Voice trading or Forex trading via phone in voice mode

We have all become accustomed to the fact that trading on Forex or the stock exchange is carried out via the Internet using a trading platform.

But a couple of decades ago, everything happened over the phone - orders were opened and closed, stops were set.

And it would seem that now there is no point in using a telephone connection for trading, it is not only inconvenient, but many modern strategies are simply not applicable in telephone mode.

But many brokers provide a “Telephone Password” when opening an account. Why is it needed and in what situations is the use of telephone communication useful?

Voice trading in practice

In fact, there are quite a few situations in which a telephone is useful; currently, voice trading is mainly used in force majeure circumstances, when trading through the trader’s terminal is not available.

The main rule of telephone trading is to have at hand the telephone number of an employee of a brokerage company , who will execute your orders:

At the same time, it will not be superfluous to conduct training by opening and closing an order over the phone, checking how the system works.

The procedure itself is carried out as follows:

• Call the desired phone number
• Provide your account number, your full name and telephone password
• Formulate an order to complete a transaction
• Receive confirmation from a broker employee

It would be a good idea to record the conversation, since in the future the recording can serve as evidence of your actions.

Telephone trading allows you to place market or pending orders , set stops, and close orders previously opened in the trading platform.

It is clear that in telephone mode there are much fewer possibilities than in the trading platform, but the mode itself is intended more for emergency situations.

Such as, for example, lack of Internet connection, failure of the trader’s terminal, lack of access to the trading platform. Those who have been trading for many years know that, although such situations are incredible, they still occur.