Who is a reputable Forex broker?… There are quite a few reputable forex brokers in the industry. From a retailer presepective , it is always best to choose a ECN/STP broker.
There are Brokers that act as Market Markets which are referred to as Dealing Desk Brokers, and others that are ECN brokers that allow you access directly to the Interbank market quotes. ECN brokers will typically charge a commission and offer direct spreads while Dealing desk brokers will add a markup to the spreads.
So how will you know that your broker is ECN/STP or not ?
1. Check their regulation license , go to the regulation site and look at your brokers registration, you can know what license your broker has, whether he is only STP or he is a market maker.
2. ECN wont offer insane leverage like 1:500 1:1000
3. ECN wont offer bonus.
4. They wont offer fixed spread, the just pass your order to market , so there will be slippage . (Yes for True ECN slippage will be there)
5. Before depositing look at the company profile, read their year end report, if they are listed in any exchange then it is a big plus.
6. Do a google search, look for their reviews, there can be fake reviews too , but over all you can get a picture about the broker.
7. If all the above is there, nothing can beat the personal experiance, so deposit a small amount try the broker for couple of week, check during news time whether platform is freezing or not , check their withdrawals , if everything is good then deposit big.
8. Some brokers claim they are no.1 based on trading volume, ( but most of their volume comes from institutional traders, the fill retail traders orders to them, so it a BIG NO to choose a broker by their volume for retail traders)
Some good ECN brokers which I have tried myself:
IC (but not listed- good for scalping) , Pepperstone , Btfx (Listed – good for serious traders) , Tickmill (not listed- scalpers and newstime trading )