1Broker Review

I’ve been using 1Broker.com for around 6 months and felt it was time for a review. First let me point out that I am not an experienced professional trader. I am a Bitcoin enthusiast that would not mind increasing the stash of bitcoins in my wallet. What attracted me to 1Broker was a discussion group in Slack for one of the many alt coins I have been investing spare bitcoins into. Again always trying to increase the value of my crypto wallets.

1Broker is a CFD trading exchange. They accept deposits in Bitcoin to fund your trading account. You can trade with up to 200x leverage on Forex currency pairs. In addition to Forex 1Broker also offers trading in commodities, certain common high volume stock tickers, indices and even Bitcoin/fiat pricing.

Leverage is scaled down on stocks, commodities and indices with some orders being limited to 10 to 20x leverage. Additionally there are some important bits of information that I want to share with you to help you NOT make some of the mistakes I made along the way. Let’s face it, doing something the wrong way because you were unaware of a rule or feature, stings when you take a loss because of it. One of the things that stood out to me, was a movement of 10% in a stocks direction will suspend trading for that stock. I got stuck in a GoPro position overnight that was heavily in my favor at the opening bell. However I could not close the position until the team at 1Broker unlocked the symbol. My profits decreased dramatically as the stock corrected and my profits dwindled.

One of the crucial things to keep in mind is opening and closing of markets. On 1Broker trading on Forex and Commodities you are exposed to the global financial markets swings. London open and close, China open and close etc. Trading on 1Broker Forex pairs is suspended on Fridays at 5pm EST GMT – 5. It resumes again on Sunday evening at 5:15pm EST. It should also be noted that there is a daily break from 5pm to 5:15pm as well.

Similar market hours exist for Commodities and the stock tickers following the opening and closing bell of the NYSE. You can read all about the 1Broker market hours here.

My Recommendations:

  • If you leave a position open overnight you are subject to financing charges if you use leverage. Use leverage only┬áif you apply it judiciously and can keep your greed in check.
  • Close your positions before the market closes for the weekend. You will just end up accruing finance charges for any open positions while trading is suspended.
  • Watch for short term trends for picking your entry and exit points. There is a guy that I highly recommend for Forex signalling and you can find him here.
  • Watch the forex calendar for news and major event signals. The markets tend to move a lot on news. Some traders take advantage of these events. I do as well.
  • Entering a position just before the 5:00 daily break, will incur financing charges at the 5:15 opening. You’re best bet is to wait until after the 5:15 restart. You avoid finance charges this way and you do not risk being caught on the wrong side of a trade when it resumes. You could literally ended up in a bad way. I ALWAYS close positions before the breaks daily and the weekend shut down as well.
  • Conversely you could be rewarded in a big way if the swing or banga moves favorably in your trade.

There is a lot of debate on whether the Forex markets are manipulated and controlled to take your hard earned money. My feelings are this; there is manipulation by central banks in all Forex currency pairs. It’s what banks do, they are in business to make money. Forex is just another method that they employ to increase their bottom line.

The takeaway, if you are brave, have the patience and time to learn about Forex and Commodity trading, go for it. 1Broker is the real deal, there stop loss orders actually execute as well as their limit orders. The interface is clean and easy to understand. They could stand to make a few improvements and over time I’m sure that they will. Recently they have been adding in additional pairs, stocks and commodities. My hope is that they can show a stocks daily up or down percentage along side of the ticker. What do you say 1Broker?