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The Best Online trading platforms in Germany

Online trading is the buying and selling of financial products or assets with the help of the Internet. Since the introduction of electronic trading, access to the exchange has been possible for everyone. From now on, traders can access the financial markets with just an Internet connection and the help of a broker.

How much start-up capital is required for online trading?

In general, online trading is possible from just a few euros of start-up capital . Some brokers even offer trades with a stake of € 1 or a few cents. Online trading is possible for every capital size. For example, beginners can start with a small bet and increase it later. The markets are very liquid (high trading volume).

However, not every financial product is available with a small stake. For example, trading in futures contracts requires several hundred euros in margin , which is a huge amount of money on the market. It is advisable to open a futures contract account only from € 20,000. For private traders, trading with CFDs and Forex is the most popular, because you can easily use small and large capital here.

online trading

Develop analyzes and strategies

In my experience, a suitable strategy is part of successful trading. Traders differentiate between fundamental and technical analysis. The interaction of both factors offers a trader the greatest profit opportunities.

To the fundamental analysis include political and economic news and indicators. For example, a popular instrument for fundamental analysis is the interest rate of a currency. In the long term and in the short term, this interest rate can have an enormous impact on the price development. But short-term news also has a strong impact on the markets.

  • Economic calendar
  • Interest rate decisions
  • Economic indicators
  • Earnings calendar for stocks

Which online broker to choose? – Honest comparison and test of the providers

Choosing an online broker is not always easy. There is a very large selection of offers. Most of the time, the most striking advertisement is not always the best offer. In more than 6 years of experience in the financial markets, I have tested various brokers and present my comparison criteria in the following points.

The security of customer funds is paramount. Beginners often fall for dubious providers. Before opening an account, a broker should definitely be checked. In the table below you will find my top 3 brokers for private traders!

Criteria for a reputable broker: 

  • Regulated and licensed by an official financial regulator
  • Free demo account with virtual credit to practice
  • Instructions and help with the operation of the trading platform
  • Direct contact person (24/5 support by phone, email, chat) – ideally a branch in Germany
  • Fast and direct execution of trades

Online Trading Debt? – The abolition of the obligation to make additional contributions

The use of leveraged derivatives can theoretically lead to over-indebtedness of the trading account. This happens due to unforeseen market events in which the broker cannot execute or close your position. Strong movements will give you a very bad price execution. This has happened in the past when opening positions that are way too high. In most cases, the trader is even to blame because he misjudges the risk and uses the wrong risk management.

“However, the obligation to make additional payments has been abolished for every online broker for Forex and CFDs in Europe.”

So you can no longer go into debt. The risk with online trading is always very high, because in the worst case you can lose all of your invested capital. If you invest and the market goes against you, you lose capital. If you are correct and the market moves in your direction, you win.

 

Statistically, you always have a 50/50 chance of winning. With the right analysis, the hit rate can be increased.

Facts about the risk:

  • You cannot get into debt (obligation to make additional contributions abolished)
  • The risk is always with your invested capital and stop loss
  • You can lose at most the capital invested
  • Investing in the financial markets is risky, but also offers good opportunities

 

Make money with online trading? – The possibilities

The profits depend on the amount of capital invested and the skills of the trader. With a stake of 5 € it is logically not possible to make a profit of 5000 €. My personal risk of winning is usually 1/3. For example, I bet € 10 on a trade and receive € 30 if you win . Of course, this always depends on the market situation and the tactics of a trader.

The basic rule is:

“The more capital you invest, the higher the profit can of course be”.

Overall, I can say from my experience that quick wins and losses are very possible! Therefore, always pay attention to your own risk when trading and only use the capital that you can lose. For example, economic news sometimes causes very strong fluctuations in the market. Then you’d better not be on the wrong side.

Earning money with trading is possible: 

  • The higher the stake, the higher the possible profit / loss
  • Quick wins and losses are possible and market news or high leverage
  • Good traders make consistent profits and can also become very wealthy
  • Always be aware of the risk involved in trading and only risk capital that you can lose.

My conclusion on the online trading test – collected experiences

Online trading is the best way to participate in the financial markets these days. You can trade a variety of different trading instruments and invest for the short or long term. Thanks to the Internet, it has become very easy to get direct access to the market.

The possibilities are limitless these days. In addition, the fees have fallen massively due to the competition between the brokers! It is now possible for everyone to trade and invest.

But you should be aware of the risk in the markets. If a position goes against your direction you will lose money. The other way around, the profit limits are open at the top.

In summary, online trading is a very good opportunity to invest capital in the markets. You can make great profits from my experience with practiced tactics.

I have summarized the advantages for you again:

  • Trade on professional platforms by computer or smartphone
  • Invest from just € 1
  • Trade the hottest financial products with just one click
  • Develop your own methods of capital preservation
  • Both short-term and long-term gains are possible

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What is online trading?

Online trading is the regular stock exchange trading via computer and the Internet. For several years now, the stock exchange has switched floor trading to electronic trading. For online trading, you need a broker, suitable device and a trading platform. After you have deposited capital into your brokerage account, you can start trading online immediately. Depending on the broker, you have access to global exchanges and thousands of markets. Buy and sell assets and invest in various financial products.

How much money can I start trading online?

Thanks to new technology and financial products, it is possible to start online trading with just a few euros. There are brokers who only require a minimum deposit of € 10 or less. The stake per trade is determined by the trader. For example, stocks are also available from a few euros. Forex and CFDs are suitable for trading with little capital, as very small positions are possible there. The upper limit is open.

Can I do online trading while on the go?

Yes – nowadays it is even possible to trade online with a mobile device. All you need is internet access and an installed app. Most brokers offer an app for free for each device. This allows you to control your positions or react to events at any time.

How serious is online trading?

Online trading is very serious because the markets are monitored and regulated. However, caution is advised by unknown websites and unregulated providers in the financial sector. Be sure to check the broker before signing up. Online trading is 100% reputable with regulated brokers.