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Looking at the OctaFX Trading Experience

8 October 2020 by Malcolm Foxcrot
Min. deposit: $50
Bonuses program: Yes
Products: CFDs, Forex, Indices, Metals
Demo account: Free
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Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. At average of 83% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Content on this page is intended for information and educational purposes only and should not be considered investment advice or investment recommendation.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. At average of 83% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Content on this page is intended for information and educational purposes only and should not be considered investment advice or investment recommendation.

About Broker

OctaFX was first introduced to the world in 2011. Focussing primarily on Forex, they have a small range of various CFDs available to work with. Since their inception, they have steadily grown their client base, now boasting over 1.5 million open Forex accounts, with nearly 300 million trades executed through them.

With their regulations in place, they cater to over 100 countries, with South Africa on the list of accepted nations. They have several features worth mentioning, including reward programs, efficient transactions, and low commissions. The product OctaFX owner and CEO is Joanna Archer.
OctaFX homepage
OctaFX homepage
OctaFX homepage

Facts & Figures

DEMO ACCOUNT:
Yes, free
MIN. DEPOSIT:
$50
MIN. TRADE:
$1
REGULATION:
by CySEC
TRADE SIGNALS:
Yes
COPY TRADING:
Yes
ANALYTICS TOOLS:
Yes
RISK MANAGEMENT:
Yes
WEB-ADAPTED:
Yes
AUTO TRADING:
Yes
FOREX:
This section has most of the OctaFX trading potential, though the offering is still not large. There are different account options with ranging spreads available.
Leverage up to 1:500
Assets up to 28
Low commission
STOCK INDICIES:
Another small pocket of assets with this instrument, all of them CFDs and from some of the top markets around the world. OctaFX spreads are decent on this handful of assets.
Leverage up to 1:50
Assets up to 10
No commission
COMMODITIES:
OctaFX broker has only a few commodity assets, including gold, silver, and UK oil. They offer these with minimal spreads.
Leverage up to 1:100
Assets up to 4
No commission

Regulation

The regulations attached to a broker are a big part of the offering. This tells clients the level of trust behind the platform. With the question is OctaFX safe, the regulatory body CySEC seems to believe so. This is a very popular authority to go through for online brokers as it allows a wide reach around the world.

With just the one OctaFX regulation system in place, the trust around this platform is not perfect but it still holds significant merit. This gives some security and protection. The OctaFX origin country is St. Vincent and the Grenadines.

Accounts types

You can activate 1 of 7 types of accounts on the site. The difference between them is in the amount of the deposited funds.
OctaFx accounts comparison table
OctaFx accounts comparison table
OctaFx accounts comparison table

Micro

OctaFX micro account is the first on the chopping block. It is clearly directed to new users that are unfamiliar with the marketplace. Investments start small and have room enough to expand out. The primary requirement for this one is that it only runs on the OctaFX MT4 system.

The recommended deposit for this account, according to OctaFX, is $100, though the minimum is only $50. This recommendation is likely due to their deposit bonuses that can boost these initial amounts and makes a greater investment worthwhile.

There is a different leverage amount for each account. This first option has access to 1:500 for currency pairs and pretty much tops the list compared to the others. There is notably a swap free option here too.

All of the accounts on OctaFX allow for a minimum volume of 0.01 lot. They also all provide hedging options, scalping and expert advisors. All options have the choice of either dollars or euros as the base currency. The OctaFX login process is also intuitive.

Pro

The OctaFX pro is through the MT5 platform. This option offers users the lowest spreads, starting at just 0.2 pips. What is the minimum deposit for OctaFX pro option? This starts at $500. The pro option enables all instruments for clients.

The leverage on this account is lower than the micro option. Currency pairs have a leverage of 1:200 and commodities can go up to 1:100. Margin call on this account is quite high for the industry, sitting at 45%. There are also no swaps here, while the micro account allows traders to choose.

This account also charges overnight commissions that are held for over 3 days. Overall, the main highlight of this account is the lower spread average, with marginal advantages and disadvantages relative to their micro option.

ECN

An electronic communication network (ECN) works primarily by charging a commission instead of an inflated spread in order to match up buy and sell orders. For OctaFX the spreads still start at 0.4 pips but there is no mark up and a fixed comm. Initial investment on this account starts at $100. It is set up on the cTrader platform.

Assets available on this account are the 28 currency pairs, and silver and gold. For overnight commissions, there are only charges set for positions held over the weekend. They do not offer any CFD trading on this option.

Trading offers

We have covered the available assets on OctaFX already, but a brief reminder may be useful. There are 45 unique securities you can trade with on this platform, with the majority being currency pairs. These pairs include 28 assets, while the indices available number just 10.
OctaFx CFDs trading
OctaFx CFDs trading
OctaFx CFDs trading
There are 3 cryptos through the MetaTrader platform. There are different assets available depending on which OctaFX login you use, relative to the account selected.
OctaFx crypto trading
OctaFx crypto trading
OctaFx crypto trading
Overall, the trading offers from OctaFX are small compared to the industry average, not providing traders with much flexibility within the market. Depending on what you want to trade, this can be a significant downside to their delivered experience.

With just under 30 currency pairs and negligible entries on some of the other instruments, this is probably this broker's biggest shortcoming. Still, especially for those still starting out, this will not play such a large role in the overall experience.

Deposits and Withdrawals

Transactions between you and the broker is an important part of the trading process and affects the overall experience quite significantly. Many traders will be asking themselves how do I withdraw money from OctaFX. Fortunately, the service provided is decent, though they do have some odd requirements.

First off, the only currencies you can work with on this platform is the dollar and the euro. Therefore, deposits will be automatically exchanged to whichever of these two you set as the preference. On the upside, there are no charges for either transaction.

However, any transaction between the broker can only be done through three options, Neteller, Skrill and bitcoin. The OctaFX minimum deposit depends on the account being used but can get as low as $50 across each of the payment options. The minimum withdrawal is fixed at $5.
OctaFx deposit bonus
OctaFx deposit bonus
OctaFx deposit bonus
There is also a bonus offered here that can be as high as 50% of the OctaFX deposit made into your account. The main caveat with this is that a certain amount of lots must be traded in order to withdraw any of that bonus. This is calculated by halving the total amount of bonus added to the account. So, for a deposit of $100, you might be given a bonus up to $50 but with a requirement of first having to trade 25 lots before the OctaFX withdrawal options are available for that bonus.

Compared to other brokers in the industry, this is a competitive offering. Especially because there are no charges placed on amounts going in or going out.

Commissions & fees

The fee structure at OctaFX is mostly contingent on the account you choose. Each one has their own spreads and comm applied. For the most part there is little to no OctaFX commission on actions taken on this platform, except in the case of their ECN account.

The micro account also has no swap fees, but the others have some conditional swap fees for positions held over three days or over the weekend. Probably the most cost-effective account is the pro option which features tighter spreads than the micro one. There is also the consideration of deposit minimums when selecting which one is best for you.

Web and App availability

There is a platform ascribed to each account option. The MT4 and MT5 handle micro and pro. The ECN option utilises the cTrader system. There is a little bit of wiggle room with these options as each system delivers their own set of aspects to the marketplace.
MetaTrader 4 platform interface
MetaTrader 4 platform interface
MetaTrader 4 platform interface
The broker's web page has a full breakdown on the aspects attributed to the systems and accounts. These can become intricate but are best explored through things like the demo which is present for every one of them. The best way to learn each one is to explore it yourself and take note of the parts that work with your preferred style.
MetaTrader 5 platform interface
MetaTrader 5 platform interface
MetaTrader 5 platform interface
An added little side along is that the systems here all have mobile options so there is an OctaFX app for that. This is a decent selection for entering the marketplace that compares nicely to others on the market.
OctaFx cTrader platform interface
OctaFx cTrader platform interface
OctaFx cTrader platform interface

Support & Tutorials

In terms of customer support, OctaFX put in an admirable showing. They have 24/5 live support, available in English, Polish, Spanish and Indonesian. While not the broadest range and unavailable on the weekends, there is still reliable options. This support can be accessed through a myriad of ways like direct chat, phone, and email.

While traders can ask the support team any questions they might have, there is also a helpful FAQ on their web page that can cover some of the basic queries.
OctaFx education menu section
OctaFx education menu section
OctaFx education menu section on their website
Under the banner of tutorials and trading support, there is a surprising amount of resource available on the OctaFX system. There is access to market insights, news, trading and profit calculators and more. These are primarily available through the website itself and not as much through the platforms.

There is also a significant amount of information for traders at any level, like articles, videos and direct tutorials. There is information on how to set up the different platforms and account options as well.

Importantly, there is a free OctaFX demo version of each account type and their corresponding platform. This is a great way for traders to pick up the subtle nuances of each environment even before they place down a deposit. This is also an invaluable strategy tool as it lets you experiment with the market without risking any losses.
OctaFx MetaTrader demo mode
OctaFx MetaTrader demo mode
OctaFx MetaTrader demo mode (no registration required)

Bonuses

OctaFX actually has quite a bit to offer traders with regard to bonuses. The most prevalent of these is the deposit bonus. This can reach as high as 50% of the deposited amount, making it worthwhile going in for more at a single time. There are certain conditions on withdrawing this bonus amount, relating to the amount of trades you make with that capital.
OctaFx deposit bonus
OctaFx deposit bonus
OctaFx deposit bonus highlights
There is also an OctaFX copy trading feature offered to traders. This is a powerful tool that lets you copy the trading strategies of other traders on the platform. As a learning resource alone, this is beneficial to all users. This is even on the demo accounts, allowing you to test it out for free. Simply download apk OctaFX copy trading through their web page.
OctaFx copy trading
OctaFx copy trading
OctaFx copy trading
There are OctaFX offers that are exclusive to the system running it. These include things like market analysis, trading signals and other useful features. This is certainly a benefit of them utilising well-known platforms like MetaTrader. It also means that you account choice weighs heavily on the potential of your trade room.

Another thing is the OctaFX demo contest. This happens regularly and lasts around 4 weeks per contest. Here, traders can sign up for a contest account through the MT4 platform and compete against others for a cash prize at the end. The top prize is usually around $500.

CONCLUSION

CONS
  • No fees on transactions
  • Deposit bonuses and copy trading options
  • Use of MetaTrader platform
  • Low amount of assets to trade on
  • Limited payment services
PROS
To summarise, the OctaFX platform is an adept online broker with a good overall offering. Where they might lack in asset diversity, they make up for in attentive customer support and useful bonus features. Overall, the benefits here outweigh the possible downsides, producing a competitive marketplace environment.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. At average of 83% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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