Just like with stock trading, there are a large number of software programs you can use to make your foray into the foreign currency exchange markets.
You will find that you have two basic choices, either web based or desktop based programs. Which way you choose to go is entirely up to you. If you travel a lot you may want to opt for the web-based variety instead of having to haul around a laptop and trying to find a good Internet connection for it.
Most of the more reputable Forex brokers offer software programs to their clients at no charge, however the software they provide is usually very rudimentary at best and you may have to pay more to get the features you really need.
This is another issue to consider when choosing a broker to handle your exchange business. Many Forex websites have free demo accounts available which will allow you to experiment before you get locked in with one company or spend your money on something you don’t like.
Since the Forex market is constantly changing and evolving you will also want a software program that changes with it. Another issue that is absolutely crucial to your success in the Forex markets is a super fast Internet connection.
If you do not have DSL, at a minimum you will have a tough time. I recommend broadband. If you have dial up just forget about it. I will tell you again that you need the fastest Internet connection you can afford.
Another really important issue when considering a Forex software program is security. As a rule, web based software programs are much more secure than the ones that you install on your desktop.
The problem with desktop software is that it opens you up to a wide range of possible security breaches that could possibly leave your personal financial information vulnerable. Not only do you have the issue of viruses and Trojans, but you are also opening yourself up to loss of data due to hard drive crashes.
When you add the possibility of hackers getting into your system, that adds even more skepticism about using desktop based programs.
With web based software programs the majority of the security and maintenance issues will be taken care of by the software provider.
Internet based Forex software systems are hosted on secure servers with the most secure encryption technology available. In addition to the security issue is the protection of having all of your information backed up so it won’t be lost.
As I mentioned in the beginning of the article, another great benefit of web-based software is that it is available from anywhere in the world that you can get Internet access.
This is the way I chose to go since I do a great deal of traveling and I liked the fact that the software is constantly updated so I don’t have to always upload a new version to my computer.