What Is The Difference Between A Trader And Broker?

Types of Forex Brokers and Tips to Choose the Best for you

Many times, when we see a person in front of monitors full of graphics, we associate it directly with the figure of the broker, but is it a broker or a trader? What is the difference between traders and brokers? Today, we are going to focus on discovering the differences between traders and brokers.

What Is A Trader?

A trader is a person who is responsible for carrying out any purchase and sale of assets in the financial markets. Therefore, the traders’ job is to buy and sell, intending to obtain profitability from these operations. 

What Is A Broker?

A broker is a company or financial entity that carries out purchase and sale operations for its clients. In other words, carry out intermediation by executing purchase and sale orders, thus receiving commissions for these operations. 

We also know brokers as stockbrokers, the only brokers that are licensed to operate within the markets. Therefore, we must do so through ForexTime broker review (รีวิว โบรกเกอร์ ForexTime, which is the term in Thai) if we want to operate within the stock markets.

What Is The Difference Between A Trader & Broker?

Now we are going to know the main differences between trader and brokers:

The broker is the financial intermediary between us and the market. It offers the platform for the trader to press the buy or sell button. The broker offers us a platform to operate, and traders use it to buy and sell shares. 

To complete the information, we bring you some trading strategies used in the market.

  1. Fundamental Trading

Fundamentalist traders always look at indicators such as the interest rate, inflation, and consumption data. According to a certain type of protocol over time (each government’s economic calendar), much of this information is blurred by governments, making it possible to create economic calendars that offer a certain type of scheme or momentary information.

  1. Technical Trading

Most forex traders use charts to decide when to enter or exit. Technical traders pay special attention to price trends, without losing sight of the charts along with the prices, volume, volatility found in the data it shows.

Jennifer Winget

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