Nadex review 2023: should you sign up?Verified broker

Nadex review 2023: should you sign up? title=
3.2/5
Nadex belongs to the IG Group in London and has the following features:
Min. deposit
$250
Website address
Demo account
Yes
Currency
USD
Supported languages
Eng
Active
Yes
Payment Methods
ACH TransferChequeDebit CardMastercardVisaWire Transfer
Instruments
binary optionsCall SpreadsKnock Outs™
Min. trade price
$1
Regulated By
CFTC
MetaTrader 4
No
MetaTrader 5
No
cTrader
No
OmniTrader
No
AlgoTrader
No
TradingView
No
Trading Central
No
Autochartist
No
eSignal
No
STP Account
No
ECN Account
No
DMA Account
No
MAM Account
No
PAMM Account
No
LAMM Account
No
Demat Account
No
Mobile Apps
NadexGO
Margin Trading
No
Volatility Index
No
Spot Trading
No
Perpetual Swaps
No
ELWs
No
REITs
No
AI / Machine Learning
No
Robo Advisor
No
P2P Trading
No
Negative Balance Protection
No
VPS Hosting
No
Tournaments
No
Demo Competitions
No
Managed Accounts
No
Market Maker
No
Auto Trading
Yes
Social Trading
No
Copy Trading
No
Trade Signals
Yes
Islamic Account
No
Inactivity Fee
$10
Guaranteed Stop Loss
No
Stock Exchanges
DAX GER 40 IndexDow JonesFTSE UK IndexJapan Exchange GroupNasdaqS&P 500Shenzhen Stock Exchange
Commodities
GoldNatural GasOilSilver
Forex Trading
Speculate on the price movement of 11 currency pairs with binary options contracts.
Forex GBPUSD Spread
0.25 pips Var
Forex EURUSD Spread
0.25 pips Var
Forex EURGBP Spread
0.25 pips Var
Forex Assets
11
Crypto Lending
No
Crypto Staking
No
Crypto Mining
No
Crypto Auto Market Maker
No
Binary Options
Nadex offers real-time market action with short-term binary options trading. Trade on contracts that expire after 5 seconds.
Expiry Times
5 seconds - 1 week
Ladder Options
No
Boundary Options
Yes
Show all >>

* The amount that will be credited to the account in the case of a successful deal

*General Risk Warning: Your capital might be at risk

Trustpilot Real Time Reviews

Star

The Trustpilot rating is 3.2,
according to 219 reviews

4.5 Stars
John Fairless
John Fairless
stars
us
So many of the negative reviews on here seem to come from highly-inexperienced people who have not taken the time to learn the Nadex platform. First, Nadex is not a broker, it is an exchange; the better comparison (though rough) is to the New York Stock Exchange or the Chicago Board of Trade. There are RULES here, and they are for everybody’s protection. If you are looking for Wild-West, fun ‘n gun action, go to a European or Balkan operation. Good luck! If you want a simple, straightforward platform for crystal-clean execution, then Nadex is for you! The forex pairs and commodity options are limited by design. This is not something for everybody. Successful traders on Nadex like it this way and want to keep it. Put in the time; learn your craft; design your system and stick to it and you can find incredible success on Nadex.

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Randy
Randy
stars
us
I have only glowing things to say of Nadex but I'll mention just one here: Knockout Trades! If profiting from price action swings is what you're seeking, you've found your "Holy Grail"💰👀💯

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customer
customer
stars
us
Staff took time to help me re-work my charts and strategy application. great work, Nadex. My first trade was a tiny trade when i reasonably thought the low of the day/week were both in & I almost doubled my $31.00 before the closing bell by catching the edge/extreme pricing when it was rejected and not getting too greedy about its profitability(meaning I did not try to get the full-price payout on my first trade)..

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Gerald Boham
Gerald Boham
stars
us
This is cool platform but sometimes I feel the chart is too small for analysis as the strikes takes over the screen when you enable them. Platform developers must look at options for better execution experience. Thanks

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customer
customer
stars
nl
I was confused. I couldn't tell if I made or lost money. The customer service person from Nadex who called (I lost his name) explained that I could find that information in Account / Reporting History / History. Et Voila! Now all my trade data can be downloaded into a well organized spreadsheet! THANKS! And with that, I have a trading platform that I'm happy to use and recommend to friends. Mike

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Ron Fields
Ron Fields
stars
us
I love the Nadex platform. It’s a big change from the other platforms I’ve used in the past. Once I learned how to navigate throughout the Nadex platform I was able to take some trades. I started out practicing using a demo account, then moved on to the Live platform. I gave my review 5 stars, but one feature I would like to see added is a brief tutorial about the bells and whistles of the Nadex platform. I will definitely be recommending Nadex to my friends and family.

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Content

You have to enter the binary options market in a secure way. You must have a trustworthy trading broker on your side. Find out everything about NADEX here to know whether it is trustworthy or not. So let’s jump into the platform without wasting any time.

HOW DOES NADEX STAND OUT?

Reliable counterparties: Many traders shudder when they hear “binary options.” Traders can be confident that NADEX tries to facilitate honest and fair trading by following the CFTC regulations.

A wide range of tradable markets: NADEX offers multiple trading assets such as stocks, forex, commodities, and ETFs through options contracts.

Lowest minimum deposit: Do you know you can get started with NADEX for free? Yes, there is no minimum deposit for the live account.

Quality teaching resources: You’ll receive a glossary, tutorials, webinars, and blog posts that cover everything from trading methods to market observations on the NADEX website.

Trading hours: The NADEX platform is accessible 24 hours a day, depending on specific assets and regional trading hours.

WHAT IS NADEX?

WHAT IS NADEX?

Do you know what NADEX means? When was it established? Find out everything in detail in the section mentioned below. Let’s start!

The North American Derivatives Exchange refers to it as NADEX. It has been in service for more than a decade. NADEX is a binary options broker that serves US and EU traders. It was formally registered in the state of Illinois and is subject to US laws.

The CFTC (Commodity Futures Trading Commission) is the broker’s regulator. NADEX is best for active traders interested in day trading. That was the main appeal for me too, as I have always been a fan of day trading.

Short-term options are the main focus of this trading platform. They charge low fees with small deposits.

Small deposits

NADEX homepage

NADEX doesn’t charge anything to set up an account. It has a very straightforward fee and commission structure. NADEX acts as an exchange and not a broker.

It connects contract buyers and sellers rather than brokerage. Getting the most acceptable trading parameters is in the client’s and firm’s best interest.

Further reading

HOW DOES THE NADEX WORK?

HOW DOES THE NADEX WORK?

NADEX is a fantastic platform for investors to make a profit. You must be thinking, how? Here, I’ll talk about the assets and commodities NADEX offers to its investors. Let me clear the air!

The nadex work

Trading on NADEX is appropriate for experts, newbies, and scalpers. NADEX allows traders from the US, UK, and Europe. NADEX trades in a wide range of global marketplaces legally and with only one account. I tried NADEX from the UK.

Unlike traditional brokers, NADEX gives the extra benefit of never having a margin call. Let’s take a glance at NADEX’s three trading instruments.

Binary Options

Binaryoptions are contracts with just two possible outcomes: “Yes or No.” Let me demonstrate with an example. Will the price of crude oil, for example, fall to $38 per barrel by August 2022? When held to expiry, the binary options contract can either expire

  • OTM (out-of-the-money) with no return or;
  • ITM (in-the-money) with a return of $100 per share.

The dual result is what gives binary options their name.

Knockouts

A knockout, also known as touch brackets. It allows traders to establish a weekly ceiling and floor on their trade. The ceiling and floor serve as a kind of stop-loss or take-profit order. You can keep the knockouts until expiry.

Call Spreads

Call spreads, like knockouts, require you to select a ceiling and floor as initial trading parameters, but there is no risk of getting knocked out of a call spread trade. If you wish you can take gains or reduce losses.

You can continue the transaction for more than one week or sell out early. But hey! Do you know what you can trade on NADEX? Forex, commodities, and indices are available to traders. Users of NADEX can trade 11 different currency pairs, including”

Forex

  • EUR/USD
  • USD/JPY
  • USD/CHF
  • AUD/USD
  • GBP/USD
  • EUR/GBP
  • USD/CAD
  • GBP/JPY
  • AUD/JPY
  • EUR/JPY
  • USD/MXN

NADEX provides the following stock indices. NADEX may release cryptocurrency binary options in the future.

Indices

  • Wall Street 30
  • US 500
  • US Tech 100
  • US SmallCap 2000
  • China 50
  • FTSE 100
  • Germany 30, as well as
  • Japan 225

NADEX traders have access to commodity markets such as

Commodities

  •  Crude Oil
  • Natural Gas
  • Precious Metals such as
  • Gold and Silver
  • Maize
Further reading

HOW DOES THE NADEX PLATFORM WORK?

HOW DOES THE NADEX PLATFORM WORK?

You can’t learn the full functionality of NADEX unless you try out the platform. NADEX provides its services through online and mobile platforms.

NADEX platforms link you directly to the NADEX exchange. I’ve used both platforms, so keep reading to learn from my experiences!

The nadex platform work

The platforms allow you to take short-term positions. It also allows you to speculate on the minor price swings in various marketplaces. The platform allows for precise pricing and order placement. Let me tell you about the NADEX trading platforms.

WEB PLATFORM

The most impressive thing about the web platform is its full-featured charts, technical indicators, and drawing tools. NADEX desktop platform enables us to

  • Track
  • Manage
  • Analyze markets

I also got free access to market data and unique ladder charts. It made my trading from charts simple.

NADEX platform

NADEX platform

NADEXGo (mobile platform)

I tried the mobile app and it was a smooth experience overall. It synced with the desktop version and allowed me to keep up-to-date. Just like the desktop one, it provides real-time access to the market. While using the mobile platform, I felt like I was using a pocket-sized web version of it.

NADEX mobile platform

NADEX mobile platform

WHAT TRADING INDICATORS ARE AVAILABLE?

Indicators always help me to understand the market condition. They indicate to the traders what will happen next. So clearly, indicators are an essential thing to learn for trading. Do you know what indicators NADEX offers? Don’t fret! Here’s a list of some of them.

  • Moving averages
  • Average true range (ATR)
  • Moving average convergence/divergence (MACD)
  • Relative strength index (RSI) and many more.
Further reading

WHAT ARE NADEX TRADING ACCOUNTS?

WHAT ARE NADEX TRADING ACCOUNTS?

NADEX accounts are for investment. Both individual and business accounts provided me with great opportunities. I am fond of PAMM and MAMM accounts, but unfortunately, NADEX doesn’t provide them. Let’s see what the account types available are.

There are two standard individual accounts

  • One for US citizens
  • Another one for international clients.

The best thing I liked about NADEX is its ability to provide international clients with the same level of safety and security as they do for US clients. I opened my account from the UK and it worked like a charm. International traders can confidently use NADEX’s products and services, knowing their funds are safe.

Business accounts offers a variety of investment options for corporations and trusts and organizations headquartered in the United States. Let’s see the comparison of the account types:

SpecificationsBusiness AccountIndividual Account
Fees and Minimum Deposit$350 for the business account$250 for the individual account
Commission Costsdo not have commission chargeshave commission costs
Leverage100:140:1

I hope this will help you decide which account is better for you. Oh! Let me tell you another amazing thing about NADEX. Read the section mentioned below to be amazed.

DOES NADEX OFFER A DEMO ACCOUNT?

Does nadex offer ademo account

NADEX provides a $10,000 demo account. Now I am going to tell you a secret! NADEX’s demo account sign-up process is entirely digital and hassle-free.

It is a free account for 30 days. Following are the benefits I got when I tried their demo account.

  • Chance to practice trading for free
  • Market preparation
  • Testing their mobile trading software
  • Testing trading methods
  • Specified risk management
  • Became a better trader

I advise you to open a demo account first, then move on to the live account. I like to warn new traders against presuming that a demo account properly reflects the market psychology. It might lead to unreasonable trading expectations. The demo account offers both

  • Browser-based trading interface
  • Mobile app NADEXGo.

Told you! It’s a fantastic thing.

NADEX demo account

NADEX demo account

Further reading

HOW SAFE IS NADEX?

HOW SAFE IS NADEX?

I always advocate trading exclusively on licensed exchanges. US regulations handle all NADEX’s transactions. There are no margin calls or debt risk. What else do you want for safe trading?

The Commodity Futures Trading Commission regulates NADEX. In particular, NADEX adheres to:

  • Excellent risk management trading methods
  • Rigorous client money protection

This way, all your assets are held in segregated accounts in US institutions.

Further reading

WHERE IS NADEX LOCATED?

WHERE IS NADEX LOCATED?

Does NADEX have thousands of employees for dedicated work? Where are their employees working? You probably want to know their exact location, right? Let’s find out!

NADEX has members from dozens of countries. It is a retail-focused exchange. It provides streamlined derivatives contracts on international marketplaces.

But you’ll be surprised to know about this firm’s employees. NADEX is a minor financial firm with approximately 50 people. It is in Chicago, Illinois.

NADEX location

NADEX location

Further reading

WHO OWNS NADEX?

WHO OWNS NADEX?

I know you are surprised to know about how many employees they have, but who owns the whole firm? Do different partners manage it? Let’s dive in for details!

NADEX was formerly known as “Hedge Street” in 2004 but that shut down in 2007. In 2009 U.K. based I.G. Holdings Plc. purchased Hedge Street. They renamed the company North American Derivatives Exchange aka NADEX.

Further reading

HOW TO DEPOSIT/WITHDRAW FUNDS IN NADEX ACCOUNT?

HOW TO DEPOSIT/WITHDRAW FUNDS IN NADEX ACCOUNT?

While trading with any broker, I’m skeptical of scams and frauds. NADEX has done something for their traders to reduce the danger of fraud. It only accepts bank wires and debit/credit cards. So don’t worry! You won’t get scammed.

How to deposit withdraw funds in nadex account

Deposits and withdrawals are free through the automated clearing house (ACH), but let me tell you the ways you can deposit and withdraw.

Methods of NADEX deposit

  • Debit Cards (available for the US and foreign clients)
  • Wire Transfer (available to both domestic and international clients)

Methods of withdrawal from NADEX

  • Credit Cards (available for the US and international clients)
  • Wire Transfer (available for the US and international clients)
Further reading

HOW TO CONTACT NADEX?

HOW TO CONTACT NADEX?

I must mention that their customer support representatives are pretty competent. I knew I was in good hands when I got their email responses.

Their customer service is ready to answer all of your questions 24/5. Yeah! Unfortunately, their customer support service doesn’t work on weekends. There are two ways to contact them

  • Online Chat
  • Email

As I told you earlier, NADEX customer support service is reliable. It provides high-level support to its traders and clients.

NADEX contact page

NADEX contact page

Further reading

DOES NADEX OFFER PROMO CODES?

DOES NADEX OFFER PROMO CODES?

I love brokers’ promo codes. I always look for promo codes when I sign up with any broker, but does NADEX provide promo codes? Let’s dig in and find out!

While trading, I got the benefit of free trading days and other promotions occasionally. NADEX does not offer promo codes very often. This disappointed me.

Further reading

DOES NADEX OFFER BONUSES?

DOES NADEX OFFER BONUSES?

Bonuses always attract everyone and encourage doing more. That’s exactly what happened to me. When I started using NADEX, I was amazed by its welcome bonus. Let me explain it to you and how I got it.

Nadex offer bonuses

When I deposited $1000 as their initial trading amount. I got a $100 sign-up bonus at that time. NADEX does provide all new traders a sign-up bonus. You can get another bonus from NADEX by referring a friend.

The refer-a-friend program pays $100 for each eligible recommendation, up to a maximum of ten per client. I always recommend that everyone reads the terms and restrictions carefully. Traders should be aware of them before participating.

NADEX also periodically holds a free demo trading contest with real cash rewards, but unfortunately! This demo trading contest is only open to US residents.

Further reading

DOES NADEX CHARGE TAXES ON PROFIT?

DOES NADEX CHARGE TAXES ON PROFIT?

Alas, tax-free trade does not exist, but one more intriguing aspect of NADEX is its reasonable price structure.

Traders don’t have to be concerned about hidden costs. Too often hidden taxes on profits can deplete traders’ end-of-day money. To create or close a position at NADEX, I had to pay $1 for each contract. For contracts that have expired out of the money, NADEX does not levy a fee.

Further reading
HOW I MADE MONEY USING NADEX?

HOW I MADE MONEY USING NADEX?

When I started, I tried the NADEX demo account. It helped me feel more confident that I would make money once I started using a live account. I liked the trading platform and overall trading conditions were good too. However, I was confused at first. I couldn’t determine if I had made or lost money.

The NADEX customer care representative who answered the phone — I forgot his name — indicated that I could see such information under Account / Reporting History / History. Voila! As a result, I now have a trading platform that I am glad to use and recommend to others.

Also, I remembered I once faced another issue on the platform. In this scenario my orders were not getting executed on the web platform. So, I contacted the support team, and they said they are having some kinda glitch. The glitch was fixed in less than 24 hours and that was the only time I had trouble trading on the NADEX platform.

NADEX platform

kinda glitch

issue on the platform

Further reading
FAQs

FAQs

Is NADEX a good broker?

NADEX is a good platform for short-term traders who wish to trade binary options and spreads on a fully regulated exchange situated in the United States.

Is NADEX available in Canada?

NADEX closed its trading operations in Canada in 2015. This happened because of the ban on binary options by the Financial Consumer Agency of Canada (FCAC).

How to trade 5-minute binary options on NADEX? 

5-minute binary options operate within that time frame. It’s basically a form of short-term strategy which is popular among NADEX users. To participate you have to choose the 5-minute timeframe on the NADEX platform, enter your trade size, and place an order.

Can I trade Crypto on Nadex?

NADEX partnered with Gemini crypto exchange to provide crypto binary options to the traders. However, for now, it is only available on the demo platform.

Can strangle and straddle option strategies be traded on Nadex?

Yes, it is possible to trade strangles profitably on Nadex binary options. Straddles don’t work as well.

FINAL THOUGHTS

I’ve given you the complete review of NADEX. NADEX is a highly promising and competitive broker. It is a US broker with a reputable history. Always remember to use a registered and trustworthy broker.

It is one of the best international brokers. Different types of assets, convenient and reliable platform, favorable trading conditions. Want to know more? Click here.
Further reading