de | cn | ru

Direct FX (in liquidation) Forex Broker Review, Rating and Comparison

Direct FX Review, rating and comparison

RATING: 1.7 / 2 REVIEWS Direct FX (in liquidation)
Direct FX (in liquidation) is an offshore broker. Your money is not safe.

RECOMMENDED FOREX BROKERS


Trading Accounts

 

Account type Minimum deposit  Minimum trade size  Maximum leverage  Spreads  Trading Platforms
Standard $100 0.01 1:400 Average 1.8 pips on EUR/USD MT4
CQG  $500 0.1 1:400 From 0.2 pips on EUR/USD + commission $7 per standard lot round turn CQG 

 

The broker offers its clients a choice of two account types. Both of them offer variable spreads and leverage up to 1:400. You can trade micro lots on the commission-free Standard account type, where two platforms are available: the world renown MetaTrader 4 and Tradable. The CQG FX account offers tighter spreads, but involves a commission.


In addition, this broker offers managed accounts solutions on the MT4 platform: MAM & PAMM accounts provide professional traders with multiple accounts, and qualified asset managers the perfect solution for managing trading accounts.


The Company. Security of Funds


DirectFX is an Australian forex broker brand belonging to Direct FX Trading PTY LTD. The company started operations in 2006 and was regulated by the Australian Securities and Investment Commission (ASIC). In October 2018, it became bankrupt and its ASIC license was canceled.


The broker provides Straight-Through-Processing trading model, offering more than 40 currency pairs for trade, precious metals (Gold & Silver), and some CFDs on commodities, indices, bonds, equities, as well as binary options . Due to a partnership with investing and financial education provider DriveWealth, DirectFX launched exchange-listed US equities and futures trading in July, 2016


Due to the favorable conditions for both brokers and traders, Australia has become one of the main forex hubs in the world. Scalping and hedging are allowed, the FIFO rule is not applicable, and there is no leverage cap.


ASIC applies certain rules and requirements to license holders, such as clients’ money rule: Client funds must be kept in segregated trust accounts. What is more, ASIC has set a minimum capital requirement and forex brokers must hold at least $ 1 million as a proof of good financial standing.


Australian FX broker regulation, however, does not include any compensation scheme in case a licensed company becomes insolvent or ceases trading.


What is more, DIRECT FX Trading Pty Ltd is a member of the Financial Ombudsman Service (FOS). This is an approved Australian external dispute resolution system that can deal with complaints about all of the financial services the brokerage provides under its AFSL.


Trading Conditions


Minimum Initial Deposit
DirectFX requires its clients to deposit at least $100 in order to open an account with them. This is an average minimum initial deposit, yet leading Australian broker CMC Markets has set no minimum deposit requirement, and XM (holding, among others, also an ASIC license) demands just $5 from its clients as a start.


Average Spreads & Commissions

Spreads offered by DirectFX are variable, starting from 0.2 pips for the EUR/USD pair on CQG account. This is really tight spread, however a commission of $7 per standard lot round turn applies, so the minimum trading costs on this account type for the EUR/USD pair amount to 0.9 pips, commission included, which is average for the forex market. Spreads on the commission-free account are of course higher: averaged around 1.8 pips on EUR/USD, which is a comparatively high amount.


In comparison, AxiTrader (holding licenses from both ASIC and FCA) provides spreads starting from 0.1 pips on its ECN account, and applies a commission of $7 per standard lot round-turn, while spreads on its Standard commission free account start from 0.6 pips on EUR/USD.


For more information, you may check out and compare real-time spreads of 15 leading brokers here.


Maximum Leverage

This broker offers leverage up to 1:400 which is at the upper end of the industry’s standard and is considered a high rate. Nonetheless, most ASIC-regulated brokers offer similar or higher leverage levels: CMC Markets – 1:500 and XM – up to 1:888. Here is a list of FX brokers offering leverage equal to or exceeding 1:500


Traders, however, should be careful with high leverage, since trading on margin may both multiply their profits on a small deposit and lead to heavy losses exceeding their initial investments.


Trading Platforms


DirectFX offers its clients two trading platforms: the industry’s standard MetaTrader 4 (MT4), as well as CQG. Due to the CQG technology, clients of this broker may also access the  Protrader Multi-Connect (PTMC).


Like most FX brokers, DirectFX supports the world’s leading trading platform MetaTrader 4, which is available as desktop and mobile versions. MT4 provides all the tools and resources a trader needs: a number of technical indicators, advanced charting package, one-click trading option, Expert Advisers (EAs) and extensive back-testing environment.


EAs allow full automatization of trades and what is more, DirectFX offers high quality VPS Hosting Service. Access to Beeks remote server ensures that your robots, EAs and scripts function continuously and without interruption, even if your computer is switched off.

 

What is more, through a partnership with CQG inc., DirectFX has custom built a trading platform for forex traders. CQG FX is designed for the trader seeking an institutional style trading platform. There are 40 FX pairs and spot gold and silver available for trading on this platform. It is fully customizable and equipped with advanced charting and analytics package, however as a STP/ECN platform its key component is the direct inter-bank liquidity. The CQG FX depth of market is available in many different views, across different trading tools in CQG FX, and provides 5 prices deep on both the bid and ask.

 

DirectFX`s CQG FX platform. Click to enlarge.


As regards automated trading on CQG FX, it is easy with the CQG Common Sense language. Common Sense was designed with simple If, Then, statements and custom CQG language, eliminating the need to know computer programing. An advanced feature of CQG FX allows multiple automated trading systems to run at the same time.

 

After PTMC launched a gateway to e-trading and charting multi-asset platform CQG, DirectFX clients can also use PTMC to trade in forex, futures, options and equities.


Payment Methods


With DirectFX investors can choose between bank wire transactions, payments via bank wire transfer and e-wallets Skrill, Neteller and UAE Exchange.


Conclusion


DirectFX is a reputable STP Australian broker, which offers attractive conditions for trading in a great variety of financial instruments on two different platforms. Here are, in a nutshell, the Pros & Cons with regard to this broker:

 

Pros  Cons
ASIC-regulated No web-based platform
Choice of trading platforms, MT4 available  High spreads on Standard account
Low Spreads on CQG FX account   
ECN/STP execution model   

 

Latest news about Direct FX (in liquidation)
Broker Country Regulation Platform Min Deposit Review
Cyprus, UK, Mauritius CySec, FCA, FSC MT4, MT5, Web $10 Review Website
Cyprus, SVG CySEC MT5, Web,
cTrader
$100 Review Website
Australia ASIC MT4, MT5,
IRESSTrader
$100 Review Website
Cyprus, Australia CySec, ASIC MT4, MT5 $5 Review Website
UK, Australia, South Africa FCA, ASIC, FSCA MT4, Trading
Station,
NinjaTrader
$50 Review Website
UK, Cyprus, UAE, South Africa FCA, CySEC, DFSA, FSB MT4, MT5, FxPro
Markets,
cTrader
$100 Review Website
Cyprus CySEC MT4, MT5, Web $1 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus, UK, South Africa, UAE CySec, FCA, FSCA, DFSA MT4, MT5, Web $5 Review Website
Cyprus, UK CySEC, FCA MT4, MT5 $1 Review Website
UK FCA MT4, Web, MT4
for Mac
$100 Review Website
Australia, UK ASIC, FCA MT4, MT5,
cTrader
$200 Review Website

Traders` reviews for Direct FX (in liquidation)

Spread

Pros

Cons

 

 

Slippage

Pros

Cons

 

 

Requotes

Pros

Cons

 

 

Price feed

Pros

Cons

 

 

Platform

Pros

Cons

 

 

Deposit/Withdraw

Pros

Cons

 

 

Customer service

Pros

Cons

 

 

Summary

Pros

Cons

 

 

www.directfx.com vs www.directfx.co.nz

www.directfx.com vs www.directfx.co.nz

Please do not confuse the two above companies.

There is not, nor has there ever been, any connection between the two companies what so ever.

Directfx.co.nz does not offer FX margin trading services, they are a wholly New Zealand owned and operated money remitter and they organise physical foreign currency transfers for clients globally. They have absolutely no connection with directfx.com at all, apart from sharing a very similar name.

Please do not confuse the two companies when searching for online reviews. Directfx.co.nz takes pride in providing an extremely professional and efficient currency transfer service at very competitive rates. They have an unblemished record of providing exceptional customer service.

Ian Dobbs
Directfx.co.nz

Ian Dobbs 03/14/2018

Good Broker

After demo trading for a few months I decided to go live with the minimum $250. So far so good. Will plan on depositing more and will update again after I see how things go.

Antonio C. 11/11/2014
de | cn | ru