Hedging Brokers | Best Hedging Forex Brokers October 2022

Are you looking for a broker that will allow hedging so you can lower your account risk? Then, you are in the right spot. Whilst not all brokers will allow you to hedge, in this post we go through the very best brokers that allow hedging.

Just because a broker allows hedging does not make them a good broker and in this post we outline the pros and cons of each hedging broker and how you can get started.

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eToro

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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 67% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money....

Forex.com

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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money....

VantageFX

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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money....

Rating

Mobile App

10/10

Regulation

FCACYSECASIC

CFTCNFA

Bill

Min.Deposit

$50

$100

$200

Leverage max

50:1

100:1

500

Forex pairs

Fees & spreads

EUR/GBP

1.5

N/A

EUR/USD

1.3

N/A

EUR/JPY

1.6

N/A

EUR/CHF

3.1

N/A

GBP/USD

1.9

N/A

GBP/JPY

3.6

N/A

GBP/CHF

4.2

N/A

USD/JPY

1.5

N/A

USD/CHF

1.5

2.0

N/A

CHF/JPY

N/A

EUR/RUB

N/A

USD/RUB

N/A

Additional Fee

Continuous Fee

N/A

Conversion Fee

1pips

1.3pips

N/A

Trading platforms

Demo

Webtrader

Copytrading

Mt4

STP/DMA

Ctrader

MT5

Avasocial

Ava Options

Leverage

FCA

CYSEC

ASIC

CFTC

NFA

BAFIN

CMA

SCB

DFSA

CBFSAI

BVIFSC

FSCA

FSA

FFAJ

ADGM

FRSA

Active

Forex

Indices

Actions

Cryptocurrencies

Raw Materials

Etfs

Additional characteristics

Islamic Account

Education & Webinars

Charts & Tools

Scalping

Spread Betting

Automated Trading

Free Forex Signals

Payment methods

Bank Transfer

Credit Card

Giropay

Neteller

Paypal

Sepa Transfer

Skrill

Sofort

Best Hedging Forex Brokers

Eagle FX

Eagle FX	Regulation	Min Deposit	Platform	Open an Account
	Nil	$10	MT4	Trade Now

Pros:

High leverage.
Small minimum deposit.
Fast trade execution times.
A demo account is offered.

Cons:

Limited deposit and withdrawal options.
No regulation.

EagleFX is another newer broker on the scene that offers small minimum deposit options along with the ability to use large leverage.

EagleFX offers super fast trading execution times along with dedicated client support that is available 24 hours a day and seven days a week.

The signup process to EagleFX is very easy and after you have signed up you will be given the free MT4 platform you can use on either your desktop or mobile devices to trade in either real or demo mode.

Trade Now

Your capital is at risk.

Longhorn FX

Longhorn FX	Regulation	Min Deposit	Platform	Open an Account
	Nil	$10	MT4	Trade Now

Pros:

Fast trade execution times.
High leverage available.
A demo account is offered.

Cons:

No bonuses offered.
No regulation.

Longhorn FX is a newer broker that is located in th Saint Vincent and the Grenadines.

Longhorn offers trading on over 150 assets with leverage available up to 1:500 making it attractive to a lot of traders.

After signing up you get access to the MT4 platform that you can use to trade both in demo and ‘real’ modes.

Longhorn FX offer small spreads and fast trading execution times making it a good option for many different types of trader.

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Your capital is at risk.

OctaFX

OctaFX	Regulation	Min Deposit	Platform	Open an Account
	CySec	$5	MT4, MT5 and cTrader	Trade Now

Pros:

Small minimum deposit.
STP style broker.
A demo account is offered.
Wide range of platforms.

Cons:

Lacking in tier one regulation.
Some countries not accepted.

OctaFX is a STP style broker that has opened more than 1.5 million trading accounts.

OctaFX covers 100 countries and they have won 28 different industry. Along with their MT5 platform you also get access to MT4 and cTrader platforms.

OctaFX offer a large range of free education and market analysis and you also gain access to their copy trading platform. This allows you to copy other professional traders and make money from their winning trades.

Trade Now

Your capital is at risk.

FP Markets

FP Markets	Regulation	Min Deposit	Platform	Open an Account
	FSCA, ASIC, CySec.	$100	MT4, MT5 and IRESS	Trade Now

Pros:

No withdrawal or deposit fees.
Customer support through whatsapp messages.
A demo account is offered.

Cons:

Inactivity fee after three months.
They do not have a very complete educational section.

FP Markets is also an Australian based broker that is regulated by ASIC.

This broker has been around a long time as it was founded in 2005. With FP Markets you have many different deposit and withdrawal options including all the major cards and Paypal.

FP markets offer a large range of education and market analysis and along with their MT5 charts, they also offer other trading platforms to suit your individual needs including IRESS.

Trade Now

Your capital is at risk.

Pepperstone

	Regulation	Min Deposit	Platform	Open an Account
	ASIC, FCA + Others	$200	MT4, MT5 and cTrader	Trade Now

Pros:

It is regulated by ASIC and FCA.
Offers various trading platforms.
Low FX, equity, and indices fees.
Excellent customer service.
Free deposit and withdrawal.

Cons:

No investor protection for non-EU traders.
No fundamental data analysis.

Pepperstone is an Australian based broker and is widely regarded as one of the best Forex brokers in the world.

With Pepperstone you have the ability to trade on Forex, gold, indices, equities, and more. One of the biggest benefits to Pepperstone is the availability of not just MT5, but also other different trading platforms. You can choose any of the MT4, MT5, and cTrader that come on desktop, mobile and web trading.

Pepperstone offer very comprehensive education and analysis that ranges from market news, analysis, an economic calendar, guides, webinars, and more.

Another large benefit to Pepperstone is their small trading costs. Pepperstone offer very small spreads and charge low commissions per round trade.

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Your capital is at risk.

What is Hedging in the Forex Market?

Hedging is normally a strategy to protect or minimize your potential downside.

Hedging is normally a short term strategy where you are concerned that price could move against your current open position and you are looking for a way to minimize your downside.

When hedging you are holding both a long and a short trade on the same Forex pair. For example; you may be holding a long trade on the EURUSD whilst at the same time also holding the same amount in a short trade on the EURUSD. This will hedge your position. You will not lose any money, but you will also not make any.

Is Hedging Legal?

Hedging is legal, however not all brokers allow it.

Also straightforward hedging cannot be carried out with brokers from the US.

Hedging is a very common strategy where a trader will look to mitigate their risk. This is common if a trader is in a longer term trade and a potentially large new announcement is coming up. They could hedge their position until this announcement has passed to protect their downside.

Do All Brokers Allow Hedging?

No, not all brokers will allow you to hedge your position and make hedging trades. The brokers listed below will allow you to open an account and make hedging trades.

#1: Eagle FX

#2: Longhorn FX

#3: Octa FX

#4: FP Markets

#5: Pepperstone

FAQ’s

What is Hedging in the Forex Market?

Hedging is normally a strategy to protect or minimize your potential downside. Hedging is normally a short term strategy where you are concerned that price could move against your current open position and you are looking for a way to minimize your downside. When hedging you are holding both a long and a short trade on the same Forex pair. For example; you may be holding a long trade on the EURUSD whilst at the same time also holding the same amount in a short trade on the EURUSD. This will hedge your position. You will not lose any money, but you will also not make any.

Is Hedging Legal?

Hedging is legal, however not all brokers allow it. Also straightforward hedging cannot be carried out with brokers from the US. Hedging is a very common strategy where a trader will look to mitigate their risk. This is common if a trader is in a longer term trade and a potentially large new announcement is coming up. They could hedge their position until this announcement has passed to protect their downside.

Do All Brokers Allow Hedging?

No, not all brokers will allow you to hedge your position and make hedging trades. The brokers listed below will allow you to open an account and make hedging trades. #1: Eagle FX #2: Longhorn FX #3: Octa FX #4: FP Markets #5: Pepperstone

Best Hedging Forex Brokers 2022

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