In this VideForex review, we dig into one of the most interesting brokers to hit the market. A relatively new entrant to the broker scene, VideForex has pioneered one of the most innovative trading features in live video chat. What this allows is for you to speak to a member of their customer services team at any time (24 hours a day).
This was a wise move by VideForex as it ensures that all investors are able to get information on their accounts and potential positions in real time from a skilled agent at the broker. This is not unlike the live poker rooms that are quite prevalent these days.
VideForex is also one of the few brokers that accepts US clients. This was weird to the FXaxe team as they appear to have no formal regulatory oversight. They claim that they are UK based but that does not mean that they are formally regulated there.
With that all being said, let’s jump right in this VideForex review.
Visa, Mastercard, Bank Wire, PayPal, WebMoney, Neteller
EUR, USD, RUB, GBP
English, Russian, French and Spanish
High / Low, Long Term, Pair Options, 60 Seconds, One Touch, Ladder Options
Option Expiry Times
30 seconds to 1 year
VideForex offers a number of different trading options. For starters, you can trade many markets including stocks, Forex and commodities. In terms of expiry times, they offer a the exciting 30 second expiry all the way up to the equally brave 1 year option. However, even if you get into a trade that you do not see yourself letting expire, they have the option for early termination of a trade.
In terms of trade sizes, VideForex allows you to place trades for as little as $1 all the way up to $10,000. In order to open an account with VideForex, you are required to make a minimum deposit of $250. Once complete, there are three tiers of trading accounts.
Entry Level. This is the entry level account that requires the $250 minimum deposit. You will also get a 20% welcome bonus as well as access to all training materials.
Mid Tier. The next tier off account is the Silver account which requires a deposit of $1,000. They will also give you a 50% bonus with this package as well as access to a master class web session on professional trading. It also has an interesting trade option where you can invest in trades which are known to be risk free. If the trade does not result in a profit then VideForex will reimburse you in the form of a trading bonus.
Advanced. This is the top tier account level which requires a minimum deposit of $3,000. VideForex will match you with a 100% bonus on this deposit. Apart from this, you also have access to a dedicated personal success manager at hand any time
When taking bonuses from VideForex or any other binary options broker for that matter, you have to make certain that you understand the terms that are attached to them. Broker bonuses usually have something called a “turnover” requirement.
This essentially means that the broker will require you to complete a certain amount fo trading before you are allowed to withdraw any bonus. This is termed the “turnover” and it is the total trading volume.
This can sometimes be really onerous to the point at which you are unlikely to ever withdraw. You should ask the Videforex ladies exactly what is behind the bonuses and which bonus structure works best for your trading strategy.
For example, there are some traders who use technical analysis trading strategies that are able to turn over a great deal of volume within a day. These traders may then think that it makes sense to get a bonus. They may view the bonus as “broker money” that they can stake on their trades.
However, if you are not an active traders and are not meeting at least 1x your deposit and bonus amount on a daily basis, then you should avoid the bonus. It could be a greatly frustrating experience for you if you are unable to withdraw your deposit because your funds are being held on a bonus clause.
Is VideForex a Scam?
When we take a look at brokers online, there are usually a number of things that we look at to determine whether they are a scam. One of the most important is to understand where they are regulated and which agency / government has control over the broker.
This VideForex Review is no different.
Videforex is registered as a company in the United Kingdom. VideForex.com is run and operated by Suomen Kerran LP which has registration number SL25219 located at 58A Broughton Street, Edinburgh, EH1 3SA, Scotland.
Does this mean that they are regulated by the FCA? Unfortunately not.
Videforex may be registered in the UK but they preferred getting regulated by the agencies in Vanuatu. This is probably because of the cost that is involved these days in getting an FCA license. You can read more about Binary options regulations if you are interested in the legal nuances.
Another really important consideration for us to determine whether a broker is a scam is a really bad online reputation. Videforex is still a relatively new broker so we cannot form an exact opinion on that. There are two forum posts but it can be hard to separate those traders who have legitimate concerns and those the did not follow the protocols.
Another “scam” red flag that we sometimes see with brokers is the use of any language that claims that a return on an investment is guaranteed. Anyone who has ever traded knows that such promises are unrealistic and are invariably always used by brokers who are trying to lure in newbies.
These promises of returns could either come from the broker or throughe excessive scammy testimonials. You are likely to have encountered this on other binary option or forex brands. They are usually pictures of stock models that claim that the broker changed their life.
Videforex does not have any of these testimonials. If you were interested in all the other criteria one can use to judge the “scaminess” of a broker, you can read more about our coverage on binary options scams.
Deposits & Withdrawals
You can deposit funds into the account in GBP, RUB, EUR and USD. Payments are accepted from most of the major credit cards as well as wire transfer and PayPal. This is not something that we have usually come across and no doubt makes it a great deal easier for traders to fund / withdraw from their accounts.
Something else that really stood out for us was the withdrawal times that Videforex was able to process requests. They claim that they are able to facilitate a withdrawal request in under 1 hour. This is not something that we have ever heard of from any broker online.
Of course, the devil is most likely in the detail.
While the broker says that they are able to process the withdrawal in this time, it is likely to take a great deal longer if you use more traditional methods of funding. These include wire transfers for example which will usually take 2-5 business days as they have to be sent via swift.
You also need to make sure you understand the terms and conditions on the withdrawals. For example, if you have been given a bonus as we mentioned above, you need to meet the turnover requirement before you will be allowed to withdraw any funds.
They also have a minimum withdrawal amount on the account of $50. This is most likely down to the cost that it takes for Videforex to process these withdrawals than down to any questionable business practices.
This ties in with the withdrawal / deposit point quite well. Given that Videforex is a regulated broker, they are required to conduct a certain minimum of KYC (Know Your Client) and AML (Anti Money Laundering) on their clients.
Yes, this is even the case with a licence from Vanuatu.
This is why when you are conserving trading with Videforex they may ask for identifications such as proof of identity and proof of address. Some people may be suspicious in providing this information but it is a requirement in order to trade on the platform.
Moreover, if you have decided to trade without verifying your identity at the broker then they are within the regulatory right to refuse a withdrawal unless you can pass the rest of their KYC procedures. This is usually where most newbie traders get stuck up.
It is also important to note that funds can only be sent to Videforex from a bank account / credit card in your name and not from third party accounts. You also can only withdraw through the same accounts / processes that you deposited with.
VideForex Trading Platform
Given that the FXaxe team were not given any access to a demo account in this VideForex Review, we could not give our complete opinion. On the face of it though, the VideForex platform really does look impressive. They have SSL activated which means that all client data is encrypted and cannot be compromised.
It also appears as if the VideForex trading platform looks incredibly user friendly with relatively little clutter. However, this may not be the best solution for experienced traders who would like additional tools such as charting and technical studies. They also have trade suggestions for a number of different forex pairs that are fed directly onto the platform.
There did, however, seem to be a relatively limited range of assets that the trader could make use of which could be slightly disappointing for those traders who were looking for more diverse options. Yet, the range of expiry times was quite generous so that could make up for the limited asset selection.
Something that we did indeed find interesting about VideForex’s platform is that they allow 3rd party access to the system in the form of trading robots and Expert Advisors. This is usually something that is practiced in the Forex industry where traders have access to the broker’s API system to place the trades externally.
Of course, one of the standout points about VideForex that we mentioned in the beginning is the fact that you have access to the live video assistance. Not only can you reach VideForex agents 24/7 but you can also partake in public chat rooms and share your views with fellow traders. Of course, the fact that they are pretty women could be an added benefit for some traders.
This was an interesting feature that we appreciated. While the girls were a nice to have, they seemed a little gimmicky. However, when chatting with other traders, we could have interesting and intellectual conversations on market movements and trends.
VideForex Mobile Trading
While they have a mobile phone advertised on their website, they do not seem to have a mobile application in either the Google Play Store or iTunes store. We asked the girls on the platform and they confirmed that Vide does not have an app.
However, if you are that concerned about monitoring your positions on the go then you can always view the platform in your mobile browser. We have to admit that this is not optimal and the trading platform does not function effectively in those conditions.
Technical and Fundamental Analysis
The VideForex platform also has a range of options when it comes to tools and analysis. When you are logged into the platform you can go to the top left corner and select the “fundamental”. This will present a range of opinions from a fundamental analysis perspective of the current pairs that are on the VideForex platform.
If you are more of day trader and would prefer to base your analysis on the trends and chart formations, then you can select the technical analysis section. This is presented in the chart below.
As you can see, they will give you an overview of all of the pairs and the various studies that were done by analysts on trading view. They will also provide you with the charts that the various analysts on trading view have used to complete their analysis. This will no doubt help inform the trader of potential for breakouts or reversals.
There are number of other binary option strategies that you can consider that could even combine the technical studies with the fundamental pricing.
If you are going to be trading forex, then you will know the importance of an economic calendar. These are a collection of all the important economic news and events that are about to take place over the coming day, week or month.
VideForex has also included an economic calendar on their platform. This economic calendar will pull all the same data from Tradingview. There are a range of screening criteria that you can target your preferred currency pair.
They give you the option to screen for the next day, the coming week or the next week. If you are interested in trading around the most relevant market moving information then you can screen for the “high” impact calendar events.
Follow Other Traders
Much like other well known trading platforms, Videforex gives their users the chance to follow fellow traders. This is great for those who are still relatively new to the platform and would like to learn from someone else who is slightly more skilled. You can see the trades that they are putting on as well as their most recent track record over the past few weeks. There are also leader boards where traders can compete for prizes and recognition. Taking a look at the leaderboard when we were on the platform, the top prize was $10,000. We didn’t partake in these competitions so cannot fully vouch for their authenticity though.
Hence, if you feel that you know a great deal about the markets and would like to put your skills to the test against other traders then the social trading aspect of VideForex could be for you.
VideForex seems to be a fine example of a highly functional Binary Options platform with an interesting take on customer services. We are sure that some traders will no doubt enjoy the attention of the agents who provide trading advice.
The powerful and clean user interface makes trading easier and faster. Combined with the live video support function, this makes trading with VideForex a pleasant experience. Moreover, this is not restricted to the most experienced investors as the minimum deposit is only $250 and trades of as little as $1 can be placed.
The record breaking 1 hour withdrawal time at VideForex stands out for us. No longer will investors have to worry about periods of uncertainty when withdrawing funds. Despite all of this though, the FXAxe review team was uncertain of the regulatory oversight of VideForex. We were also not completely convinced that they can legally accept US clients.
We were also slightly disheartened by the lack of access to a demo account. This means not only that the FXaxe team could not give their full opinion on the trading platform but also that VideForex wont allow traders to test their platform.
In conclusion, if traders would like a clean and exciting trading platform that has as a one hour withdrawal time, then VideForex is indeed for you. However, if you would like a broker that is completely transparent about their operations as well as their regulations then we would suggest another broker.
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