Futures trading has gained steady popularity in the few years. However, finding a good and top trading platform for futures trading is still a challenging task.
A good futures trading platform lets you trade in assets that aren’t available through the stock market or any other financial market.
If you’re too looking to start trading futures but can’t figure out which platform to trust? Then, trust us, this article will surely help you out in finding a top trading platform for futures trading. So, let’s start now.
What Is Futures Trading?
Futures trading refers to speculation on the future price of a commodity, currency, or other assets.
Futures are contracts to sell to buy or sell an asset at a pre-determined price at a specific date in the future.
The market allows futures traders to speculate on various instruments, including stocks, indices, currency pairs, and commodities such as metals, crude oil, corn, grain, beef, and pork.
In addition, some of the major exchanges for futures markets include the Chicago board of trade, the Chicago Climate Futures Exchange, the New York Mercantile Exchange, the Minneapolis Grain Exchange, the Kansas City Board of Trade, and the Chicago Mercantile Exchange.
In addition, you can trade Futures through:
Futures options: They function in a similar way to stock options. A futures options trading offers you the right (but not the obligation) to purchase or sell a specific futures contract at a set price at any time before the option expires.
E-mini futures: To summarise, E-mini futures are contracts that reflect a lesser quantity of assets than normal futures.
Top 5 Trading Platforms For Futures Trading:
To trade futures, you’ll need a good and reliable trading platform. If you’re in quest of finding a top trading platform for futures trading, take a look at our list.
Here’s a list of the five best futures trading platforms:
Interactive Brokers:
Launched in 1977, the platform is considered one of the most trusted and old trading platforms. Being in the industry for more than four decades, the broker has expanded to its full potential.
All the advanced features and tools offered by the brokerage make it the best platform for serious futures traders.
Apart from Futures, the platform lets its users access a variety of financial instruments, including Stocks, Options, ETFs, Bonds, and Forex.
However, it might not be a great choice for you if you’re a beginner.
Reasons To Choose: Low Commission, 200+ Futures Products, 24/7 Customer Support, and Low margin rates.
Reasons To Avoid: Not suitable for beginners; Minimum Deposit requirements are high.
InvestBy:
InvestBy is emerging as the top trading platform for futures trading because of its best-in-class services and features.
The broker offers a comfortable trading environment to both beginner and seasoned traders through advanced MT4, WebTrader, and Mobile App platforms.
Based on your prior trading experience and style, you can choose between three account types offered by the broker: Silver, Gold, and Platinum.
Alternately, you can use a free demo account for practicing trades before opening a live trading account.
In addition, the platform is well regulated by the National Bank of the Republic of Belarus (NBRB), so you’ll not have to worry about losing your money.
Reasons To Choose: Perfect for Beginners and Active Stock Traders, Advanced Trading Tools, Free Demo Account, Low Minimum Deposit Requirements, and User-friendly Interface.
Reasons To Avoid: Non-Availability of MT5 Platform
TD Ameritrade:
Another most trusted and oldest trading platform for futures trading is TD Ameritrade. Again, the easy-to-use platforms and advanced trading tools are the plus points of this futures broker.
One of the best features of this brokerage is its top-notch trading platform offering – Thinkorswim. On the other hand, the minimum deposit requirements of this futures broker are quite high with this broker.
Reasons To Choose 60+ Futures Products, 24/7 Customer Service, Advanced Research Tools, Well-regulated, Good for Beginners.
Reasons To Avoid: High Minimum Deposit Requirements
Charles Schwab:
Charles Schwab is considered the best futures trading platform because of its great features and services to futures traders.
The advanced and intuitive desktop and mobile platforms of this futures broker offer power-packed features such as powerful charting, probability, and trading tools.
In addition, it offers a variety of educational tools that are helpful for novice traders to learn futures trading.
Reasons To Choose: Advanced charting tools, Good for Novice, Access to Demo Accounts, and Professional Customer Support.
Reasons To Avoid: Minimum Deposit Requirements are high, and a High margin rate.
NinjaTrader:
The trading platform is suitable for traders from all walks of life. The technical analysis tools and a free demo account are what make it a top trading platform for futures trading.
In addition, the broker offers a low commission for advanced traders. Other features of this online broker include live quotes, market alerts, real-time updates, and an easy-to-use live chat.
Reasons To Choose: Easy-To-Use Platform, Low Commission, Advanced Trading Tools, and Free Demo Account for Paper Trading.
Reasons To Avoid: High Margin Rates
How To Choose Top Trading Platform For Futures Trading?
There are several factors that may help you in choosing the best futures trading broker. Here are some important things to keep in mind while choosing the best futures trading platforms.
Margin and Fees:
When looking for the best futures trading platforms, the first thing to consider is its fee structure.
Nobody wants to pay hefty fees on their trades. But, on the other hand, there are several brokers available that offer commission-free trading.
In addition, another important aspect to consider is the platform’s margin offering. Most brokerage platforms set their own leverage and margin requirements.
Regulation:
One of the most crucial factors to consider is the regulation of trading platforms. A well-regulated platform always works in clients’ best interests.
On the other hand, unregulated platforms will always try to dupe their clients by offering fake bonuses and discounts.
Customer Support:
A customer support service plays a vital role in the brokerage platform’s success. So first, look for whether your broker is offering 24/7 customer service or not.
In case you have any queries regarding your trading, there should be someone to resolve them quickly.
Charting Tools:
As charting tools are incredible tools for success in futures markets, they should be the main criteria for choosing a top trading platform for futures trading.
The best trading platform should offer powerful charting, drawing tools, and all of the indicators that you need.
Mobile Trading:
Mobile trading is the demand of today’s time. Everyone wants to trade futures on the go. So, choosing a trading platform that offers a mobile app too, is a great decision.
Through the mobile application, you can access your account and the markets anywhere, anytime, even sitting at your home.
Conclusion:
That’s all! Above, we have listed some of the best futures brokers based on their services and user experience. All these brokers are the best and worth giving a try for once.
However, choosing the best and top trading platform for futures trading will depend on whether you’re an active trader or a novice.
It’s important to do your own research and consider all the factors while choosing between the best futures brokers.
FAQs:
Which Platform Is The Best For Futures Trading?
After reviewing and detailed analysis of nearly 100 platforms, we found InvestBy to be the best trading platform for Futures Trading. The platform’s advanced and top-notch features are reasons why it is top of this list.
Can Anyone Trade Futures?
Yes, any market player, including traders, and investors, can trade futures contracts. All they need is the best futures broker platform to execute their trades.
How Much Does It Cost To Trade Future?
The best thing about futures trading is that it doesn’t have any hidden or complex fee structure. The cost of trading futures is $2.25 per contract, plus exchange and regulatory fees.
Why Futures Are Better Than Stocks?
The advantages of Futures over stocks include tax benefits, short-term gain benefits, and low trading fees.
How Do You Buy Futures?
You can buy Futures through exchanges including the Chicago board of trade, the Chicago Climate Futures Exchange, the New York Mercantile Exchange, etc.
Alternatively, you can buy futures through trading platforms such as InvestBy.
