Frequently Asked Questions
How can I access my account if I forgot my account ID?If you forgot your account ID, you can look for the welcome email you received from us when you opened your account. The email’s title is “Welcome to City FX Broker”. It contains your Account ID and password. If you cannot find the welcome email, contact our Support center or get in touch with your account manager to recover your account ID.
I forgot my password. How can I retrieve it?
If you forgot your password, click here to reset it.
How can I change my password?
Click here to reset your password. Then you will be able to set a new password.
Deposit and Withdrawal
What documents do I need to provide?
To be able to withdraw your funds, you will need to pass the verification procedure, which you can learn about on our "Know Your Customer Policy" page.
You will be required to provide a proof of identity (passport or ID) and proof of address (for example, a utility bill).
For your credit/debit card, you will need to provide a copy of the card. For security purposes, you will have to black out digits 7-12 in the front, as well as the three digit CVV code on the other side.
How long does it take for my withdrawal to reach me?
We try to process all withdrawal requests as quickly as possible.
However, it make take longer for your withdrawal to reach you depending on bank conditions
Where do my funds arrive?
Withdrawals are made via the original deposit method. For instance, if you deposit with your credit card, your withdrawal will be sent back to the same card.
What is the minimum withdrawal amount?
The minimum withdrawal is necessary to avoid dust amounts from being processed.
The minimum withdrawal amount is 100 USD/EURO (according to account currency)
How can I make a deposit?
An account is required in order to be able to make your first deposit. Registering on City FX Broker is quick, easy and free.
Just follow this signup link. Once your account is registered, you can deposit additional funds into your trading account by logging into the Members Area, clicking “Deposit”, and choosing the payment method you prefer.
There you will find further instructions specific to your payment option.
Opening an Account
How do I know that my account has been opened?Cityfxbroker will notify you by email as soon as your account has been opened.
How can I open a trading account with City FX Broker?
You can apply for an account with City FX Broker online. To open an account, click here.
What information do I need to provide to register?
You need to provide your name, email address, and phone number. You also need to choose a password to complete the registration procedure.
What is the minimum deposit to open an account?
Depending on your account's established currency, the minimum deposit amount at City FX Broker is either €250 or $250.
How do I know that my account has been opened?We will notify you by email as soon as your account has been opened.
How to manage risk in Forex?
You can apply a wide variety of risk management tools including limit orders and stop loss orders. Limit orders put a restriction on the maximum price to be paid or the minimum price to be received. Stop loss orders limit potential losses in case of unfavorable market movements, as they automatically close a position at a predetermined price.
Risk management in Forex
Only invest money you don't need.
It might sound obvious, but the first rule in currency trading, or any other kind of trading for that matter, is to only risk the money you can afford to lose. Many traders, especially beginners, skip this rule because they assume that it would not happen to them.
If trading were like casino, you wouldn’t take all the money you have to the casino to bet on black, right? Well, it’s the same with trading — don’t take unnecessary risks by using money you need to live.
Because it’s possible to lose all your trading capital, and secondly, because trading with funds you live on will add extra pressure and emotional stress to your trading, compromising your decision making abilities and increasing the chances of making mistakes.
The Foreign Exchange market is a very volatile and unpredictable market, so it’s better to trade from your disposable income.
Think about your risk tolerance.
Before you start trading, you need to determine your risk tolerance, depending on:
- Your age
- Your knowledge of FX trading
- How much you’re willing to lose
- And your investment goals
Knowing your risk tolerance is not just about helping you sleep better at night, or stress less about currency fluctuations.
It’s about knowing you are in control of the situation, because you’re investing the right amount of money in relation to your financial objectives.
Keep your investing within your risk tolerance and you will decrease your income.
Set your risk/reward ratio to a minimum of 1:3.
Knowing about risk/reward ratio (RRR) will definitely improve your chances of becoming profitable in the long run, setting limit orders (stop-loss and take-profit) that protect your capital.
A RRR measures and compares the distance between your entry point and your stop-loss and take-profit orders.
Let’s say that you’re investing on the EUR/USD.
If the distance between your entry level and your stop-loss is 50 pips, and the distance between your entry point and your take-profit is 150 pips, then you would be using a RRR of 1:3, because you’re risking 50 pips to earn 150 pips (150/50 = 3).
The risk/reward ratio is a necessary tool to set your stop-loss and take-profit orders depending on your risk tolerance, and every wise trader should control the downside risk.
Even though determining a RRR depends on each trader’s risk tolerance, it’s common to use a risk/reward ratio of 1:3, where you expect to earn 3 times what you’re willing to lose.
Control your risk per trade.
When thinking about risks, you also need to consider your trading capital.
You should only invest a small portion of your trading capital per trade: a good starting point would be to not invest more than 2% of your available capital per trade.
If you have $10,000 in your Forex trading account, the maximum loss allowable would be $200 per trade.
Determining the risk per trade is a helpful tool if you go through a losing streak, so then you can better protect your trading capital, and avoid large drawdowns in your trading account.
Keep your risk consistent.
Most beginners will increase the size of their positions as soon as they’re making profits, which is one of the best ways to get your account wiped out. Keep your risk consistent.
Just because you’ve made a few winning trades doesn’t mean the next one is going to be profitable.
Do not become over-confident and less risk-averse, as that will lead to you changing your money and risk management rules without solid reasons.
When you worked on your trading plan, you had to set up rules to decide about an effective size for your positions. This is just one step in establishing a successful trading method, now you need to stick to and follow your trading plan!
Understand and control leverage.
The three margin products we’ve introduced so far in the guide – spot Forex, CFDs and spread bets – are all leveraged products.
Leverage means that you can trade more money than your initial deposit, thanks to margin trading. Your broker will only ask you to put aside a small portion of the total value of the position you want to open as collateral.
When using leverage, your profits can be magnified quickly, but remember the same applies to your losses in equal measure. This is why you need to understand how leverage and margin trading work, as well as how they impact your overall performance and trading.
Forex traders are often tempted to use high leverage to make significant profits, but if you’re over-leveraged one quick change in the market, or a simple mistake, could end up with an outsized hit.
In August 2018, the European Securities and Markets Authority (ESMA) imposed limitations on the leverage offered by brokers. These leverage limits on the opening positions by retail traders vary depending on the underlying:
- > 30:1 for major currency pairs, and
- > 20:1 for non-major currency pairs.
ESMA did this for a reason: retail traders, especially new ones, are normally bad at managing leverage and end up losing money because of it.
Take currency correlations into consideration.
Because currencies are priced in pairs, it’s important to understand that currencies are linked to each other, or correlated.
Knowing about Forex correlations will help you better control your Forex portfolio’s exposure by reducing the overall risks. Correlation represents a measure of how one asset’s price changes in relation to another.
If two assets are positively correlated, it means that they tend to move in the same direction, while if they are negatively correlated, they will evolve in opposite directions.
To use FX correlations to your advantage, you need to remember a few things:
Avoid opening several positions that cancel out each other
For instance, if you go long on the EUR/USD and the USD/CHF, you can expect both currency pairs to evolve in opposite directions, which is almost like having no trading position in your account.
Because the USD is used once as a base currency (USD/CHF), and once as the quote currency (EUR/USD), which means that if the USD strengthens against its major counterparts, then the EUR/USD will go down, while the USD/CHD will go up – the evolution of one exchange rate cancelling out the other one.
Avoid opening positions with the same base currency, or quote currency
For instance, if you go long on the EUR/USD, the AUD/USD, and the GBP/USD, you can expect these currency pairs to be positively correlated because they all have the same quote currency, the USD.
It means that when the USD strengthens/weakens, your portfolio will go up/down.
Be aware of commodity currencies
Commodity currencies represent currencies that move in accordance with commodity prices, because the countries they represent are heavily-dependant on the export of these commodities.
As a general rule, if the price of commodities strengthen, then the currencies of the commodity producers will go up — and vice-versa.
The main correlations to know about are the Canadian Dollar (CAD) and oil, the Australian Dollar (AUD) and gold/iron core, as well as the New-Zealand Dollar (NZD) and wool and dairy products.
To improve your Forex trading performance, you should understand your exposure: some currency pairs move together, while others evolve in opposite directions. The key is to diversify your portfolio to mitigate risks.
How can I learn to trade forex?
We offer our traders a wide variety of learning options.
To sharpen your skills and expand your knowledge, click here.
There you will find forex articles, video tutorials, glossary of forex terms, trading tips, and useful tools.
What trading strategy can I use?
With City FX Broker, you can use any trading strategy you are confident in. It can be one of popular trading strategies (scalping, momentum trading, position trading, day trading etc.), as well as your own strategy.
What do long and short positions mean?
You open a long position if you buy a currency, and you open a short position if you sell a currency.
When is the market open?
Forex market works 24/5.
It opens on Sunday 5 p.m. EST (10 p.m. GMT) and closes on Friday 5 p.m. EST (10 p.m. GMT).
What is a spread?
When a price for a market is quoted, there are two prices.
The first price, known as the bid, is the sell price and the second price is the buy price, known as the offer.
The difference between the sell and buy price is called the spread.
Every market has a spread and so does forex. A spread is simply defined as the price difference between where a trader may purchase or sell an underlying asset. Traders that are familiar with equities will synonymously call this the Bid: Ask spread.
What is a spread on Forex?
- Spreads are based on the buy and sell price of a currency pair
- Costs are based on forex spreads and lot sizes
- Forex spreads are variable and should be referenced from your trading platform.
It’s important for traders to be familiar with FX spreads as they are the primary cost of trading currencies. How forex spreads work, and how to calculate costs and keep an eye on changes in the spread to maximize your trading success.
What leverage is applied to my account?
Leverage available for you trading account with City FX Broker varies from 1:100 to 1:500 depending on account type. For more details, visit the Account Types page.Leverage in Forex is the ratio of the trader's funds to the size of the broker's credit. In other words, leverage is a borrowed capital to increase the potential returns. ... So, Forex Leverage is a way for a trader to trade much bigger volumes than he would, using only his own limited amount of trading capital.
What trading platforms do you offer?
City FX Broker provides access to MT5 Application and MT5 Web Platform.
What leverage is applied to my account?
Leverage available for you trading account with City FX Broker varies from 1:100 to 1:500 depending on account type. For more details, visit the Account Types page.
Does City FX Broker charge any fees or commissions?
No, City FX Broker do not charge any fees or commissions for the services we provide.
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