Capital Markets is an ECN (electronic communication network) broker based in Hong Kong. it was founded by K. Varalen, owner of Varalen Trading Corporation. An ECN broker is a brokerage firm that offers trading platforms directly connected with the network of banks and liquidity providers. This means that all orders are directly sent to the trading market without a middleman.
Capital Markets Licenses and Security
Capital Markets is registered as Varalen Capital Markets LLC in the state of New York, USA with registration number 5263705. Varalen CM LTD is registered in Marshall Islands and Varalen CM Limited is registered in the United Kingdom.
Capital Markets has several offices worldwide, making its customer range wider than most brokerage firms. However, it is unclear whether this broker is regulated by an independent body.
Capital Markets Trading Platforms
Capital Markets only offers one trading platform, which is MetaTrader5. This platform is known to trade on multiple markets all at once, including foreign exchange, futures market, and stock market. MT5 is available in desktop, web-based, and mobile versions.
Capital Markets leverages MT5 as its software engine. With this platform come the best-ranked functionalities of any terminal in the market today. Some features include five order types, a social trading or copy deal feature, EAs, and portfolio management, a demo account, a wide range of analytical instruments, and MQL5 programming language that grants automated trading.
The rest of the functionalities of MT5 are: 21 timeframes, 38 technical indicators, 17 modes of displaying custom indicators, 39 graphical objects, and 4 scaling modes.
Capital Markets Trading Instruments
Capital Markets offers several trading instruments in the forex, commodities, and CFDs markets. Below is a list of the assets or instruments offered by Capital Markets in all three markets.
Foreign Exchange
GBPZAR HKDJPY AUDCAD AUDCHF AUDJPY USDCNH USDCZK AUDSGD USDDKK USDHKD AUDZAR USDHUF USDMXN USDNOK USDPLN USDRON USDRUB USDSEK USDSGD USDTRY USDZAR CADCHF CADJPY CADMXN CADSGD CHFJPY CHFNOK CHFSGD NOKJPY NOKSEK DKKSEK NZDCAD NZDCHF NZDJPY NZDSEK NZDSGD EURAUD EURCAD EURCZK EURDKK EURHKD EURHUF EURILS EURJPY EURMXN EURNOK EURNZD EURPLN EURRON EURRUB EURSEK EURSGD EURTRY EURZAR SEKJPY SGDJPY GBPAUD GBPCAD GBPCHF GBPDKK GBPJPY GBPNOK GBPNZD GBPSEK GBPSGD GBPTRY EURUSD USDJPY GBPUSD USDCHF EURCHF EURGBP AUDUSD AUDNZD NZDUSD USDCAD
Most currency pairs offered by Capital Markets are major pairs and cross pairs. They rarely offer exotic pairs and actually fall short in it.
CFDs
AK STEEL ANGLOGOLD ASHANTI GENPACT CASEYS GENERAL STORES DICERNA PHARMACEUTICALS JAMES RIVER GROUP NAVIGATORS GROUP QEP RESOURCES SUNESIS PHARMACEUTICALS VONAGE AKAMAI SYMANTEC ANHEUSER-BUSCH INBEV CASS INFORMATION SYSTEMS
These are only some of the 3000 stock CFDs offered by Capital Markets.
Commodities
BRENT WEST TEXAS INTERMEDIATE NG
GOLD SILVER COPPER
Capital Markets Trading Conditions
Capital Markets has competitive trading conditions, starting with a maximum leverage of 1:500. Here are the tools and specifications of trading with Capital Markets:
- MT5 ECN
- Floating leverage
- 1:500 max leverage
- 20% margin call level
- 0% stop out level
- 300 USD minimum deposit
- Market execution
- 100 maximum orders
- 100 maximum volume and lots
- CFDs trading with over 3000 of the most liquid US stock CFDs
- Commodities trading with oil, metals, and natural gas
- Forex trading with over 70 currency pairs
- Commissions: 7.5 USD per lot for forex, 7.5 USD per lot for commodities, and no commissions for CFDs
Capital Markets Final Review
Capital Markets has fairly competitive features and trading conditions. Utilizing the MetaTrader5 platform was a good decision, seeing that this platform offers the foremost functionalities that include a trial account option. The social trading feature also allows beginning traders to study and replicate trades and acquire profits. This makes it easier for novice traders to identify the various factors that come at play before executing an order.
Capital Markets’ website also offers a wide range of materials on forex tutorials and analytics. They also offer an economic calendar, daily news, and market updates for the traders. Their trading conditions are highly competitive with other brokerage firms.
However, in the aspect of regulation and security, Capital Markets fails to clarify its transparency. Its official website does not confirm that it is regulated by a well-known and trusted regulatory body, which is very important in client data and funds security. Unregulated brokers are also shunned in the market due to the risks that come with trading with them. They are also under pressure for claims of highly expensive costs and fraudulent operations. Overall, despite the competitive features of Capital Markets, it is not a recommendable trader to open an account with.