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Before you can get started in forex trading, you are going to need a good forex broker. Thats pretty obvious, because without one, you wont be able to participate in the market. A broker can either help or hinder your trading, so it pays to do some research going in so you choose somebody who suits your needs and budget.

All forex brokers offer a range of products and services, including a trading platform and trading tools so you can actively trade the market. But the fact is some brokers are better than others. Well maybe it would be more accurate to say that some people feel better dealing with one forex broker over another because of the tools, service, or experience of the people involved.

But regardless of who you choose, any broker you put on your short-list should meet at least some minimum standards. Here are five of the main criteria you should check off before you decide on the right broker for you.

Criteria 1 - Consistently Low Pip Spreads: Spreads between the bid and ask are your main cost in trading the forex market. Youll want an account with a broker who charges very low spreads on transactions, regardless of the markets volatility. That will let you keep your trading costs down, which can make a big difference to your profitability.

Criteria 2 - A Small Minimum Lot Size: You trade forex in what are called lots. The larger the lot size, the higher the potential profit or loss on the trade. If you are just starting out in the forex market, you should start with a broker who lets you trade mini or micro lots until you are comfortable trading in larger lot sizes.

Criteria 3 - Fast Execution: Trading is all about trend and timing. That means its important to choose a forex broker who can give you immediate processing of your orders.

Criteria 4 - Comprehensive Technical Trading Tools: When trading forex, there are a number of different styles you can choose from. Each style depends on analysing a specific set of indicators using tools that help you trade the way you want to. As a new trader, its important that your broker offers a complete set of trading tools so that you can use them to develop your own trading style.

Criteria 5 - Flexible Leverage: Leverage is a very important when trading the forex market. Thats because it affects the amount of risk you are taking, which affects the size of the profits or losses you can expect to make. New traders should use low levels of leverage, so it is important that you choose a broker who allows for flexible amounts of leverage so you can choose when and how to play the market safely.

As you go about choosing your new broker, remember these 5 criteria and youll be in good hands. You are just getting started trading one of the most active, exciting, and potentially profitable markets in the world. I trust you enjoy learning to trade as much as I have done.