PROS / Nadex does not mark up the spreads on the currency pairs you trade.
CONS / With Nadex, you can only trade 10 currency pairs, the fewest of any service in our Forex review.
VERDICT / Nadex has low spreads and a low commission cost, but its platform lacks the tools that other services provide to traders.
Nadex is a CFTC regulated binary options exchange based in Chicago, Illinois that offers trading on forex pairs.. Nadex has its own trading platform and a companion mobile app. It has low spreads and a single commission rate for all trades.
When you open an account with Nadex, you are granted access to the Nadex proprietary trader platform. Demo accounts are available if you want to test the platform out before signing up. Our reviewers tested the demo platform and compared it with the platforms of the other forex exchanges in our reviews. We found Nadex’s platform to be usable and simple, but it is missing some important tools that can be useful when planning forex trading strategies. The most glaring problem is the lack of an alerts tool. Alerts are useful in monitoring currencies so you can make trades at the right time, and Nadex’s lack of this tool diminishes its trading platform.
The mobile app also has no alerts tool, but it does allow you to add funds to your account and use charting tools to analyze currency pairs, both of which are features that not every app we reviewed includes. Through Nadex, you can trade 10 currency pairs – all of the major pairs and a few minor pairs. It offers no exotic pairs, so if you are a forex trader looking for riskier investments, Nadex may not be the best option for you. Nadex provides 22 technical indicators, by far the lowest amount of the brokers we reviewed.
Pricing is where Nadex stands out from other forex exchanges. It charges a low commission rate, once on opening a trade and again upon closing. These combine with low spreads to make Nadex a good option if you’re a cost conscious forex trader. It’s important to remember that spreads are constantly fluctuating and are subject to changes in the market.
Nadex offers some investment resources to educate you about the forex market. These include articles, webinars, blogs and courses. These are regularly updated and include an accessible archive. Nadex’s investment education resources are some of the finest our reviewers saw during the course of our testing.
Nadex is a CFTC regulated binary options exchange that offers trading on forex pairs. They offer low costs, but their platform is missing some crucial tools. Nadex offers trading on 10 currency pairs, so it may be a good choice for beginners.