Forex trading in Europe: best online brokers in Spain, Cyprus, Poland, Estonia, and Bulgaria
Europe is the place of the world’s oldest financial markets and a major Forex trading center. European Forex brokers are one of the most reliable companies with transparent trading conditions and strict regulations imposed by the governments of the European Union countries and global financial regulatory bodies like FCA, BaFIN, CySEC, and AFM, and comply with the MiFID Directive.
Our team of analysts has already talked about trading in European countries such as the United Kingdom, Germany, Sweden, the Netherlands, France, Norway, Italy, and Denmark (click on the country to read the article), so now we will look at the key points of trading in Spain, Cyprus, Poland, Estonia, and Bulgaria, as well as compare the best Forex and CFD brokers with reliable licenses and attractive trading conditions for each state.
Forex trading in Spain
At the end of 2021, the Spanish economy continued to hold the fifth position among the most powerful economies of the European Union. At the same time, the Kingdom of Spain does not stop competing on the world stage for 12th place with Australia.
The favorable economic and geographical position plays a key role in the success of the country. It is located at the crossroads of the most important economic routes that connect the European continent with America and numerous African states. But, the Spaniards have not only a favorable location, but also a developed industry, agriculture, and tourism, as well as a large Forex market, thanks to which they manage to provide a favorable standard of living.
Currency pairs trading in Spain
The local currency in Spain, as well as in most European countries, is the euro, although until 2002 there was a peseta in circulation. Traders can choose from popular major currencies such as EUR/USD, GBP/USD, and USD/JPY, which tend to have the lowest spreads, not to mention that they have a wealth of information that can help you make informed solutions. In addition to the major currency pairs, traders in Spain also have access to dozens of major and minor combinations as well.
Spanish securities trading on the Forex market
The Madrid Stock Exchange (Bolsa de Madrid, BM) is the largest international Spanish exchange, among the four available (there are also in Valencia, Bilbao, and Barcelona, which are of regional importance). The market converts not only Spanish stocks but also bonds with variable income. The exchange is under the authority of the Bolsa y Mercados Espanoles concern, so the Madrid Stock Exchange has the abbreviation BME, and the exchange itself is located in the Palacio de La Bolsa de Madrid, in a square in the center of Madrid.
The entire system of the exchange is displayed by two indices, these are IGBM and IBEX-35. Unlike indices of other exchanges, IGBM is calculated not from the value of shares, but from economic sectors, which include: goods for the general population, energy, modern technology, banking, construction, and everything related to the construction and sale of housing. The second IBEX-35 index, like the vast majority of others, is calculated by the average value of the 35 largest firms on the exchange. After opening an account with a broker that provides access to the Madrid Stock Exchange, you will be able to buy shares in large companies such as Telefonica SA, Inditex, Abertis, ACS, Abengoa, and many others.
Commodity, Crypto, and derivatives trading in Spain
With regard to commodity trading in Spain, it includes trading in precious metals, energy carriers, and agricultural commodities, among which oil products, copper, as well as futures for various agricultural crops stand out.
In addition to the usual currency pairs, stocks, and indices, traders can also deal with Cryptocurrencies and various derivative financial instruments such as CFDs, with which you do not actually buy the underlying asset itself, but instead deal with the purchase and sale prices of this financial instrument.
Forex regulation in Spain
Speaking more about Forex brokers in Spain and their regulation, most financial companies registered in Europe are subject to the EU Markets in Financial Instruments Directive or MiFID. Members of the European Union, under the supervision of the MiFID directive, are allowed to legalize the authorization received from the European Regulatory Authority in order to be able to operate in the European Union, as well as in the European Economic Area, opening the entire territory of European countries to brokers.
Along with MiFID, the European Securities Market Supervisory Authority, called ESMA, has been operating in Europe since 2011. ESMA audits and supervises the work of national regulators in the Eurozone.
Spain’s national regulator is called the Comisión Nacional del Mercado de Valores or CNMV, a well-known supervisory body founded in 1988 and responsible to the Spanish Ministry of Economy and Finance. It is responsible for the financial regulation of the securities markets in Spain and is an independent agency that is part of the Ministry of Economy.
In general, trading opportunities in Spain are very diverse, ranging from well-known financial instruments such as currency pairs, commodities, and CFDs, but there are many ancillary instruments available to meet the needs of demanding traders on popular brokerage platforms.
XM Group is the ideal choice for trading your favorite Spanish stocks, bonds, and derivatives. This broker has over 1000 trading instruments including Cryptocurrencies, indices, currency pairs, commodities, metals, and energies.
Traders can use the MT4/MT5 platforms, with various accounts such as Micro, Standard, XM Ultra Low, and Shares, with negative balance protection. In addition, the broker offers an unlimited demo account with a virtual balance of $100000 so that beginners can practice trading without losing real money.
XM Group has a long history in the Forex market and is present in more than 150 countries. The company is overseen by reputable regulators such as CySEC, IFSC, DFSA, and ASIC. If you click below right now, you can check out all the features of the XM broker.
Forex trading in Cyprus
Nowadays Cyprus plays not only a very important role in global tourism, which earned the country almost 10% of its GDP and employed 10.6% of people but also in Forex trading.
The economy here is based on free enterprise. At one time, it was successfully restored and was able to increase the level that was once achieved during the period of invasions.
GDP growth rates are quite satisfactory (Cyprus competes with Portugal and Greece in the European Union), and the country is characterized by high labor force employment and macroeconomic stability. A favorable business atmosphere creates a convenient legislative structure and provides conditions for fair competition and social unity.
Currency pairs trading in Cyprus
Previously, the currency in Cyprus was the Cypriot pound, but in 2008, after joining the European Union, the euro became the currency of the republic. Accordingly, currency pairs with the euro are very popular in trading. Also, sophisticated traders have access to any variation of minor and exotic pairs.
Forex securities trading in Cyprus
The Cyprus stock market is represented by the Cyprus Stock Exchange (CSE). The exchange was founded in 1996. The main currency is the euro. It is a member of the Federation of Eurasian Exchanges. Since 2006, it has been operating on the same platform as the Athens Stock Exchange. The main financial instruments of the Cyprus Stock Exchange are stocks and bonds.
Commodities, Crypto, and derivatives in the Forex market in Cyprus
Traders who prefer to deal with commodities in Cyprus can choose from various derivatives on Forex broker websites such as CFDs, futures, and others on such underlying assets as oil products, crude oil, metals, and all those that will be on the list of offers.
With regard to Cryptocurrencies, this asset is very popular in Cyprus, and its regulation in Cyprus comes down to Cypriot Securities Commission (CySEC) Circular C.268, according to which it was recognized that Cryptocurrency derivatives can be considered financial instruments, which allows their legal use and provision to users by Cypriot trading and investment companies.
Forex regulation in Cyprus
Forex brokers in Cyprus are regulated by the Cyprus Securities and Exchange Commission (CySEC), the supervisory body in the country, founded in 2001, which licenses brokers and monitors the compliance of their transactions with the laws. Cyprus is a member of the EU, therefore CySEC Forex Brokers can provide services in other EU countries, subject to the conditions of the European MiFID. CySEC laws require brokers to keep a trader’s funds in segregated accounts with leading banks in Europe for security purposes. Also, Cypriot brokers are members of the ICF (Investor Compensation Fund), indemnifying losses up to 20000 €.
Plus500 is a popular online brokerage platform in Cyprus providing CFD trading services on various assets such as currency pairs, indices, commodities, Cryptocurrencies, stocks, options, and ETFs.
The broker presents a trading terminal developed by the company’s specialists. The trading program is available in several versions as a web terminal for PCs and laptops and a mobile application for Android and iOS.
Plus500 is regulated by FCA (UK), CySEC (Cyprus), SFSA (Seychelles), AFSL issued by ASIC, FSP issued by FMA (New Zealand), MAS (Singapore), and FSCA (South Africa) authorized financial services provider license. Try all the possibilities of trading with Plus500 by clicking on our button below.
Forex trading in Poland
At the end of 2017, Poland officially moved from the category of developing countries to developed ones. Today it is one of the fastest-growing economies in Europe.
On the territory of Europe, its resource potential, and economic and political role is quite noticeable. By European standards, it is among the largest states in terms of area and is almost equal to the size of Germany and the population, not much inferior to Spain.
If we talk specifically about the industry of Poland, it is worth noting that the following branches are of the greatest importance: mechanical engineering, fuel and energy complex, metallurgy, chemical industry, light industry, and food industry. The country also has a developed Forex trading sector, which is regulated by a local authority, and traders have both a wide choice of instruments and reputable brokers.
Trading currency pairs in Poland
Polish zloty (PLN) is the national currency of the Republic of Poland. Recently, this currency has been gradually increasing the volume of transactions, and the Polish economy is growing steadily, which ensures the stability of the national currency. With all this, the Polish zloty is a rather interesting trading instrument, the spread on it is gradually decreasing, and the trend is quite predictable. Forex trading is carried out with the help of such major currency pairs as USD/PLN or EUR/PLN, depending on the preferences of the trader. For several years now, the Polish currency has been steadily rising in price in spring and depreciating in autumn, making it easy to determine the main direction of the trend.
During the off-season, it moves in a narrow range, which allows you to enter into short-term transactions. At the same time, due to the liquidity of the monetary unit, the spread is not so large. Besides, traders in Poland have access to all major, minor and exotic currency pairs on the platforms of popular Forex brokers.
Forex securities trading in Poland
The Warsaw Stock Exchange (GPW), located in the capital, financial center, and largest city of Poland – Warsaw, is the main Polish stock exchange, and the largest stock exchange in Central and Eastern Europe. 483 companies are represented at GPW, of which 432 are Polish. Among them are actively traded companies such as Tauron, Orange Polska, PKO Bank Polski, Boryszew, and PKN Orlen. The main index of the GPW exchange is the Warsaw Stock Exchange General Index (WIG), which has been used since the very first day of trading.
This index tracks the performance of all publicly traded Polish companies. Associated with it are the WIG20 and WIG30 indices, which track the dynamics of the 20 and 30 largest companies represented on the GPW, respectively. In addition to stocks, the exchange also offers other instruments such as bonds and futures.
Trading commodities, derivatives, and Crypto in Poland
Poland’s commodities market trades spot and forward contracts for electricity and natural gas in addition to carbon credits. Commodity trading generates about 40% of the group’s revenue.
In addition, traders have the right to choose various derivatives, including CFDs, as well as various instruments for trading Crypto.
Forex regulation in Poland
Trading on the Forex markets is completely legal on Polish soil. The country’s national regulator is the Polish Financial Supervisory Authority (PFSA).
Poland is also a member of the European Union and therefore it has decided to harmonize some of its capital market rules with those of other EU countries in accordance with the provisions of the Markets in Financial Instruments Directive (MiFID).
MiFID grants EU-licensed brokers the right to serve clients from all other member countries.
AvaTrade is a popular European broker that allows you to build your portfolio of over 1250 instruments including currency pairs, commodities, a wide range of Cryptocurrencies, CFDs on stocks, bonds, indices, and more.
The company has created various platforms such as MT4, MT5, Proprietary, AvaSocial, AvaTradeGo, AvaOptions, and WebTrader as well as the AvaTrade mobile app.
The company is regulated by several world-renowned financial authorities such as ASIC, FSA, Abu Dhabi, and British Virgin Islands regulators. AvaTrade also operates a Polish subsidiary in accordance with the AvaTrade EU authorization, which has been approved by the Polish Financial Supervisory Authority.
Forex trading in Estonia
The Estonian economy is one of the most effective small economies in Europe. During the global crisis, this country experienced a moderate decline compared to other Eastern European states, which gave way to a stage of rapid recovery. And according to such a characteristic as the index of economic freedom, this third-largest Baltic country is considered one of the best in Europe.
The Forex market is also popular in the country, and the number of traders is increasing every year, expanding the demand for both basic and derivative financial instruments.
Trading currency pairs in Estonia
The official currency of Estonia since the beginning of 2011 is the euro, which is included in the list of the most traded currencies, among which are also the US dollar (USD), Canadian dollar (CAD), British pound (GBP), Swiss franc (CHF), New Zealand dollar (NZD), Australian dollar (AUD) and Japanese yen (JPY). However, currency market traders are not limited to the euro and can choose major currency pairs, minor, as well as their favorite exotic ones.
Forex trading with securities in Estonia
The Tallinn Stock Exchange, officially Nasdaq Tallinn, is the main stock exchange in Estonia. It is now one of 8 stock exchanges owned by Nasdaq Nordic, part of Nasdaq, which in turn manages the stock markets in several Nordic and Baltic countries.
There are stocks and bonds traded on the Tallinn Stock Exchange. Listed companies include major Estonian companies such as Arco Vara, The Skano Group, Tallink, The Baltika Group, and Premia Foods. The stock exchange has an OMX Tallinn index based on total income, which includes shares of companies that are in the primary and secondary chart of listed securities.
Estonian company shares are also featured in other indices such as OMX Baltic 10, which tracks the top 10 most actively traded Baltic company shares, as well as Baltic sector and industry indices.
Forex Crypto, derivatives, and commodities trading in Estonia
In 2021, the country has a reputation as a digital state due to the support of fintech and blockchain technology. Cryptocurrency in Estonia is equated to ordinary money: it can be used to pay for goods, exchange, trading, and investments. Forex brokers usually offer to trade Crypto assets using various derivatives such as Contracts for Differences, while futures are available for various underlying assets in addition to CFDs.
Forex regulation in Estonia
The Estonian Financial Supervision Authority (EFSA) is the main brokerage regulator in the country. Estonian legislation qualifies the activities of Forex brokers as the provision of investment services. The activities of Forex brokers are regulated by the Estonian Securities Market Act, as well as the European Union Directive on Financial Instruments in the EU Markets (MiFID).
OANDA, being a popular online broker in Europe, offers access to several financial markets including FX, commodities, Cryptocurrencies, and securities.
Traders can open three types of accounts: demo, standard and advanced trader. In terms of trading terminals, OANDA has fully customizable OANDA Trade online and desktop platforms, as well as the popular MT4. In addition, the broker provides applications for mobile phones and tablets.
The company is licensed by such regulators as RFED (USA), MAS (Singapore), IIROC (Canada), FCA (Europe), FSA (Japan), and ASIC (Australia). Open your account with OANDA and get a special offer by clicking on the special button below.
Forex trading in Bulgaria
Bulgaria is a moderately developed industrial-agrarian state in southeastern Europe. Its economy operates on the principles of a free market, is characterized by a high level of agricultural development, and has a large private and a smaller public sector.
Bulgaria occupies a worthy place in terms of the monetary obligations of the population and their material well-being.
Forex trading in the currency and commodity markets, stock markets, etc. is quite popular in the country and is one of the most common ways to get an additional source of income.
Trading currency pairs in Bulgaria
The Bulgarian lev (BGN) is used as the state currency of Bulgaria. One of the most popular currency pairs for trading with the national currency is USD/BGN. For Bulgaria, the USD/BGN currency pair is a kind of gateway through which the Bulgarian lev enters the Forex currency market and is used for free exchange for other fiat money, including such exotic currency pairs as BGN/PYG, BGN/DJF, BGN/MZN, etc. Traders are also always available to buy and sell major and less popular currency pairs.
Forex trading in securities in Bulgaria
The Bulgarian Stock Exchange – Sofia (BSE – Sofia) is the main stock exchange in Bulgaria. There are currently 90 companies listed on the Bulgarian Stock Exchange. The most promising at the moment are the shares of Bulgarian technology companies. The capitalization of the site is about 11 billion leva or about $6.5 billion US dollars.
The Bulgarian Stock Exchange calculates stock indices SOFIX, BGBX40, BG TR30, and BG REIT. The main indicator of the market is the SOFIX index.
Forex trading Crypto, commodities, and derivatives in Bulgaria
To date, no Bulgarian legislative act contains provisions prohibiting Cryptocurrency activities in Bulgaria. The country is guided in its legal approach by the policy of the European Union. Traders, in turn, can buy and sell not only the coins themselves but also derivatives like CFDs.
The same goes for commodities, which can also be traded with futures and other derivatives.
Forex market regulation in Bulgaria
The main regulatory legal act for activities in the securities market, financial, and investment services is the Markets in Financial Instruments Act (MiFIA). The country complies with the provisions of the EU Directive MiFID, which was issued by the European Commission with the aim of harmonizing financial services throughout the European Union. This allows brokerage firms to accept clients from any EU Member State, as permitted by the regulator in their home country.
eToro is one of the most popular brokers in Bulgaria that offers a wide range of assets for trading: stocks, indices, Cryptocurrencies, and commodities. In terms of regulatory oversight, eToro is licensed by the FCA, ASIC, and CySEC.
The broker is an ideal choice for beginners and for those who do not want to follow the market 24/7. The platform allows you to trade on your own or copy the trades of other participants using the Copy Trading tool.
eToro has its own trading terminal, which is available in two versions: in the web version, as well as in the eToro app for Android and iOS. Click the button below and test all the possibilities of trading with eToro.
Forex Social and Copy trading in Europe
Forex trading requires some preliminary analysis of macro and micro economic factors and market movements, which takes time and an experienced vision of the situation, which is sometimes lacking for a novice trader. However, to save time and perfect your skills in the Forex market, there is Copy and Social trading.
Forex Social trading is the practice of copying the trades of other participants through the social media community. The trading community can be used as a place to exchange ideas and discuss your own strategies using many different ways to communicate, including forums, profiles, blogs, signal services, brokers, and special platforms that provide the ability to copy.
Besides, Social trading is also meant for more experienced traders as it allows them to become leaders in trading and get income by gaining more and more followers.
One popular platform that combines Social and Copy trading is eToro. The platform allows you to trade independently or copy the trades of other participants. Any client can create a public portfolio and earn on the fact that other users copy his actions. In addition, with the CopyPortfolios feature, you can subscribe to an entire group of traders in one click. This allows you to diversify your investments without wasting time looking at each account individually.
Best VPN for secure Forex trading in Europe
We often encounter situations when, during various geo-blocks, we need a good VPN to unblock the necessary content, in particular streaming services or torrents. But few people know that a huge number of traders use VPNs for Forex trading. For example, on a trip, when you need to go to your broker’s website, and for some reason, it is not available in this country, a VPN will help you bypass this problem and give you full access. In addition, VPN will protect payment systems for depositing and withdrawing funds on Forex using tunneling and strong encryption, as well as prevent various phishing and hacker attacks. But the possibilities of services are not limited to these functions. A VPN for Forex hides activity from your ISP unless you want it to restrict your internet activity otherwise.
ProtonVPN is an excellent VPN provider with a user-friendly interface and many additional features. It uses military-grade AES 256 encryption, which is arguably the best in the world and is used by armies around the world. In addition, perfect forward secrecy and the Diffie-Hellman protocol allow the secure generation of session keys.
The company offers 112 servers in 14 countries and network access through 10 devices with its own application that you can download to access the virtual private network on the device.
Click the button below to get the best VPN deal for Forex trading:
Besides, ProtonVPN provides free Proton Mail, the world’s largest secure email service, which is open source and protected by Swiss privacy law.
Top Forex and CFD brokers for trading in Europe
Forex trading in various instruments in European countries is becoming quite popular and gives market participants the opportunity to diversify their portfolio with securities of the most promising companies in individual countries, which will help insure themselves against possible risks and losses.
Many novice traders are afraid to enter international markets due to a lack of experience, but you can start with free demo accounts to try various derivatives and hone your trading skills. In addition, it is worth noting that with our selection of the best Forex brokers, you can open several accounts to compare different trading platforms and order execution times. Register, verify your account, and start trading different market instruments on the most favorable terms.
Exness Forex trading in Europe
Exness is a major online broker that offers its clients the opportunity to trade FX and CFDs using the MT4 or MT5 platform, as well as Exness’ own web terminal. Each of these platforms comes in desktop and mobile versions. The company also has free VPS hosting that allows you to remotely connect to the trading terminal.
Clients can register accounts for retail and professional traders and trade various assets. Also, for the convenience of new clients, the broker offers a trial demo account.
The company is licensed by such organizations as FCA, CySEC, FSCA, FSC, FSA, and others. Try trading with Exness using our dedicated button below.
eToro Forex trading in Europe
eToro is a well-known brokerage company with favorable trading conditions, offering more than two thousand financial instruments, including CFDs, stocks, and 101 Cryptocurrencies, for trading on its own trading terminal, which is available in two versions: in the web version, as well as in the eToro app for Android and iOS. Also, a standout feature of the broker is eToro’s CopyTrader, a Social trading tool that allows you to automatically copy trades from other eToro users.
The broker is licensed by such regulators as FCA, ASIC, and CySEC. Click the button below and test all the possibilities of trading with eToro.
IQ Option Forex trading in Europe
IQ Option is a large brokerage company with over 400 trading instruments which consist of Forex, stocks, Crypto, ETF, and many more.
The trading terminal of the company is available on the desktop for Windows/MacOC, in the mobile version of iOS/Android, and via the Internet. In addition, it allows you to practice on an impressive free demo account with a $10000 virtual fund.
The broker complies with European legislation and has FCA, CySEC, and MiFID licenses, which allow the company to work with traders from Europe. Click the button and try trading with IQ Option on favorable terms.
NAGA Markets Forex trading in Europe
NAGA Markets is an international broker offering over 950 instruments and assets including currency pairs, stocks, indices, commodities, and ETFs.
The company known for all the advantages of copying trades is NAGA Autocopy, which allows you to automatically follow the leading traders on the platform and learn from their experience.
In addition, NAGA Markets offers a wide range of trading tools and educational materials to make trading more efficient and safer.
As far as regulation is concerned, NAGA is an authorized broker with CySEC in Cyprus, which gives it the ability to serve EU clients in accordance with European MiFID and ESMA requirements. In addition, NAGA maintains a branch office in Saint Vincent and the Grenadines through which it can provide online trading services to international clients. Click the button and get all the benefits of trading with NAGA Markets.
HF Markets Forex trading in Europe
HF Markets, known as HotForex before rebranding, is a good choice for trading various financial instruments including dozens of European securities. In addition, the broker has excellent conditions for Forex Gold trading, including low transaction costs and flexible leverage.
The company has provided MT4 and MT5 terminals, which are available on desktop, web, and mobile versions for Windows, iOS, macOS, and Android. HF Markets has different types of accounts to suit all needs: Micro, Premium, Fixed, VIP, and Zero Spread. In addition, traders can use a special HFCopy platform to follow the strategies of successful traders while the latter can profit from sharing information. Also, there is always a demo account with a virtual balance of $100000.
HF Markets is regulated by CySEC in Europe. In addition, the broker has FCA (UK), FSCA (South Africa), DIFC (Dubai), and SFSA (Seychelles) licenses that guarantee safe and transparent trading. Click the button to get a special offer from TopForex.trade.
Forex trading in Europe - FAQ