Tips on How to Choose the Right Trading Environment – Miscellaneous – February 3, 2024
Tips for Choosing a Broker and VPS Provider
What should you consider when choosing a broker and VPS?
Do not be fooled by Internet advertisements or interesting Internet presentations, search the Internet for terms such as “Best Brokers 2024” or “Top Forex Brokers” and search for broker ratings, for example, on “Trustpilot.com”.
The same goes for choosing a VPS provider. What is especially important here is that the servers do not fall to their knees when market activity increases. There may be several causes for this. On the one hand, this is because the utilization of virtual machines on the part of the VPS provider is overwhelmed due to having sufficient performance under full load, or because users have too many specialists running on the VPS, which consumes a lot of resources even in quiet market conditions. For example, even if “only” 50% is leveraged, a strong market reaction may cause the expert to become stuck. This is especially important for professionals using scalping strategies. This can often lead to a price drop when an order is opened, as the expert cannot stop it immediately. This is apart from the fact that bad brokers may add additional slippage.
Once you find the right broker, you need to find out where that broker’s servers are located. When choosing a VPS provider, make sure the provider offers appropriate locations so you can choose a data center location with the lowest latency. Especially for scalping, whether the latency is 5-10ms or 100-300ms makes a significant difference.
