Bahrain is a high-income economy, and as such remains an attractive destination for international Forex brokers due to its residents generally making above-average first-time deposits. Our comprehensive Forex trading in Bahrain broker listing has determined the most competitive brokers for Bahrain residents, so read on to compile your shortlist and review our guide to getting started in Bahrain with the best Forex broker for you.
Best Bahrain Brokers Comparison
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Regulators | CMA, CySEC, FCA, FSC Mauritius, FSCA | ASIC, BVI, Central Bank of Ireland, FFAJ, FSCA, KNF, MiFID | ASIC, CySEC, FSCA | ASIC | ASIC, AUSTRAC, BaFin, BVIFSC, CIMA, CySEC, ESCA, FMA, MAS, TFG, VFSC |
Year Established | 2011 | 2006 | 2005 | 2011 | 2005 |
Execution Type(s) | ECN/STP, Market Maker | Market Maker | ECN/STP | ECN/STP, Market Maker | ECN/STP |
Minimum Deposit | |||||
Average Trading Cost EUR/USD | 0.1 pips | 0.9 pips | 1.1 pips | 1.1 pips ($11.00) | 0.1 pips |
Average Trading Cost GBP/USD | 0.2 pips | 1.5 pips | 1.4 pips | 1.1 pips ($11.00) | 0.5 pips |
Average Trading Cost Gold | $0.18 | $0.29 | $0.21 | $0.15 | $0.02 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5, Proprietary platform | Other, MetaTrader 4, MetaTrader 5, Web-based+ | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based | MetaTrader 4, MetaTrader 5 | MetaTrader 4, MetaTrader 5, cTrader |
Islamic Account | |||||
Negative Balance Protection | N/A | ||||
| Visit Website | Visit Website | Visit Website | Visit Website | Visit Website |
FXTM
In Summary Best all-around broker with high floating leverage and fast executionQuality education, the Pivot Points Trading Strategy as an MT4 plugin and actionable trading signals make FXTM a well-rounded choice for Forex trading in Bahrain.
The FXTM Advantage account provides a competitive pricing edge with raw spreads starting from 0.0 pips for a commission between $0.80 to $4.00 per 1.0 lot. The average price improvement of 0.29 pips or $2.90 per lot and an execution speed of 0.072 seconds, possible via innovative order execution technology and deep liquidity pools, make FXTM an ideal choice for scalpers and algorithmic traders. The Advantage account requires a minimum deposit of $500 but offers industry-leading services.
Pros & Cons
- Excellent commission-based Forex pricing environment and transparency
- Upgraded MT4/MT5 trading platforms plus proprietary mobile trading app
- Quality market research and educational content for beginner traders
- A highly regulated broker with a tier-1 license
- No cryptocurrencies and limited choice of commodities
AvaTrade
In Summary Highly regulated, choice of fixed or floating spreadsTraders seeking social and copy trading options benefit from Ava Social, ZuluTrade, and DupliTrade. The reasonable commission-free costs and excellent trading platform choices make AvaTrade an excellent choice for Forex trading in Bahrain. The Trading Central plugin upgrades the MT4/MT5 trading platforms. The Guardian Angel MT4 plugin grants a layer of protection by sending traders alerts and assisting with risk management and post-trade analysis. AvaTrade also maintains the proprietary web based AvaTrade WebTrader, AvaOptions, and AvaTradeGO.
VPS hosting supports algorithmic traders, while the spun-out SharpTrader Academy ranks as one of the highest quality and comprehensive educational resources for beginners. Traders preferring passive income opportunities can consider the partnership program with 70,000+ partners from 150+ counties and 250M+ commission payouts.
Pros & Cons
- High-quality educational offering via SharpTrader
- Excellent choice of trading platforms catering to various trading needs
- Broad asset selection and cross-asset diversification opportunities
- Well-regulated and trusted broker with oversight from a central bank
- Trading costs competitive but nothing special
FP Markets
In Summary ECN trading with leverage up to 1:500The MAM/PAMM accounts available at FP Markers offer Forex trading in Bahrain a quality and trusted solution for account managers and Forex traders. Beginners can benefit from quality education, which includes videos and webinars, while in-house research is also available. Twelve plugins and Autochartist upgrade the core MT4/MT5 trading platforms, ensuring traders have a competitive edge. VPS hosting offers algorithmic traders low-latency 24/5 market access.
Raw spreads from 0.0 pips for a commission of $6.00 per round lot, high leverage, and deep liquidity can make FP Markets a desirable choice for scalpers and high-frequency traders. The NDD order processing without requotes adds to the trading advantages. Copy traders can diversify their portfolios via FP Markets Copy Trading or Myfxbook Autotrade.
Pros & Cons
- Choice of trading platforms and auxiliary trading tools
- Very competitive cost structure and excellent asset selection
- Low minimum deposit requirement and leverage of up to 1:500
- Well-regulated and trustworthy
- Availability of Iress geographically restricted
ACY Securities
In Summary Swap-free trading with the MT5 trading platformACY Securities upgrades MT4/MT5 with Capitalise AI and 15 quality plugins. Capitalise AI supports algorithmic trading in a code-free environment and is the most advanced trading tool available, making ACY Securities one of the best Forex brokers. Low-latency 24/5 market access exists via VPS hosting. Copy traders may use the embedded MT4/MT5 services or diversify via Signal Start and SoFinX.
The commission-based trading accounts offer competitive trading fees with raw spreads from 0.0 pips for a commission of $6.00 for ProZero and $5.00 for Bespoke. Traders also benefit from fast order execution under 30ms via 46 liquidity providers.
Pros & Cons
- Large repository of daily analysis and educational content
- Low spreads starting at 0 pips in the Spread Zero account
- 16 payment processors, including cryptocurrencies
- Competitive trading fees in its commission-based accounts
- Only 1 regulator
MultiBank Group
In Summary Deep liquidity with no trading restrictionsMultiBankFX complies with 10 regulators and operates offices in 20 countries, ensuring clients have an unmatched global network with deep liquidity pools across major financial centers and in core emerging markets. Traders get the MT4/MT5 trading platforms, which fully support algorithmic trading, and a proprietary copy trading service. The asset selection consists of 55+ currency pairs and 20,000+ equity CFDs and ETFs, while cryptocurrency traders get eleven highly liquid coins. MAM/PAMM accounts cater to traditional retail account management, VPS hosting to algorithmic traders, and FIX API trading to advanced trading requirements featuring custom solutions. A high-paying partnership program also exists.
Pros & Cons
- 20,000 assets offering broad coverage of financial markets
- Raw spreads from 0 pips and maximum leverage of 1:500
- MAM/PAMM accounts and proprietary copy trading platform
- ECN trading with deep liquidity and no requotes
- Access to raw spreads requires a $5,000 minimum deposit on the ECN account
- FXTM, Best all-around broker with high floating leverage and fast execution.
- AvaTrade, Highly regulated, choice of fixed or floating spreads.
- FP Markets, ECN trading with leverage up to 1:500.
- ACY Securities, Swap-free trading with the MT5 trading platform.
- MultiBank Group, Deep liquidity with no trading restrictions.
How to Choose the Best Forex Broker in Bahrain
While several well-known banks offer Forex trading in Bahrain, including the MT4 platform, international offshore brokers oversee the bulk of online retail trading. Below is a checklist of what competitive brokers should provide.
Forex traders in Bahrain should ensure their Forex brokers offer the following:
1. Regulation - A regulated broker with a clean operational record guarantees the segregation, security, and availability of deposits and profits. It also eliminates the threat of scams and fraud.
2. Local-currency accounts - While the Bahraini Dinar is the second highest-valued currency globally, most International online brokers neither support it as a deposit currency nor an account currency and generally do not quote it on their trading platforms.
3. Local payment methods – Bahrain-resident Forex traders should ensure their Forex brokers provide low-cost and secure online payment processors and cryptocurrencies.
4. Spread sizes - A competitive commission-based spread starts from 0.0 pips, and commission-free alternatives should be no more than 0.7 pips during the most liquid trading periods.
5. Fees - A commission of $6.00 per 1.0 standard lot presents a low-cost pricing environment, and active traders should try to ensure a volume-based rebate program exists.
6. Products - Forex brokers supporting numerous strategies and portfolio diversification maintain 60+ currency pairs.
7. Asset diversity - Commodities, index CFDs, and cryptocurrencies are the most-traded assets among Forex traders seeking cross-asset diversification.
8. Customer service in native language - Many Forex brokers offer their websites in Arabic and provide Arabic customer support.
9. Account type diversity - Besides commission-free and commission-based accounts, including sub-account choices, Bahrain resident Forex traders should evaluate the availability and fairness of swap-free Islamic options.
10. Demo account - Algorithmic traders rely on demo accounts for bug-fixing and testing EAs.
11. Mobile trading - Forex trading in Bahrain via mobile devices is ideal for copy trading and account monitoring.
12. Deposits/Withdrawals - Forex brokers generally do not levy internal costs on deposits. Third-party withdrawal fees could apply, which depend on the payment processor.
Forex Trading Regulations in Bahrain
The Central Bank of Bahrain regulates the financial sector in the kingdom. Bahrain maintains a free market economy without restrictions on capital flows and foreign exchange, and it has earned a global reputation as a welcoming environment for investors. While the Central Bank of Bahrain regulates the domestic market and physical Forex trading conducted by licensed banks and market participants, this does not extend to online Forex trading using derivatives, as offered at online brokers.
Bahrain has domestic champions offering online Forex trading, but international brokers capture most of the retail trading volume. Here we shortlist well-trusted brokers with spotless operational records, segregation of client deposits, negative balance protection, and multiple regulatory licenses offering peace of mind. No restrictions exist for Bahrain-resident Forex traders to open offshore accounts, and global Forex brokers have a growing interest in the above-average deposits from Forex traders in Bahrain.
How to Start Forex Trading in Bahrain
Taking the core steps set out below will ensure beginners start their Forex trading journey on the right path.
1. Beginners should start with education, as Forex trading is a high-skilled profession. This also applies to copy traders or those seeking managed account services, and it can ensure traders will be able to recognize scams and fraud.
2. A trusted Forex broker is necessary to succeed, and our list includes the most competitive choices for traders resident in Bahrain.
3. Successful Forex trading requires an effective trading strategy, an appropriate risk management profile, and realistic expectations to define annual goals.
4. Learning a high-skilled profession only through a simulation is impossible, and the same applies to the use of demo accounts in Forex. The lack of real risk makes them inauthentic and can create a false sense of accomplishment, although they can provide useful education. Beginners should complete their education with a live account with a small deposit and consider trading losses as the price of education.
5. Forex traders should follow daily economic, monetary, and political events, as they can move price action, create trading opportunities, and either begin or disrupt trends.
6. Emotional reactions to market events usually result in trading losses. One strategy which can help avoid emotional trading is placing take profit and hard stop loss levels within the trade entry order, making the trade as “set and forget” as possible.
Risks of Forex Trading in Bahrain
Fully understanding the risks associated with Forex trading in Bahrain will allow traders to prepare and avoid them, unlocking the life-changing opportunities a successful Forex trading venture can offer.The primary risks include:
- A misunderstanding of Forex trading, its requirements, and possibilities related to the lack of education, which ranks as the number one risk.
- Marketing campaigns by questionable Forex brokers and affiliates promote unrealistic expectations, particularly concerning capital requirements and profits.
- Frustration, inefficient trading, and mistakes due to insufficient trading capital.
- Misuse of demo accounts, which lack exposure to trading psychology, as a primary educational tool.
- Lack of respect and recognition of Forex trading as a high-skilled profession.
- Over-leveraged trading with a lack of risk management and understanding of its significance.
- Overtrading to compensate for insufficient trading capital to achieve unrealistic profit expectations.
- Scams and frauds aimed at beginner traders who lack in-depth Forex education.
- Absence of quality trading software, especially for algorithmic traders and scalpers.
Bottom Line
Forex trading in Bahrain presents opportunities for Forex traders and the best Forex brokers alike. The free-market economy and high percentage of foreign nationals in the fastest-growing economy in the middle east ensure unrestricted capital flows and make Forex trading part of daily life. The Central Bank of Bahrain (CBB) regulates physical Forex trading. Bahrain has domestic banks offering online trading with MT4, the most popular Forex platform, typically available at online brokers.
The bulk of retail trading volume using derivative contracts, unregulated by the CBB, relies on well-trusted international Forex brokers such as the ones shortlisted on this page.
Education remains paramount to success, as Forex trading is a high-skilled profession. It can help ensure beginners understand the requirements, select a suitable strategy, deploy risk management, and have realistic expectations. It will also allow traders to recognize scams and fraud in the Forex market while creating a foundation for success.
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