Eightcap offers a range of financial products and advanced trading tools to traders since 2009. Originating from Melbourne, Australia, and operates under the regulation of the Australian Securities and Investments Commission (ASIC). Within this review, we delve deeper into its key features, trading costs, and distinctive tools.
Eightcap Review
Founded in 2009 in Melbourne, Australia, Eightcap is a distinguished trading broker operating under the guidance of the Australian Securities and Investments Commission (ASIC). This ensures its strict adherence to regional financial regulations. Its global footprint is evident with five international offices. The broker offers an extensive range of financial instruments including Forex, Equity Index, Commodities, Stocks, and Cryptocurrencies. They grant access to more than 800 CFD markets, showcasing several trading possibilities. Their primary service platform is the renowned MetaTrader, which offers many tools for traders. Using this platform, participants can trade in over 45 currency pairs and a vast array of cryptocurrencies, indices, stocks, precious metals, and other commodities.
Key Features of Eightcap
Let’s delve into the key aspects that set Eightcap apart in the marketplace:
Low Trading Costs
A primary benefit of partnering with Eightcap is its affordable pricing model. Especially for Forex enthusiasts, Eightcap offers some of the most competitive rates among Australian brokers. Their Raw account further reduces trading expenses, appealing to those aiming to optimize costs.
Quick Account Setup
Initiating an Eightcap account is straightforward. A mere deposit of $100 enables traders to activate their accounts and commence trading. This minimal entry barrier, paired with a quick account activation period, makes Eightcap a popular choice for those wanting to jump into trading instantly.
Variety of Financial Instruments
Eightcap presents a broad array of financial tools covering Forex, Indices, Shares, Commodities, and Cryptocurrency derivatives. Their line-up of over 800 financial tools, especially their diverse cryptocurrency derivatives, offers traders multiple global trading avenues to diversify their investment portfolios.
MetaTrader and TradingView Integration
Primarily aligning with MetaTrader, Eightcap utilizes both MetaTrader 4 (MT4) and MetaTrader 5 (MT5) platforms, supplemented with added functionalities. The broker's collaboration with TradingView equips traders with daily trading suggestions, expert trade perspectives, and the ease of code-less automation, opening up avenues for strategic trading.
Protective Measures
Eightcap prioritizes trader safety with its negative balance protection mechanism. Although it doesn't offer trader insurance, the negative balance shield guarantees traders won't exceed their account limits, ensuring protection against volatile market shifts.
Payment Flexibility
Eightcap supports multiple payment methods, from bank cards to e-wallets, offering adaptability in handling both deposits and withdrawals. This provision, combined with zero-cost deposit and withdrawal services, streamlines the monetary process for traders.
Account Types
Eightcap, with its account initiation and $100 deposit stipulation, caters to traders of varying expertise. Here's an overview of the account options:
Raw Account
Tailored for experienced traders or Forex CFD enthusiasts, the Raw Account offers competitive spreads. The trading size starts at 0.01, subject to the tool chosen. Compatible with Expert Advisors (EAs), this account is perfect for those pursuing automated trading strategies. The account's commission rates are industry-competitive.
Standard Account
For those favouring a no-commission trading atmosphere, the Standard Account is ideal. Featuring spreads starting at 1.0 pips and a base trade size of 0.01, this account blends affordability with user-friendliness. It also supports EAs, facilitating automated trades, and caters to both novice and veteran traders.
TradingView Account
This account serves as a portal to the expansive TradingView trading network, providing advanced charting tools, proprietary Pine-Script, daily trading tips, webinars, custom indicators, and more. Its enticing features, coupled with competitive spreads and consistent deposit and trade size requisites, make it a potential choice for traders seeking advanced analytical tools.
Trading Instruments
Eightcap provides its traders with a wide range of trading instruments. Here are the key asset classes offered:
- Forex:
- EUR/USD (Euro / US Dollar) with spreads from 0 pips.
- GBP/USD (Great Britain Pound / US Dollar) with spreads from 0.1 pips.
- USD/JPY (US Dollar / Japanese Yen) with spreads from 0.1 pips.
- Commodities:
- XAU/USD (Gold / US Dollar) with spreads from 0.12 USD.
- USO/USD (Spot WTI Crude Oil) with spreads from 0.03 USD.
- Indices:
- US30 (Dow Jones Industrial Average) with spreads from 1.6 USD.
- NDX100 (Nasdaq Cash 100) with spreads from 1.4 USD.
- UK100 (UK 100 Cash) with spreads from 1.2 GBP.
Eightcap presents a range of over 800 instruments, allowing traders the flexibility to branch out their portfolios by venturing into diverse markets.
Trading Costs
Eightcap offers reasonably priced trading costs, notably for those keen on forex and CFD ventures. Here's a breakdown of the cost structure:
- Forex Fees: Eightcap offers low forex fees. The Raw account, for example, levies a commission of $3.50 for every lot per transaction, and during prime trading periods, the average spread for the EUR/USD pair is around 0.1 pips. In a similar vein, for the GBP/USD pair, the spread stands at about 0.2 pips during optimal trading times with an analogous commission setup.
- CFD Trading Fees: When it comes to Contracts for Difference (CFDs) trading, the charges are embedded in the spread. For context, trading the S&P 500 CFD yields an average spread cost of 0.6 points in prime trading times.
- Deposit and Withdrawal: There are no charges for both deposits and withdrawals. But, a conversion charge may apply for non-base currency deposits, calculated as the rate obtained from liquidity providers with a slight addition.
- Account Initiation: The minimum deposit required to open an account is $100, which provides a low barrier to entry for many traders.
Distinctive Tools Offered by Eightcap
AI-Powered Economic Calendar
In alliance with Acuity, Eightcap has pioneered an AI-Powered Economic Calendar. This tool harnesses an AI-engine tailored for big data, offering insights into past market impacts and sentiment evaluations, equipping traders with daily trade concepts derived from more than 1000 macro-economic happenings. It grants traders a deep dive into the financial arena, guiding on the best current trading assets, pinpointing optimal trading junctions, and forecasting market reactions. Traders can refine their search with AI-backed filters, view sentiment and charts that offer likely movement, and stay updated with FX Street Newswire reports in a consolidated space.
Crypto Crusher Tool
Eightcap's Crypto Crusher tool is tailor-made to provide daily trading insights for Crypto CFDs, utilizing specialized trackers for real-time concepts. It aids in evaluating potential risks, determining market trajectory, and spotting possible turnarounds. Additionally, it features an exclusive dashboard replete with crypto-specific indicators to amplify market analysis. To utilize this tool, traders should have an active Eightcap trading profile, maintain a minimum balance of $500, and conduct at least a single transaction monthly.
Flash Trader
Developed alongside BKForex, Eightcap's FlashTrader, is geared towards boosting trading efficacy. It intuitively incorporates stops and targets, facilitates agile response to market fluctuations, and offers seamless position management. It also incorporates a singular click function for risk oversight, position equalization, and multiple profit target determination. To harness FlashTrader, one requires an active Eightcap MT5 account, after which they can secure FlashTrader via the Client Portal for perpetual usage, converting trading visions into tangible outcomes.
Summary
In summary, Eightcap, with its regulatory backbone and a diverse range of financial instruments, presents itself as a viable choice for traders. The broker’s competitive fee structure, notably low in the forex domain, and selection of account types, cater to traders with various preferences and expertise levels. However, while it encompasses numerous strengths such as quick account setups and protective features, it's important for traders to also consider aspects like the absence of investor protection and evaluate whether Eightcap aligns seamlessly with their individual trading needs and risk tolerance. Ultimately, Eightcap seems to merge tradition with innovation, offering a platform that can cater to both traditional and contemporary trading methodologies.
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