Today we’re gonna be kicking off this series on brokers with Oanda which is a broker app. I want to give you my thoughts on what I’ve observed and what I think works with them, what I think might be improved in the future, and just a quick overview of what things I’ve been noticing with that broker. As I said, this is a broker I love and I’m only going to be talking in this series about regulated brokers, not like most of the crappy brokers you see online. So, I would recommend you use that if you wanna open an account with Oanda, or any broker I’ll talk about.
First one being the platform. So when I first opened an account with Oanda, their own platform was kind of crappy. They had what we call in this, they had FX trade, but back then it wasn’t really the best platform ever. It was good for the time I guess, but not super, super good. And since then I think they improved a lot. They added a function to the platform called advanced charting where you can open a chart. It’s very similar to trading view and you get a bunch of cool features there, like having multiple charts straight from FX trade, from the platform. But it’s just better to analyze and you can steer your trades there, place online, draw like on trading view, which is awesome if you’re not subscribed right now to a TradingView. The other thing they added a little bit later is the integration with TradingView so you can now connect your account to TradingView, place your trades right there on the platform. And that means you don’t have any more to go back and forth between two platforms to place your trades, look at a chart, and just have everything at the same place, which is very helpful. We’ve been waiting for this a long time and they finally got it, which I’m really happy about. So their platform, nothing to say about it, I just love it. They also integrate with MetaTrader 4, which is perfect if you’re gonna run algos and things like that. So the only thing to say about this.
The second point I have is leverage and money management. So in other words, how can you put leverage in your account and how can you manage your money properly in that account. So it’s probably going to depend on where you’re located at this point because Oanda allows us to open an account in different countries. Right now, the maximum amount of leverage I can reach in the account is 50 to one, which for serious traders is gonna be enough, if you’re gambling and trying to make a lot of money fast, it won’t be enough, but in my opinion, that works out pretty well. They used to have a lot more before, but now that’s what they have, so totally fine with that, no problem with it. I also like how they organize the online interface, which is, you can kind of create sub-account, and most brokers, I think, allow this. I think Oanda does make it more simple to create different accounts for different strategies you have. Some with PENTA Traders, some the PENTA Trader 4 and that for me is pretty big, I kinda like that so you can separate your strategies easily with different accounts and they’re all in the same brokers, so no need to open multiple accounts. So that’s, I think, a pretty cool feature.
My third category is about withdrawals and I think this is a problem for a lot of traders that wanna withdraw their profit. They have a hard time doing it. And with Oanda, it’s been really tricky at first because when you deposit money in your account, you gotta withdraw it the same way. You gotta withdraw it by credit card which could be tricky sometime. If you have a lot of profit that you wanna withdraw, then they’re gonna be on your credit card and that’s not gonna be the same as having it in your bank balance. So tricky, a little bit, I had a hard time figuring this out but if you add multiple ways to fund your account like with a bank transfer, with your credit card and they used to have PayPal, I think not anymore, depending on where you are located. But that’s so feasible, you still have an option to withdraw in multiple ways and on the way that you prefer. So a little bit tricky at first, but when you get the hang of it, it’s fine and you can get used to it. But you just have to be able to experiment and try it out and see how it works for you. But I’m not sure, again, if it’s the same today. It’s been that case in the past because I didn’t want other people to withdraw money from your account, I think. But it’s just something you have to go through and try at least once. Now in regards to the spreads and commissions. I think this is a big topic for a lot of people. I will say that Oanda for me has not had the best spread ever. It’s not a broker with necessarily low spreads, although there are reasons for the account you have. So don’t expect to have a very tight spread but expect something average for brokers. And this is gonna work pretty well if you are a swing trader, for me that’s no problem but if you are to really scalp or day trade on a variable timeframe, then I would not recommend Oanda, I would recommend a different broker because the spread tends to be a little bit high. They tend to vary, also, as any broker would. But you won’t have a commission from the brokers. You only have the spread, which means that the spread will always be higher a little bit and you gotta accept that. So if you swing trade, no problem, it’s gonna be a small thing and not a big deal. But if you day trade, you might want to reconsider a different broker, which we might talk about in a future episode of this series also. The last thing, the fifth thing I want to talk about is customer service and user interface online. Their customer service in my opinion is awesome. It takes only a few seconds or a few minutes to contact them through the chat online. You can talk to someone pretty fast whether you’re a customer or not. And that just makes it very fast. They can answer your question. I hate, especially when traveling, picking up the phone, calling your broker. That’s just not feasible for me. I hate this. It’s gonna take time, it’s gonna take effort and you’re gonna have to wait. But if you can just chat with someone, it’s much faster and it gets you answers pretty fast. So I like this. The interface online, in my opinion, is pretty good. It’s better than most brokers I’ve seen so far. Some have a really crappy interface and this one looks pretty nice to me. So nothing to say here, it’s all fine for me. And I’ve never had an issue where I had big trouble and I had to contact customer service and they didn’t resolve it. So that to me works fine.
Now, I wanna hear your thoughts, of course, on that view in the comment. If you have any experience with Oanda or any different broker, you can comment below, let me know, I wanna hear your thoughts.