CXM Direct Review – Should you place your trust in this broker?

CXM Direct Review – Should you place your trust in this broker?

Minimum deposit

50 US (10 USD for Cent accounts)

Maximum leverage

Unlimited

Year founded

2015

Regulation

The Financial Conduct Authority of the UK (FCA), and the Financial Services Commission of the Republic of Mauritius

Trading platform

MetaTrader 4, MetaTrader 5

CXM Direct is a group of companies established in 2015. The company operates internationally and provides financial services via most popular trading platforms: MetaTrader 4, and MetaTrader 5. Traders have access to over 200 CFDs (Contracts for Difference) across 8 different asset classes such as crypto, energies, Forex, indices, baskets, metals, and US/EU stocks.

The broker is regulated in 2 jurisdictions and accents traders from as little as 10 USD initial deposits. Let’s delve into more details and find out if this broker is the right choice for you.

Regulatory framework of CXM Direct

It is important to find a regulated broker to be sure that you are not entrusting your hard-earned money to a scammer. Unfortunately, many brokers use the financial world to scam regular people. Which is why in our reviews we always put a big emphasis on safety and regulations.

CXM Direct is authorized and regulated by the Financial Conduct Authority of the UK, which is known to be a top-tier. You can check the following registration number on the FCA’s page: FRN: 966753. In addition, the broker holds a license from the Financial Services Commission (FSC) of the Republic of Mauritius with an Investment Dealer License. The license number is GB21026337.

The fact that the broker is regulated means that it can be trusted. On the other hand, it should be mentioned that if you are registering on the CXM Direct’s global page, your broker will be regulated by the FSC of Mauritius. Only residents of the UK can open FCA regulated accounts.

The broker offers unlimited leverage to its global clients, which is a concern when it comes to security of your funds. Leverage is utilized in the financial world to increase potential returns, however, when misused, it can just as easily increase losses and lead to empty trading balance.

cmx direct

CXM Direct account types

Choosing the right trading account is equally as important as choosing your broker. There are many different trading styles and each style requires different conditions. To meet the needs of different traders, CXM Direct provides its customers with 5 account types.

  • Cent account – the Cent account is best suited for traders that do not have much to invest, but wish to participate in the financial markets. In addition, the account type is also heavily used by professional traders that wish to test their trading strategies live without risking significant amounts of money.
  • Zero and ECN account – are for active traders that enjoy small spears.
  • Standard and Standard bonus – are best suited for beginners and traders that prefer position trading and swing trading.
Account name Cent Zero Standard Standard bonus ECN
Initial deposit $10 $500 $50 $50 $100
Instrument classes Forex, Metals, CFDs stocks Forex, Metals, CFDs Crypto, stocks Forex, Metals, CFDs Crypto, stocks Forex, Metals, CFDs Crypto, stocks Forex, Metals, CFDs, Cryptos, Stocks
Overnight swap fee No No No No No
EAs, Scalping, Hedging Yes Yes Yes Yes Yes
Minimum lot size 0.01 Lots 0.01 Lots 0.01 Lots 0.01 Lots 0.01 Lots
Margin Call/Stop Out level 50%/30% 50%/30% 50%/30% 50%/30% 50%/30%
Max leverage 2000:1 1000:1 unlimited unlimited unlimited
Manage account, copy trading Yes Yes Yes Yes Yes

CXM Direct available assets

CXM Direct offers its customers over 60 currency pairs for trading from Major, Minor, and Exotics categories. In addition, there are 10 precious metal pairs coupled with Euro and US Dollar. There are 15 most popular global indices such as: Aus200, US30, SPX500, UK100, and more. Moreover, there are popular company stocks such as Apple, AirBNB, Amazon, etc. It should be noted that to trade the shares as CFDs traders need to pick the MetaTrader 5 platform over the MetaTrader 4.

Maximum available leverage is unlimited with this broker, however, it can be up to 2000:1, or 1000:1 depending on the account type. Trading fees also depend on your account type.

Overall, it should be noted that the number of tradable instruments is not as impressive as what other brokers are offering.

Trading platforms of CXM Direct reviewed

Choosing the right trading platform is super critical for any trader’s success. Platforms help traders in numerous ways. Firstly, They help traders conduct technical analysis, in addition, platforms come with multiple order types and trade execution models. In addition, choosing the right trading platform can give you capabilities needed for trade automation and copy trading.

CXM Direct provides its clients with industry standard, the most popular, MetaTrader 4 and MetaTrader 5 platforms. Both platforms are super reliable and offer a user-friendly interface. While both share many functionalities, there are many critical differences.

MetaTrader 4 (MT4)

MetaTrader was primarily created for trading currency pairs in 2005 by a Russian giant software company MetaQuotes. The platform quickly gained popularity and still remains the most demanded FX trading platform today. Brokers typically offer currencies, indices, commodities and CFDs (Contracts for Difference) on crypto on MT4. MT4 is highly reliable and easy to use, which is why most beginners start their first steps with MT4. The platform supports trade automation via algorithms called Expert Advisors (EAs), and because MT4 is so old and wildly popular, it has the largest pool of custom-made trading robots and indicators.

MetaTrader 5 (MT5)

MetaTrader 5 is an enhanced version of MT4. The idea was to create a platform that would replace the predecessor. However, both MT4 and MT5 are heavily utilized in the industry today. The MT5 appeared on the markets in 2010, and it was able to support more trading instrument classes, and offered more trading capabilities. However, it should be mentioned that the MT5 is a bit more complex than the MT4.

MT5 supports not only Forex and CFDs trading, but also bonds, options, futures, and shares. The platform has an advanced strategy tester and offers DoM (Depth of Market) feature. The DoM feature enables traders to conduct more advanced analysis by taking into account bids and ask prices.

To better understand the difference between the two platforms, let’s take a look at the comparison table:

Platform MetaTrader 4 MetaTrader 5
Supported markets Forex and CFDs Forex, futures, stocks, bonds, and options market
Technical indicators 30 38
Graphical objects 31 44
Timeframes 9 21
Pending order types 4 6
Partial order fill policy No Yes
Built-in economic calendar No Yes
Fund transfer between accounts No Yes
Programming language MQL4 MQL5

In addition, the platforms come with Mobile and web trading versions that can be used along with the desktop trading platform.

Deposit and withdrawal options at CXM Direct

There are multiple deposits and withdrawal options available for traders. It should be noted that there is no transfer fee charged from the broker’s end, however, in case you use a bank wire transfer method, intermediary banks may charge you a withdrawal fee. Let’s take a look at the table for more details.

Payment method Currencies (deposit/withdrawal) Processing time (deposit/withdrawal) Commission (deposit/withdrawal) Minimum amount (deposit/withdrawal)
FasaPay USD Deposit instant/ withdrawal takes 1 working day 0 15 USD
Local Bank MYR, IDR, VND, THB Deposit instant/ withdrawal takes 1 working day 0 15 USD
Crypto BTC, ETH , BCH 1 Working Day 0 100 USD equivalent
Perfect Money USD Deposit instant/ withdrawal takes 1 working day 0 Contact Account Executive for details
USDT (Tether) USDT (Tether) 1 Working Day 0 100 USD equivalent

Education at CXM

Access to quality education is an important part of traders’ development. The internet is filled with trading guides and gurus, however, the traders often learn bad skills from low quality content. To help their clients progress, brokers offer educational material.

CXM offers videos on basics of trading, CXM member area tutorial, and CXM trading tools tutorials. While these materials are essential, they’re certainly not enough. Webinars, seminars and advanced courses for traders are lacking from the broker’s offerings.

So, is CXM Direct a legit Forex broker?

To sum everything up, CXM direct is just another Forex and CFD broker. The number of tradable instruments is not impressive, trading platforms are also offered by most other brokers, educational material is aimed at beginners. On the other hand, there are various account types to choose from and offer high leverage. The high leverage can be positive for some, but for others it may lead to poor risk management practices and increased losses. Overall, CXM is certainly not the best broker we have reviewed. Check our other reviews too in order to find the broker that may suit you best.

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