The 5 best Forex Brokers in Bahrain – Comparisons and reviews

Bahrain is a Middle-eastern nation in the Persian Gulf (near Qatar) with approximately 1.7million potential forex traders.

See the list of the best Forex Brokers in Bahrain:

Forex Broker:
Review:
REgulation:
Spreads:
Assets:
Advantages:
Open account:
1. Capital.com
Capital.com logo
CySEC, FCA, ASIC
Starting 0.0 pips variable & no commissions
3,500+
(70+ currency pairs)
+ Best platform
+ TradingView charts
+ MT4
+ Best education
+ Personal support
Live-account from $ 20(Risk warning: 79% of retail CFD accounts lose money)
2. BlackBull Markets
BlackBull Markets logo
FSPR, FSCL
Starting 0.0 pips & negotiable commission per 1 lot
500+
(64+ currency pairs)
+ ECN Broker
+ Deep pool execution
+ High liquidity
+ Best execution
+ Leverage 1:500
+ MT4/MT5
Live-account from
$ 200(Risk warning: 79% of retail CFD accounts lose money)
3. RoboForex
RoboForex logo
IFSC
Starting 0.0 pips & $ 4.0 commission per 1 lot traded
9,000+
(50+ currency pairs)
+ Huge variety
+ Micro accounts
+ Free bonus program
+ Leverage up to 1:2000
+ ECN accounts
+ MT4/MT5/cTrader
Live-account from $ 10(Risk warning: 79% of retail CFD accounts lose money)
4. Pepperstone
FCA, ASIC, DSFA, SCB
Starting 0.0 pips & $ 3.5 commission per 1 lot
1,000+
(40+ currency pairs)
+ Fast execution
+ Large FX Broker
+ Good service
+ MT4/MT5/cTrader
+ TradingView Charts
Live-account from
$ 200(Risk warning: 74-89 % of retail investor accounts lose money when trading CFDs)
5. IQ Option
IQ Option logo
CySEC
Starting 0.1 pips variable & no commission
500+
(25+ currency pairs)
+ Easy to use
+ Binary Trading
+ Support 24/7
+ Min. Deposit 10$
+ Lowest spreads on main trading hours
Live-account from $ 10(Risk warning: Your capital might be at risk.)

Forex trading is becoming popular in this country. Many brokers welcome Bahraini traders on their platforms.

Here is the list of the 5 best forex brokers for traders in Bahrain:

  1. Capital.com 
  2. BlackBull Markets 
  3. RoboForex 
  4. Pepperstone 
  5. IQ Option 

An overview of the brokers:

1. Capital.com

The official website of the forex broker Capital.com

Capital.com is a global forex and CFD broker that began operations in 2016. Capital.com has its headquarters in the United Kingdom and other head offices in Cyprus, Seychelles, and Gibraltar. 

Capital.com holds operating licenses from these financial bodies:

Capital.com’s trading conditions are as follows:

  • The minimum deposit is $20.
  • The average spread is 0.8 pips on major forex pairs.
  • All accounts are commission-free.
  • Overnight fees are charged on the leverage provided.
  • Charges on deposits and withdrawals are $0.
  • Financial products offered are forex, CFDs, stocks, indices, and cryptocurrencies. 
  • The platforms available for trading are MT4 and the Capital.com app.

Capital.com offers top-quality support to traders of all levels through the following:

  • A free demo account with over 30 days of access. 
  • High-quality research and education content to boost the traders’ skills.
  • A dedicated education app called Investmate is for new and inexperienced traders.
  • A social and copy trading service through TradingView, allowing customers to connect, learn, and succeed in the market.
  • 24-hour customer service via live chat, email, and phone.

Capital.com disadvantage:s

  • The broker charges overnight fees on leverage for positions held beyond the trading day.
  • Capital.com does not offer interest-free accounts.

(Risk warning: 79% of retail CFD accounts lose money)

2. BlackBull Markets 

The official website of the Forex Broker BlackBull Markets

BlackBull Markets is an international forex broker established in 2013. Also, BlackBull Markets is headquartered in New Zealand and has other offices in the United Kingdom, Japan, the United States, and Indonesia. 

BlackBull Markets operates with licenses from these bodies:

BlackBull Markets offers these trading conditions:

  • The minimum deposit is $200.
  • The average floating spread on its raw account is 0.4 pips.
  • A $3 commission fee is charged per side.
  • A commission-free account is provided, with an average spread of 0.8 pips.
  • Deposits are free, but withdrawal may attract some charges.
  • The available assets to trade are forex, stocks, indices, energies, and CFDs.
  • Bahraini traders can use MT4, MT5, or its mobile app to access the market.
  • Islamic accounts are available. 

BlackBull Markets support clients with:

  • Top-rate educational material to enrich their experience.
  • A free demo account that lasts more than 30 days.
  • Social trading platforms that offer access to a community of other successful traders. Copy trading services are available on MyFxbook and ZuluTrade.  
  • 24 hours customer service from Monday to Saturday. 

BlackBull Markets disadvantage:

  • The minimum deposit for its ECN account is $2000.

(Risk Warning: Your capital can be at risk)

3. RoboForex 

The official website of the Forex Broker RoboForex

RoboForex is a global online broker that started operations in 2009. RoboForex is based in Belize and has offices around Europe, including Cyprus, the United Kingdom, and New Zealand. 

RoboForex holds licenses from these bodies:

RoboForex’s trading conditions are as follows:

  • The minimum deposit is $10
  • The average spread on its ECN account is 0.4 pips for majors, with a $2 commission fee.
  • There is a zero commission account type, and the average spread is 0.8 pips.
  • Deposit is free, but fees apply for withdrawals. 
  • The products available to trade are forex, CFDs, stocks, commodities, and indices.
  • Several trading platforms are provided, including MT4, MT5, cTrader, and RTrader. 
  • Islamic account is offered.

RoboForex supports traders with:

  • A rich education content for traders of all levels.
  • A free demo accounts for tests and practicing.
  • Social and copy trading services, so traders can share and learn as they trade.
  • 24 hours customer service from Monday to Friday. 

RoboForex disadvantage:

  • Many brokers do not charge withdrawal fees like RoboForex.

(Risk Warning: Your capital can be at risk)

4. Pepperstone 

The official website of the Forex Broker Pepperstone

Pepperstone is a famous international broker that began operations in 2010. Pepperstone is headquartered in Australia and has offices in Dubai, Cyprus, Kenya, the United Kingdom, and the Bahamas.

Pepperstone operates with licenses in these regions, including:

Pepperstone offers world-class services with these trading conditions:

  • A minimum deposit of $0. Although, the broker recommends starting with $200.
  • The average spread on the raw ECN account (razor) is 0.4 pips, with a $3 commission. 
  • An average spread of 0.8 pips on the commission-free account.
  • Fee-free deposit and withdrawal services.
  • Traceable assets are forex, CFD, shares, commodities, metals, and indices.
  • The trading platforms to use are MT4, MT5, and cTrader. 
  • Islamic accounts are available for Sharia-compliant Muslims.

Pepperstone provides first-rate support for traders through:

  • High-quality market analyses, research, and educational materials.
  • There are multiple social and copy trading platforms for traders to connect and mimic successful traders. 
  • A free demo account for practice and tests.
  • Automated trading is fully functional on the platform.
  • An active traders program to reward high-volume customers. 
  • 24 hours customer service on Weekdays.

Pepperstone disadvantage:

  • Pepperstone educational material does not come with quizzes. The trader has to monitor their progress by themself.

(Risk warning: 74-89 % of retail investor accounts lose money when trading CFDs)

5. IQ Option

The official website of the forex broker IQ Option

IQ Option is a well-known binary option and forex broker founded in 2013. IQ Option is based in Cyprus and has other offices in London and Seychelles. IQ Option operates with a license from the Cyprus Securities and Exchange Commission CySEC

The trading conditions on its platform are as follows:

  • A minimum deposit of $10 is required to trade.
  • The account type is zero commission with an average spread of 0.8 pips.
  • Deposits are free, but withdrawals may attract a small fee.
  • The financial instruments provided are forex, ETFs, indices, stocks, binary options (only for professional traders and outside EAA countries), and digital options.
  • Trading services are available on the IQ Option app.
  • Islamic accounts are provided. 

IQ Option provides the following support:

  • Video tutorials for beginners to master trading. 
  • Social trading through the Community Live Deal.
  • A free demo account for practice. 
  • A VIP account with exclusive benefits if you deposit at least $1900.
  • 24 hours customer service on weekdays.

IQ Option disadvantage:

  • There are no MT4 and MT5 trading platforms. Therefore, some competitive trading features might be missing.

(Risk warning: Your capital might be at risk.)

What are the financial regulations in Bahrain?

The Kingdom of Bahrain is among the most liberal and fastest growing economies in the middle east. Its economy is reliant on oil, and its financial sector benefits greatly from the growth that results from the high exportation of this resource. 

The country’s economy fluctuates, but investors are still attracted because of the growth potential of the nation’s wealth. Forex traders are emerging as investors seek to take advantage of the opportunities in the country’s strong currency (1 Bahraini dinar = USD 2.65). 

Bahrain is a predominantly Muslim country, and its national laws are according to Sharia. Its top financial body is the Central Bank of Bahrain. The CBB oversees the banking, insurance, investment funds, stock markets, and all other financial institutions in the country.

Central Bank of Bahrain logo

The country operates a capital market called the Bahrain stock exchange. Stocks, securities, and other financial assets are exchanged in this market under the CBB’s regulations. But online forex and CFD trading are not regulated. 

However, being a nation following Sharia laws, all its finance laws are based on the religion’s rules and regulations. Therefore, Bahraini traders have to adhere to these while trading. 

(Risk warning: 79% of retail CFD accounts lose money)

Security for traders in Bahrain – Important facts

There are no forex regulations in Bahrain. Therefore, no customer protection by the government for traders as of now. Bahraini forex traders must take responsibility for themselves while conducting forex trading.

This means seeking only top-regulated brokers and trading within the country’s financial regulations. Licenses from first-rate financial bodies prove a broker’s credibility. So, traders should seek only such brokers.

Entities such as FCA, CySEC, and ASIC are among the top-tier regulators whose brokers can be trusted. Brokers having additional licenses from regulators in the Middle East or Asia are also safe for Bahraini traders. An example of such an entity is the Dubai Financial Service Authority DFSA. 

Traders should also seek brokers offering zero-interest Islamic accounts to trade within the country’s financial laws.

Is it legal to trade Forex in Bahrain?

Flag of Bahrain

Yes, it is. The Central bank of Bahrain does not restrict or prohibit forex trading. Therefore, the activity is legal in the country. Bahraini traders should operate interest-free Islamic accounts to ensure they are compliant with Sharia laws regarding finance.

How to trade Forex in Bahrain – Tutorial for traders

Forex trading requires three basic tools before starting:

  • Strong internet connection 
  • A smart device 
  • A trustworthy broker 

The smart device can be a mobile phone, tablet, or laptop. It must be connected to a solid and stable internet service. Opening and closing trade at your set time is vital. You want to avoid frequent service disruptions that cause you to miss the timing. It can result in loss of funds. Fortunately, Bahrain has strong internet connectivity. So this will not be a challenge. 

A trustworthy broker is equally vital to forex trading. A good broker provides a trading environment that empowers the trader to succeed. Trading conditions have a big influence on the trader’s profitability. 

Technical analysis and charting

Here’s how to identify a good broker:

  • Check on the license

Forex brokers must operate with licenses from well-recognized financial entities. Brokers display regulators’ details on their websites. So the trader can read it and visit the regulator’s website for confirmation. 

  • Compare trading costs

The major trading cost is the spreads and commission on the currency pairs. The spreads are the ask and bid price differentials. Depending on the fee model and account type, some brokers offer zero floating spreads and charge commission fees. The trader must consider the fee structures and compare trading costs among brokers to ensure they choose a competitive one. 

  • A free demo offering

Trustworthy brokers invite potential customers and site visitors to test their services through a free demo. Such brokers have confidence in their service quality. Free demo accounts must be accessible for at least 30 days. Anything less is too short. 

  • Round the clock accessible customer service 

Good brokers ensure that customer service is always available during market hours. That is 24 hours from Monday to Friday. The service should be easily accessible through live chat, phone, email, or social media chat. Multiple language support is a plus if it includes Arabic.

  • Available payment options

Easy deposit and withdrawal are necessary for a smooth trading experience. A good broker makes provision for this by providing accessible payment methods in the region. Check that the payment options are available in your country.

So the money should reflect in the account within this time frame. 

Notice:

The payment methods are depending on your country of residence. Forex Brokers are offering all kinds of methods separately for each country.

Use analysis and strategies 

Before starting, you should first conduct market analyses on the forex pairs you wish to trade. If you’re trading the Bahraini dinar against the euro or dollar, you need to understand how the exchange rates move.

Market analysis helps you achieve this. It gives you insight into the price movements and the factors that cause the exchange rate’s rise and fall.

Market analysis also helps you choose the most suitable entry and exit approaches for your asset.

Here are the important forex analyses to conduct:

  • Technical analysis 
  • Fundamental analysis 

Technical analysis provides insight into the past price movements of the forex pairs. It shows you patterns that contain trading opportunities. The best trading opportunities are found in patterns that emerge from price movements. Trading platforms have many helpful tools for this analysis. Learning to use them and interpreting the trade signals is key to successful technical analysis. 

The fundamental analysis gives insight into the economy that powers the currencies. The exchange rate moves according to the major factors that make up the economy. These factors are the gross domestic product (GDP), inflation rate, interest rate, exports, imports, etc. The trader examines these to understand price movements and make profitable trading decisions.

These two analyses are equally important to trading forex successfully. They indicate the best forex trading strategy that should be used.

Forex - Price action trading

Popular trading strategies:

  • Trading the news strategy 

News release trading refers to buy and sell decisions based on economic reports. The strategy requires more fundamental analysis. The trader must keep abreast of the countries’ economic situations. News reports often cause the market participants to react in some way. The trader must anticipate the accurate reactions to place the right trade. That is why the strategy is not recommended for forex beginners.

  • Candlesticks trading

The Candlestick price action strategy involves buy and sell decisions based on price movements observed through candlesticks. Forex chart usually shows price movements through these candlesticks. The trader examines these, noting the price highs, lows, opening, and closing at specific times. The trader enters their position based on the result of the observation. The strategy requires understanding the candlesticks, but it is among the simplest. It requires a little complex technical analysis. 

  • Day trading

Day trading strategy is among the most popular. Many traders conduct all their trades within the business day, holding no positions till a new day. Some day traders are scalpers and conduct each trade within a few minutes. These traders end up conducting many transactions before the market closes. If the trades are successful, they accumulate significant profit while avoiding overnight risks and fees.

  • Swing trading strategy 

Swing trading is a longer-term approach than day trading. The strategy requires leaving the trade open for a few days to weeks. Some swing traders can last for over three weeks. The trader must first identify a trend that would last during the period. Then enter a trade to ride this trend. Risk measures are an essential part of any strategy, including this one. Ensure a stop loss and take profit orders are at the appropriate points. 

Many strategies are available for forex. Most are effective. Profitability often depends on correctly applying them to trades.

Make a profit 

The proper analyses will show you the best trading strategy for the asset. Before long, you will be making profits from trading.

You can reinvest the gains or move them out of the trading account. If you choose to withdraw the profit, the option will be on the funding tab.

Withdrawals should be as straightforward as a deposit. Click on the appropriate option in the funding menu. Select the same payment option used for the deposit earlier. 

Fill out the request form and click on submit. The broker receives this request and starts processing. The funds should get to your receiving account in 2 days or less. Withdrawals often take longer to process. 

(Risk warning: 79% of retail CFD accounts lose money)

Final remark: The best Forex Brokers are available in Bahrain

Forex trading in Bahrain is safe and legal. Since the market is unregulated, Bahrainis need to choose a suitable broker carefully. Our recommendations are among the bests in trading conditions and general services.

FAQ – The most asked questions about Forex Broker Bahrain:

Is a forex broker in Bahrain permitted to operate?

Yes, the regulating agencies in Bahrain allow traders to trade forex with open arms. Traders in Bahrain can enjoy forex trading just as traders would elsewhere. So, the operation of a forex broker in Bahrain is fully legal. Apart from this, several forex brokers operate in Bahrain and extend their best services to traders. 

What payment methods does a forex broker in Bahrain offer traders?

A forex broker in Bahrain might offer you many payment methods while funding your trading account or withdrawing funds. You can use bank transfers, cryptocurrency, and debit cards. Besides, brokers also support electronic wallets such as Skrill, Neteller, Fasapay, etc. So, a trader in Bahrain can pick any payment method that he thinks fits him the best. 

What minimum deposit amount does a trader need to fund his account with a forex broker in Bahrain?

The minimum deposit amount a trader would need to trade with a forex broker in Bahrain might vary from broker to broker. However, the necessary amount with which a trader can start is only $10. The best and most reputed brokers will allow you to begin with a low minimum deposit. A trader should choose a broker who has a low stipulation for a minimum deposit amount. After all, he would first want to test the trading platform before getting your amount blocked. 

Last Updated on March 2, 2023 by Arkady Müller