OANDA is one of the few brokers capable of providing service for US traders. There are some aspects to consider when it comes to trading with this broker.

 It's no secret that the USA has one of the strictest financial regulatory bodies in the world. Most brokers don't provide their services to traders in the USA. However, a few brokers have been able to surpass all restrictions and get approved to provide services in the USA. Today we're going to dive into one such broker called OANDA. Let's find out all about it!

Trading OANDA in USA

 

What is OANDA?

OANDA is one of the very first brokers in the financial industry. They have been providing brokerage services since 1996. Since their establishment, they expanded from just the US to now having offices in many different parts of the world including the UK, Canada, and Japan.

OANDA prides itself in being a market maker where it is the sole executor of all clients' orders. Trades placed with OANDA are executed at the best rates and the fastest transaction speeds. Also, through a large team of analysts, OANDA provides market analysis to help all kinds of traders.

OANDA Specifications

🌐 Website
www.oanda.com
Leverage
1:20
💼 Regulation
💲 Min Deposit
$0
Year Established
1996

Islamic Account
US traders are welcome

Traders looking for brokers with accurate precision, OANDA can be an option. That is because OANDA is a broker that provides quotes with 5-digit accuracy and active price movements that follow market developments. Order execution speed is also faster in this broker.

It provides benefits for novice traders, as they can trade with smaller volumes using the calculation system based on currency value, unlike other brokers adopting the lot system.

Founded in 1996, OANDA was built by Dr. Michael Stumm who is a lecturer in Computer Engineering at the University of Toronto, Canada, along with his colleague, Dr. Richard Olsen of The Olsen Ltd., which is one of the leading econometric research institutes. They have a head office in San Francisco, United States.

OANDA branch offices can be found everywhere. Some of these offices are located in the United Kingdom, Singapore, Japan, and Canada. With this number of offices spread, OANDA has increasingly attracted the attention of clients worldwide.

OANDA's company is registered under several well-known jurisdictions in financial trading. They are regulated by CFTC and NFA in the US, FCA in the UK, ASIC in Australia, and many others. Traders do not need to worry anymore about security when trading in OANDA. However, these advantages make trading rules at OANDA more stringent compared to other brokers.

For example, OANDA only allows maximum leverage of 1:20, because the rules in the US and Japan do not allow leverage above that. Besides, the registration procedure is more complex due to various additional requirements that are not submitted by other forex brokers. On top of that, hedging is not allowed in one trading account as the client must open an additional account to hedge.

Nevertheless, OANDA is known for being a leading broker with many advantages offered. OANDA faces increased market risk during periods of price volatility, such as economic and political news announcements. When market spreads increase or decrease, their pricing engine widens or narrows spreads accordingly. That way, traders can get the latest conditions from price movements in the market more quickly.

Prices move very fast in the market. Especially when news releases have a large impact on market volatility. This condition is often exploited by brokers to take advantage of clients with Requotes. However, traders do not need to worry about additional costs when trading with OANDA.

The company never withdraws Requotes so traders can get maximum profit. When traders are unavailable to monitor open positions, they can set take profit orders to lock in profits and Stop Loss orders to help protect against further losses.

As an experienced and well-known online forex broker, OANDA is committed to maintain an efficient trading environment that reduces latency and provid tools to help clients manage the degree of acceptable slippage.

With a fast & reliable trading platform by OANDA, clients' trades are executed in 0.012 seconds. This suits traders who choose brokers based on execution speed.

Because of this exceptional execution service, it is not surprising that OANDA won many awards, including the winner of the world's Best Retail FX Platform at the prestigious e-FX awards. The broker is also voted number 1 for Consistency of filling trades at quoted prices, Execution speed, and Reliability of platforms.

There is no minimum deposit or minimum balance required to open an OANDA account. Deposit and withdrawal can be done easily. OANDA provides a variety of payment method facilities, including Paypal, Wire Transfer, Credit Card, and Debit. Traders can adjust it to the region where they live.

OANDA provides more than 100 trading instruments, including 71 currency pairs, 16 indices, 8 commodities (Brent Crude Oil, Copper, Corn, Natural Gas, Soybeans, Sugar, etc.), 6 Bonds, and 23 Metals.

The fxTrade and MetaTrader platform are available at OANDA. These platforms can be used for Desktop and Mobile. Another plus is they have an OANDA Technical Analysis that exists in collaboration with a technical analysis provider called Autochartist.

With these platforms, clients can monitor price movements easier and automatically recognize patterns created on charts, as well as receive alerts when the awaited patterns appear. Access to this technology can be enjoyed free of charge.

In conclusion, OANDA is an ideal broker for traders in need of fast execution backed by many years of experience. The company is also a good alternative for those looking for a well-regulated broker with flexible trading and deposit conditions.

OANDA provides brokerage services to many different countries all over the world including the United States. They are part of the National Futures Association (NFA) and the Commodities Futures Trading Commission (CFTC) so you can rest assured your funds are safe and secure.

However, there is a catch. While traders in the US have access to OANDA, they don't have access to all the instruments provided by OANDA. To be more clear, US traders can only trade forex or currency pairs on OANDA. CFD trading is not available to traders in this region. Also, strict terms and conditions in the US may cause OANDA to eliminate services that don't comply with NFA and CFTC, including high leverage and third-party payments.

 

OANDA Platforms

OANDA provides users with a wide variety of trading platforms to choose from. These platforms are available to traders from all over the world, including the United States. You get to choose from either OANDA's proprietary platform or the popular MetaTrader 4 and MetaTrader 5.

The proprietary platform is called OANDA Trade and provides a more personal experience. It is fully customizable and supports both web trading and trading through the app. Meanwhile, MetaTrader 4 and MetaTrader 5 are the most popular trading platforms currently and have a very simple interface.

 

OANDA Customer Support

When choosing a broker, one of the most important aspects to look at is customer support. You need to know if a broker has a good customer support team that can help you in times of need. This can be the middle line between achieving success as a trader or losing all your money.

OANDA customer support team is available five days a week. They are open to receiving queries through phone, email, or even the live chat feature on their website. You can also reach them through social media. To simplify the process, some FAQ topics are available to answer customers' basic questions.

In general, there is no doubt that OANDA is one of the top brokers in this industry and that they are among a few brokers that are able to provide their services in the US. Although US clients are unable to trade CFDs, they can still access a wide range of currency pairs with this broker. More importantly, all of them come with affordable trading fees.