Header help text

Start trading with a free $30

There is no better time than now
Your first deposit is on us


Grab your $30 from XM

Cannabis FX brokers and how to choose the right one?

Hot new sectors often capture investors’ attention. Similar to when cryptocurrencies (particularly Bitcoin) took over the internet not too long ago, lately a new sector has been gaining a lot of attention from all of us – Cannabis stocks. 

Popularized by celebrity potheads and the recent legalization boom, cannabis stocks are becoming one of the best investments of the year. The question is, what are the best cannabis Forex brokers? 

What are Cannabis Stocks?

Before we move on to discussing the top cannabis CFDs broker, let us briefly explain the concept. Cannabis stocks are companies engaging in producing or selling marijuana, a type of useful medicinal or recreational drug. 

Thcannabis fx brokers tyson snoop vdoggough cannabis stocks have been around on penny shares for some time, they are becoming more popular on the general market. As recreational use of cannabis is growing worldwide, people started seeking profit from marijuana producers. Surely, the share prices are soaring with a lot of promise.

Cannabis investments were estimated to have reached $9 billion in 2018. The revenues are estimated to reach $20 billion by 2020. Many cannabis-related companies are reaching the mainstream. Some are trading on a major stock exchange, and some on NYSE. 

Keep in mind that investing in cannabis is not limited to growers and retailers. Many new companies started to arise, such as biotech, pharma, and even cannabis delivery services. The different types of businesses will be discussed below. Some of them even managed to get millions of dollars worth of investments from celebrities such a Snoop Dogg, Mike Tyson, and Patrick Stewart. 

Is Cannabis trading legal?

This might be one of the most asked questions online, is cannabis trading allowed? Since this is a drug people often assume that it is an illegal substance from the black market that somehow appeared on the stock market. 

It is not like that at all. Cannabis is legal in some countries, and recreational legalization is becoming a trend worldwide. The answer thus is pretty simple. Trading cannabis is legal if you use the trusted cannabis online Forex broker. It all depends on the laws of the country where the stock company is headquartered. If the government allows it – you have the right to trade it. 

Not many brokers are taking advantage of this rising market yet. But as the popularity grows, more brokers are expected to take part in this booming business. 

cannabis forex broker list legal

What are the best Cannabis FX brokers online?

It is hard to pinpoint what really is the deciding factor in choosing the right broker for you. In the end, it is all a personal preference. Some might choose the quality of customer service, some might choose low commissions, safety, fees, etc.

There is no way to tell someone what works the best for them, but at least we can provide you with enough facts to give you an overview of each best cannabis Forex brokers online.

Of course, it also makes a difference whether you will be trading in Canadian, Australian, European, or any other securities which do not have U.S. listings.

So then, it is time to answer the main question with the FX broker reviews. 

XM

The definitive XM Forex Broker Review for the interested

Minimum deposit

5$

Regulation

CySEC, FCA

Bonus

30$, 50%+20%

Maximum leverage

1:888

Year founded

2009

Trading platform

MT4, WebTrader

IQ Option

A detailed IQ Option review 2019 of qualities and offers

Minimum deposit

$10

Regulation

CySEC

Bonus

N/A

Maximum leverage

1:30

Year founded

2013

Trading platform

WebTrader

Plus500

Plus500 Review

Minimum deposit

100$

Regulation

FCA

Bonus

N/A

Maximum leverage

1:30

Year founded

2008

Trading platform

Custom

Forex.com

Forex.com Broker Review

Minimum deposit

250$

Regulation

FCA, NFA

Bonus

N/A

Maximum leverage

1:200

Year founded

1999

Trading platform

MT4

Trading.com

Trading.com review

Minimum deposit

N/A

Regulation

FCA

Bonus

N/A

Maximum leverage

N/A

Year founded

2019

Trading platform

MobileTrader

AMarkets

AMarkets Review – Why You Should Trust The Company

Minimum deposit

No limit

Regulation

FSA

Bonus

25%

Maximum leverage

1:1000

Year founded

2007

Trading platform

MT4, MT5, WebTrader

Trading 212

Trading 212 Review

Minimum deposit

100 GBP/EUR,150 USD

Regulation

FCA, FSC

Bonus

N/A

Maximum leverage

1:300

Year founded

2006

Trading platform

Trading 212

EasyMarkets

EasyMarkets Review

Minimum deposit

25$

Regulation

CySEC, ASiC

Bonus

N/A

Maximum leverage

1:200

Year founded

2003

Trading platform

MT4, WebTrader

Z.Com Trade

Z.Com Trade Review

Minimum deposit

5$

Regulation

FCA

Bonus

N/A

Maximum leverage

1:200

Year founded

2005

Trading platform

MT4


CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

How volatile is the Cannabis market?

As more countries allow the use of marijuana, the market is becoming more accessible than ever. This does not mean that the volatility is dropping. But since it still is a young market the volatility is not far from stabilizing. 

On a positive note, there are a lot of stocks that remain strong despite the high volatility of the market. Leafbuyer Technologies, Inc. (LBUY) is one of them. It shot up by as much as 100% by the end of December. Prior to then, the company stock price was steadily rising, which shows low volatility. The company specializes in online education regarding the cannabis industry. It was founded back in 2014 and has become of the largest competitors for digital education regarding cannabis and specific types of strains.

online cannabis fx broker graph lbuy

HEXO (HYYDF) is one more key player in the cannabis industry. The reason for their success though is different than the former stock. HEXO has a deal with SQDC (a regulatory body in charge of all cannabis sales in Quebec, Canada) worth around 200,000 kilograms of cannabis. It is expected to peak in the next five years in Canada, without accounting for their worldwide services. Their cash flow is quite predictable in the next five years. 

Besides from SQDC, HEXO has been working on an agreement with Molson Coors to start the production of cannabis-infused beverages on the open market. Though the deal is not finalized yet, it definitely shows a promising pay off, as cannabis-infused beverages start taking over the industry. It is expected to become a mainstream beverage somewhere around 2022 until then it is only an idea in the works.

cannabis online fx brokers graph hyydf

Despite of the high volatility, the cannabis industry remains highly lucrative, and the competition is growing fiercely. This is yet another proof that this might be an industry worth looking into for investors, but finding the top online cannabis Forex broker remains a challenge for many. 

What kind of businesses are there in the Cannabis Industry?

As mentioned above, the cannabis industry does not only include companies growing and tending to the plant. There are many different companies and industries you can invest in. Here are some examples:

Agriculture technology

This is a type of business that develops the equipment required to cultivate cannabis. Automated fertilized systems, greenhouse technologies, lighting systems, incubator fridges, etc. There are many different options you can choose from to support and possibly profit from the industry.

Ancillary products and services

A growing type of business which concentrates on the quality of the plant. They have laboratories where they test cannabis products, they also cover insurance for cannabis cultivators, creation and financing of special packaging for products, etc.

Biotechnology

If you wish to contribute to cannabis research, this is where you should be looking into. Biotechnology concentrates on research for pharmaceutical applications of cannabis. The goal is to develop treatments for different illnesses and diseases using this natural drug.

Consulting services

A self-explanatory type of business. They provide services to assist with licensing for companies, advising on operational processes, and more.

Consumption devices

There are many ways to consume cannabis, and this type of business concentrates on their development. If you wish to contribute to developing natural smoking leaves, papers, vaporizers and such, this is the way to go.

Cultivation and retail

The most popular type of investment, concentrating on the growth and selling of cannabis. 

cannabis forex brokers review marijuana farm

Cannabis extracts

Surprisingly enough, there are different types of products which can be made from cannabis. This business works on developing them, creating oils, shampoos, concentrates, etc.

Delivery services

This type of business has become widely popular among celebrities. Cannabis delivery services directly from farms to consumers prove to be the best way to get your hands on some fresh marijuana.

Holding companies

If you wish to have a type of influence on the management and affairs of holding companies, which might change the future of the industry, this seems like the type of business for you.

Industrial Hemp

Dissimilar to the smokable cannabis, hemp has a more materialistic use. It can be used in clothing, a creation of paper and rope, building materials, fuel, and foods. 

Organic farms

These are businesses which provide organically grown cannabis to other companies or sell to consumers directly. 

Spas

This is a growing trend in the west. Cannabis spas provide a full cannabis experience, with cannabis oil massages, relaxing smoke rooms, etc. A lot of celebrities are looking into investing in these types of resorts.cannabis fx brokers opinion cartoon

As you see, there is more than one way to invest in the cannabis industry. Of course, what really matters is your preference for the type of business you wish to support and the type of online cannabis Forex broker you use for the best profit.

Cannabis industry overview summary

Though it is never easy to predict where the stocks will go, sometimes it is worth it to follow the graphs. Before making up your mind where and when to invest, make sure you are aware of all of your options. There are many different businesses you could support, and profit from, that you personally would be comfortable with.

Granted, this is a very young market, but the numbers do not lie. Despite its high volatility, it is expected to stabilize as the rest of the world follows the legalization trend.

The purpose is to help you understand what this new sector is, and where it is headed. Remember, the risk is involved in every kind of trading. In the end, all it comes down to is if you choose the actual best cannabis CFD broker for you.