necessary before opening an account in order to ensure that the withdrawal process is hassle-free.
3. Trading Platform
The platform must be stable without lags because some trades are time-dependent and require fast execution. Other factors to consider include the addition of technical/charting tools, a news feed, and any other information required to execute trades efficiently and in a timely manner.
5. Price Execution
Getting the closest possible market price for your orders is essential to ensure maximum profits. Your broker should be able to fill your orders at a price that is exactly at or within a few micro-pips of the market price.
The last thing to check when choosing a forex broker is their reputation and regulation, making sure that your broker is in a high level of security. Australian traders should choose a broker that is licensed by ASIC. Each broker should have this information easily available on their website.
How to Verify ASIC Authorisation?
Every Australian broker has disclosure text at the bottom of their website in the footer section. To verify ASIC authorization simply scroll to this section to find their AFSL number. The next step is to visit the ASIC website to validate their current regulatory status and check that the numbers are the same.
Mitrade is ASIC-regulated (AFSL 398528) broker.
Do you want a seamless trading experience? At Mitrade, you can invest forex, cryptocurrencies, indices and commodities via CFDs - contracts that track the change in value.
"Buy" or "Sell" at Mitrade- Get started
Popular Forex: EUR/USD, GBP/USD, USD/CAD, AUD/USD, USD/JPY, and others.
✔️Low deposit, Higher leverage
✔️More trading opportunities
✔️24 * 5 tradings, global markets
Yes. The only legal restrictions set by ASIC are in limiting credit card deposits to $1,000 when you open an account.
Yes. All profits on trades are taxable as income under the normal tax structure, and any losses cannot be claimed against income.
The highest volumes tend to occur when London and New York trading sessions overlap, from 8 a.m. to noon EST, so it is the best time for trading opportunities.
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The content presented above, whether from a third party or not, is considered as general advice only. This article does not contain and should not be construed as containing investment advice, investment recommendations, an offer of or solicitation for any transactions in financial instruments. Mitrade does not represent that the information provided here is accurate, current or complete. For any information related to leverage or promotions, certain details may outdated so please refer to our trading platform for the latest details. *CFD trading carries a high level of risk and is not suitable for all investors. Please read the PDS before choosing to start trading.
Risk Warning: Trading may result in the loss of your entire capital. Trading OTC derivatives may not be suitable for everyone. Please consider our legal disclosure documents before using our services and ensure that you understand the risks involved. You do not own or have any interest in the underlying assets.