Carrax is a financial broker established in 2010. So, you can still call it quite a young broker in the block. It has not yet hit the ten years mark. This broker is owned by BravoPro Capital limited, which is a company that has been registered in Saint Vincent and Grenadines in the United Kingdom. Financial Services Authority, FSA regulate it. It means that this company can offer financial services to people.
It is offshore forex which might be a bit unsafe for some traders to trade on it. Just a while back, Carrax became a member of Finacom, Financial Commission, as a category B member. This commission is an independent EDR (external dispute resolution) whose members are some markets such as Binary options brokers, Forex, CFD, and cryptocurrency. Being a member here means each trader on the platform has protection of $5000 for every claim they have regarding the service. Finacom also has a compensation fund in place for this.
Carrax is available for users all over the world in the Middle East, Africa, Asia and even in the Far East. The primary goal according to their main homepage is to provide its clients with a fast way to access interbank and an order of execution that is fair and where there is a minimal occurrence of requotes.
Carrax offers its traders with the most popular Meta Trader 4 (MT4) which has been around more than a decade, and its popularity seems not shaken. However, there are plans to upgrade to Meta Trader 5 (MT5) as the developer MetaQuotes Software said that they are shifting their energy and focus on MT5.
MT4 is user-friendly and has many options such as charting, automated trading, analysis tools and allows hedging. MT4 also allows a trader to customize just the way they want it. The platform also supports 50 types of technical indicators, three types of order execution, News streaming, and real-time quotes. The platform is available desktop download and mobile visions.
Carrax also offers mobile trading solutions including Android Trader, iOS Trader. It also provides its clients with WebTrader which you don’t need to download.
Carrax offers three types of trading account, Standard account, STP (Straight Through Processing) account and Electronic Communication Network (ECN).
In STP accounts no commission is charged. It is included in the spread. STP spreads are variable.
ECN spreads are much tighter compared to those of Standard account. In this account, the broker charges a fixed transparent commission on every transaction.
ECN and STP accounts operate as the NDD while Standard account operates as the Dealing Desk (DD). The broker allows scalping with the STP and ECN accounts.
The minimum deposit for the standard account is $10, STP account is $100, and ECN account is $1000.
There is also a Demo account. It can be used for practical purposes before signing in to understand the whole trading process.
Deposits and Withdraws
Carrax accepts through bank transfers, debit and credit cards. The broker also offers online payment platforms like Pay Sera, Epayments, and FasaPay.
Spreads Leverage and Commission
Carrax offers its trader with different spreads depending on the type of account operated by the investor. Standard and STP accounts are commission-free with a maximum leverage of 1:500 and their spreads are variable. ECN account is not a commission-free, the broker charges a commission of $4.8 per lot. ECN spreads are tighter.
Carrax offers its traders with 150% trading bonus on their first deposit. After signing in the trader needs to deposit first to get the 150% bonus. It is only applicable to traders who have a Standard account.
Carrax is a reliable broker but registered and regulated in an offshore area. Many brokers do it for financial reasons like the tax. The fact is that Vanuatu, Saint Vincent and Grenadines and other island offshore areas have a very minimum requirement for the companies if any. It is better to avoid dealing with brokers who have been registered and regulated in offshore areas. It clearly that your money is not safe.
Carrax offers trading in stock indices, currency, crude oil, natural gas, gold and silver on Standard and STP accounts. Gold and silver are on ECN account.
Advantages of Carrax
- Carrax uses the good old Meta Trader 4 that offers the traders with automated trading systems, advanced technical analysis, algorithmic trading, flexible trading system among others and traders can customize to ones need.
- The initial minimum deposit is $10 which is lower compared to other brokers.
- The broker uses MT4 with is compatible with Android and iOS.
- Carrax offers its clients with WebTrader which you don’t need to download.
Disadvantages of Carrax
- Carrax is registered and regulated in an offshore zone. Your money is not safe since the watchdog requirement are minimal if any.
- There is no much information on spreads.
Carrax is an offshore broker meaning that your money is not safe. The trader should be extra careful dealing with this broker. However, it has excellent trading conditions but little information on spreads.