FOREX.com stands out as the best US forex broker for its wide range of currency pairs and trading tools, user-friendly platform, excellent customer support, regulations by top-tier authorities, reliability, range of services, and customer satisfaction.
Forex traders in the US enjoy the protection of a stringent regulatory framework aimed at safeguarding both consumers and traders against forex fraud. Prior to accepting US traders, forex brokers are required to obtain registration as Retail Foreign Exchange Dealers (RFED) from the Commodity Futures Trading Commission (CFTC) and be regulated by the National Futures Association (NFA) as Futures Commission Merchants (FCM).
To help you find the right broker for your trading needs, we have compiled a list of the best US forex brokers. These US regulated forex brokers offer competitive spreads, reliable trading platforms, excellent customer support and more to ensure a smooth trading experience for US residents.
Quick Look: Best US Forex Brokers
- Best for a Simplified Trading Platform: Trading.com
- Best Overall and Excellent Trading Conditions: FOREX.com
- Best for Institutional Traders: Interactive Brokers
- Best for Forex Futures: Plus500
- Best for Fast Execution: tastyfx
Compare US Forex Brokers
Best For | Earning Cashback on FX Trades | Active and Global Traders | $100 Welcome Bonus |
Rating | 5 | 5 | 5 |
Read Review | Forex.com Review | IBKR Forex Review | Trading.com Review |
Currency Pairs | 80+ | 100+ | 69 |
Account Minimum | $100 | $100 | $50 |
Spreads | As low as 0.0 pips | Spreads as narrow as 1.10 | As low as 0.9 pips |
Inactivity Fees | $15 per month inactivity fee after no trading activity for 12 months | $0 | $10 per month after no open positions or trading activity for 12 consecutive months)
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Commissions | Fixed $7 USD per $100k USD traded | 0.08 to 0.20 bps times trade size, with no hidden spreads or markups | $0 |
Supports US Traders? | Yes | Yes | Yes |
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Best Forex Brokers That Accept US Clients
US clients have fewer options when choosing forex brokers due to tighter regulations. The following list demonstrates several of the best forex brokers for US clients.
1. Best for a Simplified Trading Platform: Trading.com
- Best For:$100 Welcome BonusVIEW PROS & CONS:securely through Trading.com's website
Trading.com is becoming the go-to choice if you're seeking a straightforward yet effective trading platform. Tailored for modern traders, it has a user-friendly interface that streamlines trade executions, especially for if you prioritize simplicity over complex features.
Why We Picked It: Trading.com offers highly competitive spreads, ensuring cost-efficiency. They offer a welcome bonus of $100 promotional credit for new account openings. The platform has an attractive design, easy navigation and provides a seamless trading experience. While advanced traders may find the platform's features somewhat limited, they offer a balanced blend of functionality and user-friendliness, making it a compelling option especially for beginners.
2. Best Overall and Excellent Trading Conditions: FOREX.com
- Best For:Earning Cashback on FX TradesVIEW PROS & CONS:securely through Forex.com's website
FOREX.com is a subsidiary of StoneX (NASDAQ: SNEX) and ranks as the best overall forex broker for U.S. traders. They were founded in 1999, giving them an long standing history of reliability and trust among users. This broker is regulated in the U.S. by the Commodity Futures Trading Commission (CFTC) and the National Futures Association (NFA).
Why We Picked It: FOREX.com truly caters to forex traders, they offer up to 5% cash back of the initial deposit, a wide selection of currency pairs, low account minimums, a notable trading platform, and their mobile app provides the same access as the desktop version. It's a great option if you are looking for a home base for currency trading. FOREX.com offers extremely customizable charting tools and a comprehensive education and research center with free forex trading courses for various skill levels.
3. Best for Institutional Traders: Interactive Brokers
- Best For:Active and Global TradersVIEW PROS & CONS:Securely through Interactive Brokers’ website
An American multinational brokerage firm operating the largest electronic trading platform in the U.S., Interactive Brokers is one of the most regulated financial companies in the world and is listed on the Nasdaq stock exchange under the ticker IBKR.
Interactive Brokers has been around for over forty years, and its strong reputation has made it a go-to broker for many traders in the United States.
Why We Picked It: Interactive Brokers offers competitive spreads, low commissions and no hidden fees. The trading platform is easy to use and provides all the tools needed to make informed decisions when trading foreign currencies. The broker is also a popular choice for algorithmic trading, with their technology allowing traders to access over 100 different markets and trade across multiple asset classes.
4. Best for Forex Futures: Plus500
- Best For:Forex and CFD Trading for Mobile UsersVIEW PROS & CONS:securely through Plus500 Forex's website
Plus500 is a European-based derivatives broker offering forex trading and more, catering particularly to advanced traders and those who prefer mobile trading. The platform provides comprehensive information on the assets you choose to invest in and start trading in the foreign currency market, while adding currency pairs to your portfolio.
Why We Picked It: Plus500 offers a streamlined trading experience that is great for beginners who want a user-friendly platform and may want an expanding selection of educational content. On the flip side there are no stumbling blocks for advanced traders who simply want to sign up and get to work. Plus500 is a also a great option if you are a futures trader and want to trade multiple assets.
5. Best for Fast Execution: tastyfx
- Best For:$10,000 Funding BonusVIEW PROS & CONS:securely through tastyfx's website
tastyfx, formerly IG Markets is a leading US forex broker. The broker was established in 1974 and is one of the biggest forex brokers in the world. With tastyfx you can expect tight spreads, $0 commissions, and support 24 hours a day, 5 days a week.
Why We Picked It: New tastyfx accounts are eligible for a funding bonus of up to $10,000. tastyfx provides a user-friendly and intuitive trading platform with competitive spreads. They offer an impressive range of currency pairs, comprehensive trading packages, excellent trading conditions and fast execution (less than 1 second).
How to Choose a Forex Broker
Currency traders should consider several critical features before choosing their U.S. forex broker. Consider the following:
Account Features
These features are considered the baseline for the operational requirement you might have when starting to trade forex with a U.S. broker. Some features to look for include:
- An easy to use mobile trading app with the same or similar features as the desktop version
- Access to advanced trading tools for things like technical analysis and fundamental analysis
- Unique features such as copy trading, algorithmic trading or swing trading
- VPS hosting
Initial Deposit
Initial deposits usually have a minimum threshold. If you want to dip your toes in the forex market and start small, pay attention to brokers with favorably low minimum deposits.
Leverage and Margin
Leverage, aka margin trading, is the ability to take outsized forex trades by borrowing funds from the broker. Some offshore brokers offer extraordinary leverage of up to 1:1000, but in the U.S., this number is limited to 1:50. You can trade by using as little as a 2% margin, which is adequate for most traders.
Commission and Spreads
Commissions and spreads fall into the fee category — the broker makes money from these charges. The commission is a volume-based fee, while the spread is the broker’s markup on buying or selling price.
Choosing between those often depends on your trading style. If you’re a short-term trader (scalper), you might prefer commissions since a higher spread might diminish your profitability.
Ability to Easily Deposit and Withdraw Funds
Withdrawing and depositing funds is all about convenience. The brokers usually offer bank transfers and credit cards, but If you have a particular payment service you prefer, make sure it is available.
Regulatory Compliance and Reputation
Regulatory compliance is the first step toward trustworthiness and building reputation. Yet, what takes years to build might take only days to destroy. The U.S. forex community is well-connected, and negative broker feedback spreads fast through forums and social media.
Currency Pair Offers
Currency pairs are the bread-and-butter product for any forex broker. Although virtually all brokers offer the few most popular pairs (majors), pay attention to their minor currency listings, especially the less-popular pairs known as exotics.
Trading Tools
Quality software is the cornerstone of any trading operation. While some traders use a naked chart and follow only price action, others might require the assistance of complex trading tools like multi-timeframe indicators or expert advisors (EAs). Make sure that the selected broker meets your requirements.
Trading Platforms
Forex brokers offer various trading platforms depending on the broker's capabilities as well as the region you live in. By providing access to trading platforms such as TradingView, MetaTrader 4 (MT4) and MetaTrader 5 (MT5), a broker can offer the tools necessary for traders to make informed decisions and achieve successful trades.
These trading platforms provide all the features that are necessary for successful trading. For instance, they allow traders to view the real-time market prices and analyze the various trading strategies. This way, traders can clearly identify trends in the currency markets and make informed decisions regarding their trades.
Customer Support
Customer support is like an emergency kit. You might not realize it is there until it becomes the most important thing in the world. Quality customer support provides peace of mind, so keep an eye on its ratings.
What is the Commodity Futures Trading Commission (CFTC)?
The Commodity Futures Trading Commission (CFTC) is a key regulatory body in the United States mandated by Congress to oversee the nation's derivatives markets. Its primary objectives include safeguarding market integrity, enacting efficient regulations for market participants, and mitigating the risks of fraudulent activities.
The CFTC's jurisdiction extends across a diverse array of markets, encompassing commodities futures and options, foreign exchange, exchange-traded securities, and over-the-counter (OTC) securities.
In conjunction with the CFTC, market participants are typically required to hold regulatory standing with the National Futures Association (NFA), an industry-based self-regulatory organization (SRO) empowered by the CFTC to assist in enforcement efforts.
Forex brokers operating within the U.S., adherence to CFTC regulations is mandatory, resulting in a highly regulated environment that fosters trust among global traders. These agencies conduct due diligence, enforce capital requirements and adhere to other regulatory standards. Those standards include limitations to risk with 50:1 leverage for major currencies or 20:1 for minor and a steep capital requirement of $20 million.
Frequently Asked Questions
Why do most forex brokers not accept U.S. clients?
The U.S. market is heavily regulated. While European regulatory requirements might be from $100,000 to $500,000, the National Futures Association (NFA) has a capital requirement of $20 million for a U.S.-based forex broker — representing a significant hurdle for many global brokers.
How do I know if a forex broker is trusted?
There are multiple ways you can protect yourself from a fraudulent broker. Regulation should be a preliminary factor in the research. It might not be a guarantee, but a lack of it is a clear red flag. You should check online communities and read traders’ reviews and complaints. Stick to public communities like forums and beware of biased commentary from either side. You can also check the Financial Industry Regulatory Authority (FINRA) and browse its database. Finally, factor in word of mouth. If you talk to other traders, ask for direct opinions and listen to their experiences.
Can I trade forex without a broker?
Trading forex without a broker is possible. You can do this by having bank accounts in multiple currencies and then swapping between them or using P2P currency exchange platforms. Finally, even going to a physical money exchange is an act of trading forex. However, these options are not as practical and come with higher fees.
Get a Forex Pro on Your Side
FOREX.com, registered with the Commodity Futures Trading Commission (CFTC), lets you trade a wide range of forex markets with low pricing and fast, quality execution on every trade.
You can also tap into:
- EUR/USD as low as 0.2 with fixed $5 commissions per 100,000
- Powerful, purpose-built currency trading platforms
- Monthly cash rebates of up to $9 per million dollars traded with FOREX.com’s Active Trader Program
Learn more about FOREX.com’s low pricing and how you can get started trading with FOREX.com.
About Stjepan Kalinic
Forex, Equity Analysis, and Financial Education