Most of trading is conducted and executed digitally these days, and this convenience has increased its accessibility and contributed to its popularity. As many of us live in fast-paced environments with little time to do a little spare trading, having a good platform on which to trade is of utmost importance.
What to look for in trading platforms
Before diving into the five best platforms for trading, traders may wonder what makes a good trading platform. Below is a short round-up of the type of factors to look for when choosing the best platform for trading.
Firstly, a good trading platform should have real-time data of the type of instrument you are interested in purchasing, such as stocks, currencies, cryptocurrencies, and funds. Real-time data includes price movements and other trading information, presented as they happen. This is vital, as delays in displaying price chart data and movements can cause your orders to be rejected or put on hold, or it can cause you to lose money.
Secondly, a good trading platform should be equipped with the tools and indicators for technical analysis and trade execution. These include indicators on charts such as Bollinger bands, Stochastic oscillators, and different types of moving averages. Traders should also be able to customise market orders with stop-loss and stop-limit orders before opening a position.
Thirdly, affordability should be considered. The good news is that a lot of trading platforms are licensed to partner with brokers so that they are the default platform for brokers’ clients. In these cases, access is likely free. However, there are definitely pricey platforms that can cost quite a bit, especially if you trade completely independently, which is often the case for crypto traders.
Fourthly, traders should aim to choose a platform that has good customer service and ease of use. This can be tested by how easily you can withdraw money after making a deposit on the app. Traders should generally steer clear of platforms that have convoluted or pricey withdrawal processes.
Finally, a good trading platform will have an interface that is clear to read and easy to navigate. This is incredibly important, as it will have an impact on the efficiency of your trade execution.
Five best platforms for trading
Now that you have a good grasp of what makes a good trading platform, below are five best platforms and each one’s unique characteristics that set them apart from your run-of-the-mill trading experience.
-
MetaTrader4
MetaTrader4, or MT4, is a trading platform that has become a staple in many traders’ toolkit due to its compatibility with many instruments and brokers. It is licensed for forex exchange for many brokers, they are the default platform employed by them.
MT4 is quite a comprehensive trading platform, equipped with tools and indicators. It is also available on web and mobile, and its high server stability even on low Internet bandwidth makes it one of the most attractive trading platforms available out there.
-
TradeStation
TradeStation offers a wide variety of instruments including stocks, ETFs, options, and futures. Many pro traders favour this platform because it is fast and reliable, and execution can be done quickly and without fuss.
This platform also offers real-time detailed charting and a variety of indicators for technical analysts, and it is compatible with a large selection of third-party add-ons. Previously, TradingStation had a significant minimum deposit requirement and thus was largely employed by experienced traders. However, that has changed, and its client base has been trending younger in recent years.
-
TD Ameritrade
As an industry-leading financial services institution, TD Ameritrade has its own trading platform for its clients. One of the things that set the platform apart right off the bat is its incorporation of educational content. Traders who use this platform not only get an easy-to-navigate and reliable trading platform on desktop and mobile, but they also provide extensive educational programming. This makes it very attractive to beginner traders in particular.
-
WeBull
With the tagline ‘trade smarter, not harder’, WeBull is a popular broker with its namesake platform that targets all types of traders. Most notably, its low cost makes it supremely appealing. It offers free stock trading, $0-commission options trades, and completely foregoes per-contract fees. WeBull, like the other platforms mentioned, offer a user-friendly platform on both desktop and mobile, as well as advanced charting and screener tools.
Most importantly, WeBull is a platform with a slick interface which draws in the younger generation of mobile-first traders. The direct access to crypto trading also sets the platform apart from many other ones.
-
Fidelity
Fidelity is famed to be excellent in trade execution and low costs as well. Just like WeBull, it offers commission-free trading for US stocks, ETFs, and options, and they do not impose a minimum account deposit. Stemming from one of the largest brokers in the United States and globally, all types of US traders flock to the Fidelity trading platform because of high trust in its screeners and stable platform.
Fidelity uses the trading software Active Trader Solutions, a decision tech tool that can help traders make smart decisions before, during, and after trades. It also allows investors to accomplish financial targets and encourages them to formulate trading strategies with an abundance of research tools such as screeners, and it can be connected to voice assistants so traders can get updates on their portfolio and the market via speech.
The bottom line
Depending on your priorities and preferences for platform interfaces, choosing a trading platform should not be a difficult feat as there are many great available options out there. If you trade with a broker, you may even get a chance to try out demo accounts on their platforms without depositing real capital into your account, which is always a good option for novices. For experienced traders looking to make a switch, always double-check terms and conditions of brokers and platforms before investing capital.