4 Best Day Trading Platforms UK September 2023 Reviewed

7. Skilling – Day trading platform that is compatible with MetaTrader 4

Skilling is a popular online broker that offers low fees and spreads. This broker is also compatible with the MT4 trading platform that gives users access to a huge variety of advanced day trading tools.

This trading platform has two different retail investor accounts available. The Standard account offers zero-commission CFD trades with spreads starting from 0.7 pips. There are no inactivity fees to worry about and trading account fees are minimal overall.

The Premium account, which is designed specifically for forex trading, is more interesting. Traders pay a commission of 35 USD per million traded, but the spread can be as low as 0.1 pips – that is, 0.001% of your trade value. For forex traders who use the available 30:1 leverage to make big bets on the currency market, this pricing structure is incredibly attractive.

Skilling has more than just forex trading, of course. The platform offers over 700 stock CFDs from US, UK, and European stock exchanges, as well as commodity and index trading.

Skilling offers three different trading platforms, including a cTrader platform for algorithmic trading and an integration with MetaTrader 4. The Skilling Trader platform – the primary trading platform – offers an excellent trading experience thanks to its customisable layout and unlimited watchlists. It also includes a section of featured assets, which can be very helpful for discovering volatile instruments to trade.

The brokerage also has a mobile trading app, which mimics the look and feel of the web trading platform. It’s very straightforward to use and works well for trading on the go. The Skilling mobile app is available for iOS and Android devices.

Skilling is regulated by CySEC, the Cyprus Securities and Exchange Commission. The broker offers customer support 5 days a week, but only during daytime trading hours.

8. IG – Established day trading platform in the UK

IG has been around for more than 45 years and is a well-established brokerage firm in the UK. It’s also a popular online trading platform for day traders, and particularly for day traders who want to place spread bets. Spreading betting is free from capital gains taxes in the UK and IG offers this style of trading on more than 17,000 financial markets.

Spread betting and CFD trading with IG are inexpensive. For spread betting, trading spreads start at just 0.1 pips for stocks and 0.6 pips for forex. If a trader is new to spread betting, they can try it out using IG’s demo account. For CFD trading, IG charges a fixed commission of 0.1% for UK and EU stock exchange shares and 0.02 USD for US stock exchange shares.IG also offers share dealing for traders who don’t want to worry about spreads or rollover fees. There is no commission and no spread, but users will have to pay a forex conversion fee when buying the US or European shares. The positive news is that IG offers more than 16,000 international shares to trade and supports extended hours so it is possible to stay one step ahead of financial markets.

IG has its own professional trading platform called ProRealTime. This is an incredibly comprehensive platform for day trading, complete with customisable indicators, personalised watchlists, automated trading tools, and forex signals. ProRealTime was built with experienced traders in mind, so it has a definite learning curve when you first get started. But, if you’re willing to put in the work, this is one of the most powerful platforms for day trading offered by any UK broker.

IG is regulated by the FCA and is a publicly-traded company on the London Stock Exchange. The online broker offers 24/7 customer support and is widely considered to be a responsive UK brokerage.

Your capital is at risk.

UK Platforms for Day Trading Fees Comparison

Understanding fees is a major part of choosing a day trading platform in the UK. So, let’s take a closer look at how the fees break down for each of the trading platforms we reviewed.

Common Practices of Day Traders in The UK

Once you have chosen a good day trading platform, you are one step closer to becoming a day trader in the UK. Here are some other common practices that are followed by some UK day traders.

✔️ Practice your skills

Day trading takes a lot of time and practice to perfect. This is because the market is volatile and make profits within a short time frame is tricky. If you want to be a day trader, it is a good idea to practice with a demo account for as long as possible before putting any real money at risk.

Day traders are patient and take time to develop strategies and learn about the market before placing any real trades.

You should aim to use demo trading until the majority of the trades that you place are profitable. Depending on market conditions, this could take 1 week or it could take 1 year. You shouldn’t rush this part of the process.

✔️ Register for tax in the UK

Once you start placing profitable live trades, you will need to think about paying tax. In the UK, day traders must pay tax on profits over £12,300- this is subject to change. Therefore, it is important to register yourself for tax and keep track of your profits so that you can pay what is due at the end of the tax year.

✔️Continue to practice and learn

The truth behind successful day trading is that most traders will constantly practice and learn new skills. Contrary to popular belief, day trading is not an easy way to make money and certainly isn’t a form of passive income. Many day traders work around the clock to analyze the market, develop strategies and place trades.

Day traders need access to good charting tools, market news and indicators. Day traders will conduct multiple anaylses throughout the day to find potential trading opportunities.

74% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Features of UK Day Trading Platforms

Finding a trading platform for day trading is an important first step towards turning a profit from short-term trading. So, what features do traders need to prioritise when deciding between the various options that are available?

Let’s examine some of the key features to consider in choosing a UK trading platform in the UK.

Regulation

While regulations might not be that exciting, they play an important role in the financial markets and choosing a platform.

For example, regulations ensure that trades are being executed immediately and at the right price, every single time. They also ensure that money is kept separate from the broker’s funds, an important barrier for financial accounting.

The reputable day trading platforms in the UK are regulated by financial watchdogs like the UK’s Financial Conduct Authority (FCA), the Australia Securities and Investment Commission (ASIC), or the Cyprus Securities and Exchange Commission (CySEC).

Assets

The assets that you want to trade will play a big role finding a suitable day trading platform. Most UK trading platforms offer a mix of asset classes, including stocks, ETFs, forex, commodities, and stock indices.

That said, it’s important to dig a little deeper into what’s offered. Does a broker offer access to US and UK stock exchanges only, or can you trade global shares from emerging markets in Asia and Africa? For forex trading, does a forex broker only offer a handful of major and minor currency pairs or do they offer a wide selection of exotics as well?

Also check what instruments you can actually trade. Most trading platforms only offer CFD trading, not share dealing. This is typically an advantage for day trading since CFDs enable you to trade on margin. However, note that CFDs often carry additional overnight fees.

If you want to trade cryptocurrencies like Bitcoin, you will need a cryptocurrency exchange to do so since the UK recently outlawed CFD trading for cryptos. The only crypto trading platform we reviewed in this guide is eToro.

Fees

Trading fees can quickly eat into profits from day trading. That’s why it’s so important to understand a trading platform’s entire fee structure before you sign up. Think carefully about the volumes and assets you’re likely to trade, and what kind of fees that will entail. Demo accounts can also be used to better understand the fees involved with day trading.

We covered trading fees in detail above, but it’s worth reiterating that fees apply to more than just trading. Account fees – which include charges like inactivity fees and withdrawal fees – can add up if you’re not careful.

Day Trading Software – Tools & Features

Day Trading software is at the heart of every trading platform, and there are a lot of different tools to think about.

To start, personalised watchlists and adaptable technical charting software are must-have tools for day traders. Look for the ability to create multiple watchlists for different markets or trading strategies. It’s also helpful to be able to customize technical indicators and apply them in groups to a chart for rapid analysis.

Real-time alerts are also crucial for day trading effectively. Traders should be able to trigger price alerts at a minimum, but having the option to set alerts based on technical parameters or market movements is also extremely helpful.

Some platforms go above and beyond to offer unique features that can help you trade more profitably. For example, you might find discovery features that highlight instruments experiencing high volatility. Other platforms offer daily trade ideas and professional stock research. Trading platforms like eToro have a social trading network, which enables you to source ideas from thousands of experienced traders around the world.

You should also think about risk management tools. Almost every high-quality trading platform offers a stop loss option to minimize your downside risk. However, you may want to look for a trailing stop loss feature or the ability to enter one cancels the other orders.

User Experience

In addition to the tools and features a trading platform offers, it’s important to think about how smooth the trading experience is. It’s not very helpful if a platform has powerful tools, but executing a trade takes minutes instead of seconds.

The way to evaluate the trading experience is to sign up for a platform’s demo account. Spend a few hours or days trading simulated cash with the platform to see how the interface feels and how seamlessly you can move from charting to trade entry.

Don’t forget to evaluate a platform’s mobile app as part of the trading experience. This should offer all of the same analysis tools as the web or desktop platform. Most important, the trading app needs to make it seamless to enter and exit positions when you’re away from your desk.

Demo Account

Most of the day trading platforms in the UK offer a demo account. This is one tool you have for trying out a platform before you commit to it.

In addition, a demo account is an important tool for honing your trading strategy. Active traders rely on demo accounts to try out new indicators and trade ideas without risking real money.

Payment Methods

Most trading platforms offer a wide variety of methods to fund your account, but it’s worth checking. Ideally, you can pay by credit card, debit card, bank transfer, or e-wallet. Some platforms even accept mobile payment methods like Google Pay and Apple Pay.

Be sure to check the minimum deposit required for a trading platform, since this can vary widely.

Customer Service

Customer support is extremely important since even a few minutes of downtime can cost you money when day trading. Look for platforms that offer round-the-clock customer service by phone or live chat. Email support is reliable, but it can take up to a few hours to get a response.

How to Get Started with a Day Trading Platform UK

It is important to follow the right steps when signing up for a day trading platform in the UK to avoid unnecessary fees or admin. Here is a guide on how to sign up for a day trading platform in the UK in 2023.

Step 1: Open an Account

The first step to trading is to register a new account at a regulated broker.

Create a new account using your email or by signing in with Google or Facebook. Most platforms will ask for further details either during the initial registration or once the account has been created.

Step 2: Verify Your Identity

Upload a copy of a government-issued ID like your driver’s license or passport and a proof of address like a recent utility bill or financial statement. Make sure that the photo is clear and that the ID is 100% visible.

Step 3: Deposit Funds

Next, deposit funds into your new account. If you choose to pay using a bank account, the minimum deposit required may be higher.

Step 4: Start Day Trading

From your account dashboard, search for the instrument you want to buy – stocks, ETFs, forex, indices, commodities, bonds, or cryptocurrencies.

Once you find the asset you want to trade, click ‘Trade’ to open an order form. Enter how much money you want to trade with – remember that this is priced in USD for US-based markets.

If you’re trading CFDs, also select how much leverage to apply to your trade. Then enter a stop loss level and take profit level to manage your trading risk.

When your trade is ready, click ‘Open Trade’ to execute your first day trade.

Conclusion

Finding the right online trading platform for day traders is critical to turning a profit from short-term trading. Active traders have to consider a lot of different features and keep one eye on their trading strategy when picking which platform to use. Signing up for a day trading account requires a few steps in the UK but is accessible to retail investors.

In this article, we have taken a look at 5 day trading platforms that are available to UK traders. Conduct further research before deciding on a trading platform.

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