Complete City Index Review 2022 - Benefits and Drawbacks Revealed

City Index is owned by GAIN Capital Holdings Inc, a global retail and trading service. With the purpose to offer low-cost access to foreign exchange markets, GAIN Capital was launched in 1999. City Index has been servicing Australians since 2006, with a Sydney headquarters. City Index's Forex trading AFS license: 345646.

In our extensive City Index evaluation, the platform's top three main strengths were:

• Markets with low spreads

• Minimum Deposit Support

• The platform's top three flaws were:

The platform's top three flaws were:

• Leverage

• Trading Platforms

• Inactivity Fee

City Index Market Range

The City Index offers a variety of CFD trading opportunities. Traders may access over 4,500 marketplaces in real-time. Indicators, shares, crypto, currency, and commodities may be traded live on City Index.

• Spread Betting on CFDs (only for the UK traders)

• Contract for Difference (CFDs)

Trading Forex

City Index provides 84 currency pairings through the MetaTrader 4 CFD trading platform. The EUR/USD minimum spread is 0.5 points and the leverage is 30:1. The Forex broker provides two trading accounts. The first and most common alternative is to trade currencies as a CFD (CFD). Options for additional asset types are outlined below. If you use MT4 to trade spot Forex, you can only trade currency. Here are the typical CFD spreads.

CFD Trading

City Index offers over 4,500 worldwide equities as CFDs. This enables 5:1 leverage on stocks ranging from Amazon to Rio Tinto. Prices start at $5 or 0.08 percent for bigger transactions. Using a CFD trading account, traders may speculate long or short.

CFD's on Indi

City Index offers 10:1-20:1 leverage on 20 global indexes. S&P 500, FTSE 100, ASX 200, Singapore, and Wall Street index Fixed spreads from 1 point with 24/7 assistance.

Crypto Trading

Crypto trading is unlike standard technical analysis CFDs. Trading CFDs with crypto carries significant risk, and spreads vary per coin. Considering the complexity of the instruments, understanding the risks is advised.

City Index subscribers can track the latest cryptocurrency values (Bitcoin, Litecoin, Ethereum, and Ripple). A Citi Index live account gives you access to 6 crypto pairings. Profit from Bitcoin trading against the AUD.

Due to FCA rule changes in November 2021, UK traders can no longer trade bitcoin. ASIC and MAS restrictions still allow cryptocurrency trading.

Forex Trading

When expecting interest rate fluctuations, there are 5:1 short-selling possibilities. Eurodollar, Short Sterling, and Euribor all have this. Across 15 worldwide markets, spreads start at 0.02.

Overall, GAIN Capital Holdings' market dominance enables City Index to operate on products ranging from currency, indices, and crypto trading with minimal margin requirements. The CFD account is the major account type that allows for all financial markets, whereas the MT4 account permits just currency trading. Advanced traders should go for the CFD account, while MT4 traders should opt for the currency trading only account. As a CFD broker, City Index offers the broadest selection of markets and trading instruments.

City Index Deposit

City Index CFD accounts have no minimum deposit. How to fund a trading account in Australia:

• Cards (Visa and MasterCard)

• Cards

• e-funds (EFT)

• BPay

• PayID

• PayPal

Visa and MasterCard allow up to three debit or credit cards per account. No deposit costs apply when financing an account from an Australian bank, and no fees apply when funding an account from an Australian bank. However, an overseas bank account will need an international bank transfer, which may take longer.

The account opening process is simple. City Index accepts 9 base currencies as deposits (EUR, GBP, USD, CHF, HUF, AUD, CHF, JPY, PLN).

Regulation and Assistance

Regulation

Another key feature of this City Index evaluation is that it is completely regulated by the Australian Securities Investment Commission. Traders using City Index may be certain that they are dealing with a respectable brokerage that follows all Australian investing rules. On the forex broker Australia page, you can see the main organizations.

City Index is also a worldwide spread betting broker, licensed by tier-one regional bodies on three continents (Europe, Asia, and Australia). City Index must obey the norms and regulations of the following worldwide regulatory bodies:

• ASIC/FCA (license number 113942) trading as forex.com.

• Compared to other UK forex firms.

• MAS trading as forex.com

Client money at Citi Index is separated. In addition, there is a deposit compensation plan. Investors are entitled to up to £85,000 in compensation under the Financial Services Compensation Scheme (FSCS). However, the compensation system solely covers UK and Dubai, forex merchants. The FCA guidelines seem to give further security safeguards in London.

Help and Service

Traders using City Index may contact the company's support team in many methods, including:

• Live chat help

• Email help

• Australia-based phone support

Traders may also attempt to obtain solutions to their queries in the FAQ area of the brokerage's website. This list of typical questions will help you solve most problems. However, City Index's personnel is available for more intensive assistance. Cityindex.co.uk offers 24/7 customer service ready to assist you.

City Index Traders

City Index provides two trading platforms based on the trading account type.

PRO TRADING PLAT

The most advanced CFD accounts need AT Pro desktop or web-based trading.

AT Pro comes with built-in strategies and lets traders construct their using.NET, Visual Basic, or C#.

Advanced charting has over 100 technical indicators.

Automatic trading signals may also provide exit and entry positions on charts. Back-testing tools can assist evaluate prior trade signals.

An economic calendar and bespoke indicators for advanced trading are included in AT Pro. Advantage Web Trader is the AT Pro mobile trading alternative. HTML 5 technology eliminates the need for downloads. Trading applications for iOS and Android are also available.

MetaTrader 4 (MT4)

City Index uses MetaTrader 4, which is the most widely used trading platform in the Forex industry. City Index's MT4 platform includes flexible Forex pricing and access to all market data. These enhancements to an existing established technology provide this MT4 platform with a flexible function while keeping it user-friendly. With stop-loss orders, watchlists, and Reuters news integration, the MT4 online platform, and mobile applications are excellent for mobile trading.

City Index Leverage

The leverage structure is an important factor in a City Index assessment for new and seasoned traders. Leverage is limited to 30:1 for key forex pairs in the UK (FCA), Australia (ASIC), and Dubai (UAE). Singapore (MAS) has a 20:1 ratio.

ASIC Leverage Limits

City Index only provides leverage ratios up to 30:1. City Index is behind the curve in terms of leverage, while several offshore authorities and financial centers provide 400:1 and 500:1 leverage.

30:1 leverage effectively limits the amount of currency a trader can operate with compared to their investment. A trader who starts with $100 and leverages it 30:1 may trade with $3,000. Result of lesser leverage:

• Losses from successful trades

• Less risk in losing transactions

• fewer big volume positions open concurrently

Risk Management For Leverage

While City Index has certain notable leverage issues, it also has significant positives. The fact that a trade's leverage ratio may be adjusted anywhere from 20:1 to 30:1 might assist more cautious traders to lower their risk exposure. To initiate huge numbers of positions or as part of an overall trading plan, a 30:1 leverage ratio might be a hindrance.

City Index Inactivity Fee

Clients should be advised that inactivity for more than 24 months results in a cost. City Index AU charges a $15 inactivity fee in local currency. After 3 years of inactivity, your trading account will be restored after completing the account reactivation form.

Order Execution

City Index's pricing enhancement technology may help FX traders save money. City Index's cutting-edge technology offers three key advantages:

• Orders to purchase or sell any instrument

• Choosing between long and short

• Possible price increases

Using GAIN Capital's own ECN, GTX, City Index has access to over 50 liquidity sources. Our industry specialists will explore the following benefits of City Index's transaction execution process:

• Using unrealized gains assists forex traders to optimize trading possibilities. With City Index, your floating gains may be used to test fresh trading ideas.

• Rollover Discounts: This feature enables futures traders to save up to 50% on swap rates.

• Hedging: This feature enables you to simultaneously go long and short on the same CFD instrument.

• Scale in and out: You may add or subtract from your location. You may choose between FIFO (first in, first out) and non-FIFO.

• Automatic stop-out level: This risk measure will stop you from trading if your funds fall below 50% of the needed margin.

City Index also enables you to customize your trading parameters with three significant features:

• Trader-in-one mode

• Position Size Pre-select

• Feature to fine-tune your tolerance for slippage

Orders Types

Unlike other online CFD providers, City Index allows you to set your entry and exit points. City Index, like other CFD providers, is the only counterparty to your transactions. City Index's most sophisticated order kinds include:

• OCO — a sophisticated order that combines a stop order with a limit order.

• Stop-loss orders – A formidable risk measure that ensures no slippage, but at a cost.

• The broker's platform has basic stop-loss orders, limit orders, and trailing stops.

Stop-Loss Orders (GSLO)

Our experts felt obligated to educate our readers on the guaranteed stop-loss order. While the GSLO order may help forex traders reduce losses, it is limited in its use. Use the GSLO order as follows:

• Only 12,000 products are covered, not the whole City Index asset portfolio.

• The GSLO order must be made within a certain pricing distance.

• Fee-only payable when GSLO order is activated

• There are no additional expenses for adjustments to the GSLO order, which is our sole good input.

• The GSLO protects against negative account balances.

Trading Tools

Forex traders have the option to explore the market using more sophisticated trading tools and advanced charting packages. Forex traders are depending on these technical tools to make sound trading decisions. The core technical tools can be summarized below:

• A technical research portal – can be used as a scanning tool, in-depth market analysis, market research, SL and TP levels determine by an in-house algorithm, price alerts

• Fundamental analysis tool – stock valuation, best stocks, company metrics, global data, stock filter

• Auto-trading strategies – including over 100 built-in strategies

• Real-time news from Reuters

Powerful Chart

The charting solution offered by City Index is excellent. The charting software comes with a lot of built-in features that are designed to help forex traders to spot new opportunities in the financial markets. Forex charting software needs to come with particular features. City Index charts have a plethora of advantages including:

• 16 years of price history

• Visual orders displayed directly on the charts

• Over 65 customizable indicators

• Chart overlay feature to compare the price of two or more assets

• Extensive drawing tools

City Index Trading Academy

When you open an account with City Index, you also gain access to an impressive educational trading academy. City index offers retail investors and professional traders hundreds of lessons available at their fingertips. The educational material encompasses a broad range of topics from lessons on how CFDs work and a trading strategy course that is valued at over $5,000.

You can learn to trade with City Index Training Academy and have access to the following types of educational material:

• Understand how CFDs work course

• Technical analysis and fundamental analysis guides

• Trading strategy guides

• City Index research tool guide

• Expert news and analysis

• Free webinars

• Earnings Report Economic calendar

The global research team at City Index has been awarded multiple times for their level of professionalism. The market analyses that can be found in the city index section are constantly featured in mainstream media (MSM) publications such as The Guardian, The Telegraph, BBC, and Sky News.

The weekly forex outlooks and forecasts published every Monday at 10.00 am is another insightful tool that will prepare forex traders for the week ahead.

Trader Development Program

City clients can also join the exclusive trader development program if they want to learn from an ex-Goldman Sachs professional trader. The program is run by Tony Sycamore from TECHFX TRADERS, which has over 20 years of trading experience. The trading strategy course is divided into three main sections that are intended to take a complete novice trader and turn him into a professional trader:

• The first part (Demystifying Forex) is dedicated to learning the key concepts of forex trading

• The second part (Learn to trade course) is dedicated to the basics of fundamental and technical analysis

• The last segment (Trade like a Pro) is dedicated to advanced concepts and trading strategies

Note, to have access to the trader development program, one would only need to open an account with City Index and make a minimum deposit.

City Index For Traders In The United Kingdom

Traders with City Index in the United Kingdom should be aware of a few details not found with City Index in regions outside Europe.

Regulation and Business Details

GAIN Capital UK Limited (trading name City Index) is registered in England and Wales with number: 1761813 and operates with FCA register number 113942

City Index is registered at the following address – Devon House, 58 St Katharines Way, London, E1W 1JP.

Retail vs Professional Traders

FCA (in line with ESMA guidance) allows more generous leverage to professional traders, as it is understood professional traders have the experience to trade with leverage responsibly and the resources to handle losses that would be difficult for retail traders to absorb.

The leverage differences are as follows

Traders will also receive priority services, cash rebates, and access to a client relationship manager and credit facilities.

To qualify for a professional account you will need to show you meet the following criteria

Spread Betting

City Index offers offer spread betting as an option for trading in the United Kingdom. Spread betting is similar to CFD trading in that it is a form of margin trading and most of the same instruments are available with the same leverage however traders do not buy contracts of the underlying instruments. Instead of contracts, clients are betting on price movements of the financial products.

Spread betting is popular in the United Kingdom as there are no capital gains taxes, which means more profits.

FAQS

Does City Index allow scalping？

No. Unfortunately, City Index doesnt allow scalping or any other forms of high-frequency trading on their platform. All other forms of trading styles are welcomed at City Index including hedging. A better choice would be IC Markets or Pepperstone, which both welcome scalping along with offering the lowest spreads in the forex industry.

Is City Index a market maker？

City Index's proprietary dealing desk uses a market-maker pricing mechanism. Or, City Index provides its market for regular investors to purchase and sell securities. In contrast, ECN brokers use a no-dealing-desk (NDD) to match customer orders directly with liquidity sources (LPs).

Compare the Best MT4 ECN Brokers for 2022 to get the best offer.

What is the City Index minimum deposit？

City Index Review: Final Impressions

Overall City Index is a strong brokerage that beginning and intermediate Forex trading Australia enthusiasts should consider when looking for a new place to trade online. Although limits exist in regards to its trading platforms and leverage restrictions – these may be issues for some traders, not enough to offset the advantages this brokerage offers.

City Index Review: Final Impressions

Overall City Index is a strong brokerage that beginning and intermediate Forex trading Australia enthusiasts should consider when looking for a new place to trade online. Although limits exist in regards to its trading platforms and leverage restrictions – these may be issues for some traders, not enough to offset the advantages this brokerage offers.