FirewoodFX Broker Review – Is It Legit?

Established in 2014, FirewoodFX is a global online broker that offers trading services to customers around the world. The brand is registered in St Vincent and The Grenadines however there is no information available about the existing license. The company represents itself as a brokerage firm, that offers up to 1:1000 leverage, Islamic accounts, and spreads that start from 1 pip. There is no information regarding the broker’s partnership with other brands.

In the available languages, it is shown that the website is present in Indonesian and Chinese languages, apart from English, but it seems to have some flaws and note working. The broker managed to attract a lot of customers, however, there are numerous question marks regarding the validity of the broker, which we will meticulously go through in our FirewoodFX review.

FirewoodFX Regulation and Company Information

As we have already mentioned at the beginning of our review, the company is registered in St Vincent and the Grenadines, but we could not find out information about the regulator. You can still find the number and registration address, but the absence of a decent regulator increases our suspicions, whether FirewoodFX is a legit brand or not. The company was established in 2014 and it does not provide services to customers from the United States.

The absence of the license requires attention because in the case there is something wrong with your account, the information could be compromised. FirewoodFX, though, follows AML Policy, which can be seen at the bottom of the main page. There is no negative balance protection for your account, meaning your funds could be at risk.

FirewoodFX Trading Accounts

At the moment of writing this FirewoodFX review, there are only 3 types of accounts, that users can create:

• Micro
• Standard
• Premium

These accounts differ from each other. Micro and Standard accounts have a similar minimum deposit which is $10, but the Premium one has $100. The leverage is pretty high for all 3 accounts – 1:1000. There are no commissions on maintaining the accounts and hedging is available. The minimum trade size is similar for all accounts (0.01 lot) and the maximum trade size is 200 lots for Micro accounts, 30 lots for Standard, and 50 lots for Premium.

As for demo accounts, you can try out your trading skills, before going for traditional accounts. Creating demo accounts is possible in several clicks. After creating a demo account you will be granted a virtual balance where you will be able to trade in a simulated environment where there are no risks of losing real money.

Islamic accounts for users, who follow the Muslim religion are available as well. Generally, it is a swap-free account, which has no commissions. It is supported on all 3 accounts.

FirewoodFX Trading and Non-trading Fees

When we talk about trading and non-trading fees on FirewoodFX, we can note that there are no commission fees on each account. In addition, spreads start from 1 pip on Premium, 2 pips on Standard, and 3 pips on Micro accounts. Swap is available for all 3 accounts as well as an Islamic account. It is a little suspicious, that the broker has no commission fees, making us think that it could be fraudulent.

Fees on deposit methods vary. The minimum deposit is also different. On withdrawals normally bank fees apply and the minimum withdrawals also depend on the method you are using. We could not find any information on inactivity fees, which is the period when you are not using your account for a particular time.

FirewoodFX Trading Assets and Their Conditions

As we could find out on the website of FirewoodFX brokerage firm, customers can only trade Forex. There is no other available asset, which is a massive disadvantage for the broker. In Forex you can try out both minor and major currency pairs. The requirement to open a live account is a minimum of $10, and the minimum trade starts from 0.01 lot. Leverage can be up to 1:1000 and this is a high amount, which can only be handled by professional traders. When leverage is high, it means that the chances of losing more money also increase. Spreads start from 1 pip – depending on the type of account. The broker provides PAMM and ForexCopy services too.

Hedging and Scalping are allowed for every account, while the stop-out level is equal to 20%. In general, we are not impressed with the trading assets and conditions that the broker has set. In fact, these requirements are not suitable for a decent brokerage company.

FirewoodFX Trading Platforms

The company offers only MetaTrader 4 trading platform to users, which are present in 4 different forms:

• MetaTrader 4 Web
• MetaTrader 4 PC
• MetaTrader 4 iOS
• MetaTrader 4 Android

The absence of the MetaTrader 5 platform is noteworthy. While mobile trading is available there is no separate app for the broker. MetaTrader 4 web platform can be accessed directly from the broker’s website. Mobile versions can be downloaded on both Android and iOS devices. The broker states that the platform comes with different features that can be equally used on both desktop and mobile platforms. It is not known why MetaTrader 5 is not supported at the present moment.

FirewoodFX Deposits and Withdrawals

Diversity of payment options is a must for every brokerage company. FirewoodFX broker currently supports the following deposit methods to its clients:

• Bank Transfer
• Tether
• Credit Cards
• China Unionpay
• Indonesia Exchanger
• PerfectMoney
• FasaPay

Deposits are normally instantaneous, if you are not using Wire Transfer or Tether that could take up to 24 hours to proceed. On the majority of payment methods, there are no commission fees and the minimum deposit could vary between 1-100$. On your first deposit, you have the ability to claim a 20% bonus as soon as you deposit 100$. As the broker states, this is a one-time opportunity only.

Regarding withdrawals, clients can also use Neteller and Skrill payment options. Like deposits, a lot of factors affect the processing time of your funds. Sometimes the money can appear on your account instantly, and in some cases take up to 7 working days. The fees also vary for different withdrawal methods. The broker states that you can even withdraw 1$ depending on a payment method which is slightly suspicious. Overall, deposits and withdrawals do not impress.

FirewoodFX Educational Section

FirewoodFX brokerage firm does not have a separate educational section for its customers. However, you can access the Forex glossary and find out the most important terms, check various news. This section is indicated at the top right side of the website. Users can also engage in trading competitions, where they will compete against other traders. The absence of an educational section is a minus for the website. There are no webinars, where you can register and get additional knowledge that would be helpful for future trading.

FirewoodFX Customer Support

Without comprehensive customer support that deals with its clients effectively, we cannot talk about the success of any broker. You can only contact FirewoodFX through email, phone number, and a live form. The live chat is available as well which can be opened from the left side of the website. Normally, answers on email and phone numbers require some time and the response could be slow. When you contact the live chat you need to provide information about yourself and you can also leave a message. It is highly likely that the support only works in the English language and no other ones are supported.

The Bottom Line

After going through all important details of the FirewoodFX broker we have finally come to our verdict – should you trade with FirewoodFX? The broker does not seem trustworthy. First of all, it does not have a regulatory body and holds no license. When there is an absence of the license, some issues could become more problematic, when you have no one to appeal to. Trading conditions are obscure and it is hard to find relevant information on the website. As it seems, users can only trade Forex and no other trading instruments. The only available trading platform is MetaTrader 4 and MetaTrader 5 is not supported. Overall, we would advise customers to abstain from trading on the broker’s website and go for more reliable ones, that meet all necessary requirements.