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Affiliate Disclosure DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

Best Regulated Forex Brokers in US

Finding a good Forex broker in the US should not be too difficult, right? With Forex being the most active financial market and the US economy the largest in the world, there should be plenty of choices when you are looking for brokers for Forex in the USA. Well, things get a little complicated here. Due to factors like trading costs and regulation, choosing the right FX broker is not as straightforward as you might think. Find out below what to look out for when picking the right brokers for Forex in the USA.

80% of retail CFD accounts lose money
1
5/5
The ratings shown on DailyForex.com are determined by hours of research from our editorial team into over 10 factors, including account fees, deposit/withdrawal options, regulatory status, tradable assets, and more.
Publicly listed company in the UK and a FTSE250 constituent & full CME Group member.
Unlimited demo account & 24/7 customer support.
2
4.9/5
The ratings shown on DailyForex.com are determined by hours of research from our editorial team into over 10 factors, including account fees, deposit/withdrawal options, regulatory status, tradable assets, and more.
80+ currency pairs & competitive commission-based fees with volume rebates
Capitalise AI for code-free algo trading.
3
4/5
The ratings shown on DailyForex.com are determined by hours of research from our editorial team into over 10 factors, including account fees, deposit/withdrawal options, regulatory status, tradable assets, and more.
Solid services + excellent currency converter
4
3.6/5
The ratings shown on DailyForex.com are determined by hours of research from our editorial team into over 10 factors, including account fees, deposit/withdrawal options, regulatory status, tradable assets, and more.
Decent commission-free pricing environment with spreads from 0.8 pips or $8 per lot
Choice of trading platforms with excellent charting packages & 80+ currency pairs
5
3.5/5
The ratings shown on DailyForex.com are determined by hours of research from our editorial team into over 10 factors, including account fees, deposit/withdrawal options, regulatory status, tradable assets, and more.
Market-leading product and services portfolio with ultra-low trading fees
Superb asset selection covering 135 markets.

Compare the Best Regulated Forex Brokers that Accept US Clients

Regulators
ASIC, CySEC, FCA, FMA, FSCA, MASASIC, CFTC, CIMA, CySEC, FCA, FSA, IIROC, NFAASIC, BVIFSC, CFTC, FCA, FSA, IIROC, MAS, MFSAFCAN/A
Year Established
20082001199619741978
Execution Type(s)
Market MakerMarket MakerECN/STP, Market Maker, Matched Principal BrokerMarket MakerECN/STP, No Dealing Desk
Minimum Deposit
$100
$100
$0
$250
$0
Average Trading Cost EUR/USD
1.3 pips1.1 pips0.9 pips0.9 pips0.2 pips ($2.00)
Average Trading Cost GBP/USD
1.7 pips1.3 pips1.3 pips1.4 pip0.4 pips ($4.00)
Average Trading Cost Gold
$0.34 $0.63 $0.30 $0.30 $0.17
Trading Platform(s)
Proprietary platform, Web-basedMetaTrader 4, MetaTrader 5, Proprietary platform, Trading ViewMetaTrader 4, Proprietary platformMetaTrader 4, Proprietary platformProprietary platform
Islamic Account
Negative Balance Protection

Plus500

In Summary multi-asset and CFD broker

Plus500 Futures ranks among my best brokers in the USA listing due to its user-friendly, web-based trading platform and its choice of futures contracts, especially for commodity traders, where it provides broad-based sector coverage for soft and hard commodities. Another benefit for futures traders at Plus500 is trading fees consisting of tight spreads and a commission of $0.49 per micro contract and $0.89 per standard contract. A $10 auto-liquidation fee also exists if Plus500 must liquidate a contract.

Cunningham Commodities LLC, a wholly owned Plus500 subsidiary and National Futures Association member provides futures trading at Plus500 to US-resident traders.

Read more on Plus500 »
5.0/5 in this category
Get Started
80% of retail CFD accounts lose money

Pros & Cons

  • Broad asset selection in equities and options
  • Free and unlimited demo account
  • Advanced free-of-charge analytical trading tools
  • Global and regulated fintech platform
  • Sub-standard trading platform without support for automated or social trading

Forex.com

In Summary Excellent trading conditions + NFA regulation

If you are looking for the best US Forex broker, a true global market leader like Forex.com should be on your list. As a US trader, you can be comfortable knowing that Forex.com meets all necessary regulations that are required of Forex brokers accepting US clients. Forex.com is owned by StoneX Group, a publicly traded company on the NASDAQ exchange, meaning it must meet the highest standards of corporate governance, financial reporting, and disclosure. Forex.com offers its own Advanced Trading Platform with sophisticated features and integrated trading tools designed for serious traders. Forex.com is best for regulatory compliance, trading platforms, and trading software that provides ultrafast execution speed and transparency of performance.

Read more on Forex.com »
4.9/5 in this category

Pros & Cons

  • Lower minimum deposit
  • Islamic account available
  • Good reputation
  • Choice of account types
  • Withdrawal fee

OANDA

In Summary Solid services + excellent currency converter

Oanda brings the trusted MT4 trading platform to the US, which fully supports algorithmic trading solutions and has embedded copy trading services. Oanda upgrades MT4 via its 28-plugin MT4 Premium Upgrade and Autochartist. It also connects social traders to the active TradingView community, where 50M+ traders share ideas and discuss trades, while API trading caters to demanding algorithmic traders. Manual traders can opt for the user-friendly web based Oanda Trade platform. Forex traders get a selection of 70+ currency pairs. Active traders can lower trading fees via a rebate program by up to 34%.

Read more on OANDA »
4.0/5 in this category

Pros & Cons

  • Excellent 28-tool MT4 upgrade package and outstanding trading tools
  • Trustworthy broker with more than 25 years of experience
  • Competitive pricing environment
  • Quality market commentary on the OANDA blog MarketPulse
  • Asset selection does not include equities

IG Markets

In Summary No withdrawal fee

IG is a global giant in the world of retail brokers. To give you an idea of IG’s scope, here are some quick facts: IG serves over 239,000 clients worldwide, has access to over 17,000 markets, and has been in operation since 1974 (over 45 years). In a world where US Forex brokers come and go every year, maintaining a consistent presence decade after decade demonstrates a deep commitment to the industry. As a US trader, IG offers you their own award-winning web-based platform and mobile trading apps for iOS and Android devices. IG is also considered one of the best US Forex brokers for beginners because it has a comprehensive online trading academy with on-demand videos and live webinars to give you the knowledge you need to succeed.

Read more on IG Markets »
3.6/5 in this category

Pros & Cons

  • Broad asset selection for Forex traders
  • Quality choice of trading platforms, including MT4
  • Autochartist signals integrated with the proprietary web-based platform
  • Limited deposit and withdrawal methods
  • Higher minimum deposit requirement, but within a reasonable demand

Interactive Brokers

In Summary suits demanding traders and algorithmic strategies

In Summary - An industry-leading option for demanding clients & algorithmic traders

Interactive Brokers ranks among the best-capitalized non-bank brokers for US-based traders and investors, offering an industry-leading asset selection covering 135 markets across 33 countries in 23 currencies. Its product and services portfolio caters to all requirements, from individual accounts to retirement planning and asset management to algorithmic portfolios. Trading fees at Interactive Brokers rank among the lowest industry wide. Interactive Brokers deploys cutting-edge trading platforms, and its flagship IB Trader Workstation supports algorithmic trading. Interactive Advisors is the Interactive Brokers Robo portfolio unit, granting traders access to portfolios from just $100. The Investors Marketplace lists 2,000+ services across five categories, and Probability Lab supports options traders.

Read more on Interactive Brokers »
3.5/5 in this category

Pros & Cons

  • Many Different Features
  • Many Educational Services
  • Overwhelming Amount of Information
  • No Mention of Bonuses or Promotions

How to Choose a Forex Broker as a US Trader

Here is a checklist you can employ for yourself, to use when evaluating the best Forex brokers for US traders.

1. Trading Costs: Spreads, Commissions, & Leverage

Spreads and commissions (if charged) can make a substantial difference to your overall cost of trading, as these are going to be the biggest cost you face by far, unless you make very few trades and hold for the long term. It is important to be sure that you really know what spreads and commissions are going to really be – do not rely upon what you see in a broker’s demo account.

Leverage – the amount that a broker will let you borrow to trade – is another critical issue. It is important to check the maximums allowed asset by asset.

2. Account Types

Some Forex brokers in the USA will offer their clients a choice of different types of accounts.

Some general rules about which account type is going to be most suitable for you:

  • A Micro Account accommodates deposits lower than $500.
  • A Mini Account accommodates deposits lower than $10,000 and will be the more suitable vehicle for most retail Forex traders with more than $500 to deposit.
  • A Standard Account is most suitable for more experienced traders with more than $10,000 to deposit.

3. Minimum Deposit

Minimum deposits required by the top Forex brokers in the USA tend to be low and affordable for most Americans, at ranges between approximately $100 and $250.

4. Trading Apps

Every Forex broker in the US will offer their own dedicated trading app and they are mostly reaching extremely high standards.

5. Customer Service

Person-to-person customer service is something that you will probably never need, but you do want to know that if you need it, it is there and of a high standard.

All Forex brokers for US citizens today have automated FAQ searches which should troubleshoot a solid majority of any operational difficulties you might encounter.

Is Forex Legal in the US?

Yes. As a US trader, it is legal for you to trade Forex. US regulators exist to make sure Forex brokers accepting US clients are properly monitored to act ethically and lawfully.

Understanding the US Forex Market

With the popularity of Forex trading, the competition among US-based Forex brokers intensified. I have created an in-depth analysis of all regulated Forex brokers in the USA and narrowed down the list to our top US Forex brokers, so you can choose the best broker for you.

The US dollar is the world’s largest currency and is considered the world’s reserve currency. Oil, gold, and most other commodities are priced in US Dollars. The term “major pairs” are Forex pairs containing the USD, for example, EUR/USD, USD/JPY, GBP/USD, etc. That said, US Forex brokers usually offer Forex pairs that do not contain the US Dollar, for example, EUR/JPY, CAD/JPY, GBP/NZD, etc. Forex pairs not containing the US Dollar are known as “crosses.”

US Forex Market Regulation

If you are being offered services from a US Forex broker, they must be regulated by the Commodity Futures and Trading Commission (CFTC) and be a member of the National Futures Association (NFA). The NFA offers an online verification system called Background Affiliation Status Information Center (BASIC), where Forex brokerage firms can be verified for having the necessary regulatory compliance and approval.

What is the US Market Regulation?

If you are being offered services from a US Forex broker, they must be regulated by the Commodity Futures and Trading Commission (CFTC) and be a member of the National Futures Association (NFA). The NFA offers an online verification system called Background Affiliation Status Information Center (BASIC), where Forex brokerage firms can be verified for having the necessary regulatory compliance and approval.

How a Regulated Market Benefits You

Forex regulation in the US benefits you in two ways. Firstly, it ensures that regulated US Forex brokers are well run and capitalized, which helps lower the probability that your broker will collapse and leave you waiting to get your deposit returned while you wait for bankruptcy proceedings to be concluded. Secondly, it ensures that your broker cannot unfairly take advantage of you and must offer you a fair market, and the trading conditions which their advertising promises.

How to Verify Your Broker is Regulated

Regulated Forex brokers always publish the information verifying by whom they are regulated and usually also the details of their license. It is usually published at the bottom of the home page of their website, and sometimes at the bottom of every page within the website. Typically, regulated Forex brokers also have a dedicated web page giving full in-depth details of their regulatory arrangement.

Dodd-Frank Act

The Dodd-Frank Act, a set of US regulations passed in 2008 in response to the financial crisis, had a huge impact on US Forex brokers. Many feel that the stringent regulations resulted in US Forex brokers moving operations offshore or closing their doors completely. Those US Forex brokers that remain now face some of the most stringent capital requirements required by Forex brokers anywhere in the world plus hefty licensing costs.

It is worth noting that the Securities Exchange Commission (SEC) does not have authority over the Forex market because it does not consider currency pairs securities.

US Forex Brokers - Pros & Cons

The Pros are:

  • Strong regulation
  • Forex brokers for US citizens have worked very hard to meet all the regulatory requirements.
  • Well-capitalized
  • Excellent compliance
  • No regional or state-level differences.

The Cons are:

  • Stringent requirements have made it difficult and costly for Forex brokers to accept US clients.
  • Limited choice of Forex brokers accepting US clients.

Forex Trading Times in the US

The US Forex market for retail traders concentrates around the eastern time zone. Although there is no hard line that defines when the Forex market opens for US traders as it runs 24 hours a day, five days a week, it is widely agreed that the US opening time for Forex is at 8 a.m. Eastern Time. The first couple of hours of the US open is typically the most liquid during any 24-hour Forex period because London and other European centers are still operating at that time.

You might also be interested in reviewing the below top brokers:

FAQs

Is Forex tax free in the USA?

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No, Forex profits are not tax-free in the USA. Short-term traders are not taxed on an advantageous basis either. Spot Forex profits are taxed as commodities 1256 contracts or under IRC Section 988.

What is the best Forex broker for US beginner traders?

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To make sure you find the right broker that caters to your specific needs as a beginner, check out our current list of the best US brokers on the market. In our reviews, we assess which brokers offer the best support and learning materials so that you can start off on the right track.

Can you trade Forex in the USA?

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Yes. Forex is legal to trade, and US Forex brokers are well regulated by the National Futures Association (NFA) and the Commodity Futures Trading Commission (CFTC).

How to become a Forex trader in the US?

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The keys to becoming a Forex trader in the US is having a methodology or trading strategy that you have profitably tested on a demo account, and then finding the best US Forex brokers that will execute your trades when you switch to a live account.

Do Forex brokers report to the IRS?

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Yes, all Forex brokers in the USA, and those abroad which accept US persons as clients, are legally obliged under US laws to report their clients’ trading profits to the IRS.

What Forex brokers can Americans use?

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US persons can use any Forex broker which will accept them as a client. According to US law, Forex brokers outside the USA which accept US persons as clients are supposed to report to the CFTC, so very few Forex brokers outside the USA will accept US persons as clients. Many Americans feel uncomfortable trading with overseas brokers not reporting to the US, although this seemingly is not a criminal offence. This means the range of choice of Forex brokers for US persons is quite narrow.

Can US citizens trade Forex overseas?

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The consensus opinion is that US citizens can trade with Forex brokers overseas even if they do not report to the CFTC, although there are very few such brokers accepting US persons as clients. Although it is seemingly legal for the trader, it is unclear whether it is advisable.

Do Forex brokers accept American Express?

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There are some Forex brokers which accept American Express as a source of funding, while others do not.

Huzefa Hamid
About Huzefa Hamid

I’m a trader and manage my own capital. I trade the major Forex pairs, some Futures contracts, and I rely entirely on Technical Analysis to place my trades. Today, I am also a Senior Analyst for DailyForex.com. I began trading the markets in the early 1990s, at the age of sixteen. I had a few hundred British pounds saved up (I grew up in England), with which I was able to open a small account with some help from my Dad. I started my trading journey by buying UK equities that I had read about in the business sections of newspapers. The 1990s were a bull market, so naturally, I made money. I was fortunate enough in my early twenties to have a friend that recommended a Technical Analysis course run by a British trader who emphasized raw chart analysis without indicators. Having this first-principles approach to charts influences how I trade to this day.