Best Brokers with NASDAQ

As one of the three most popular stock indices in the United States, the NASDAQ is a favourite of investors looking to gain exposure to the US market. Due to consistent yearly returns and the ability to invest in various sectors, the NASDAQ is an ideal investment opportunity for long-term capital growth.In this guide, we explore the Best Brokers with NASDAQ.

We will be highlighting the top options available to you and showing you how to invest in the NASDAQ today without paying any commissions whatsoever.

Best Brokers with NASDAQ 2021 List

Found below is a list of the best brokers that trade NASDAQ this year. In the following section, we review the best forex brokers that offer NASDAQ trading right now, ensuring you have all the information you need to make an effective broker choice.

  • eToro – Overall Best Broker with NASDAQ
  • Capital.com – Best Broker with NASDAQ with Low Trading Fees
  • Libertex – Best Broker with NASDAQ with ZERO spreads
  • Avatrade – Best Broker with NASDAQ with MT4 Support
  • Pepperstone – Best NASDAQ Broker for Active Traders
  • VantageFX – Best NASDAQ Broker with Multiple Account Types
  • Fineco – Best Broker with NASDAQ for Regulation
  • Interactive Brokers – Excellent Trading Tolls
  • IG – Best NASDAQ Broker with Stellar Reputation
  • TD Ameritrade – Popular US Nasdaq Broker

Top Brokers with NASDAQ Reviewed

Before you begin trading the NASDAQ, it’s crucial to research your broker options and choose a platform that is both regulated and cost-effective. The brokers below represent the best NASDAQ brokers that we have found through our research. By partnering with one of these NASDAQ 100 brokers, you’ll be able to invest quickly and safely.

1. eToro – Overall Best Broker with NASDAQ

etoro brokereToro is the pick of the bunch when it comes to the best brokers with NASDAQ. Offering various trading services, such as stock trading and forex trading, eToro is the favoured broker of over 20 million users worldwide. eToro is regulated by multiple top-tier regulators, including the FCA and CySec, to ensure the safety of all users.

etoro indices

One of the most appealing elements of eToro’s platform is that they allow 0% commission trading on all assets. This means that when you buy or sell the NASDAQ, you avoid the hefty fees that other brokers charge. eToro’s fee is included in the spread, which tends to be very tight – only 240 pips when trading the NASDAQ. Furthermore, eToro also offers extensive leverage facilities of up to 20x on certain indices.

New eToro users can fund their account from as little as $200, using various options such as credit/debit card, bank transfer, and e-wallet. eToro also offers numerous useful social trading features, most notably their ‘CopyTrader’ feature, which allows users to automatically copy the trades of other eToro traders – mimicking the services of forex robots.

Pros:

  • Heavily regulated trading platform used by over 20 million people
  • 0% commission on NASDAQ trading
  • Spread-only pricing structure on crypto, indices, forex, and commodities
  • The minimum stake starts at $25 per trade
  • Supports debit/credit cards, bank transfers, and e-wallets
  • Copy Trading features promote passive investing
  • Minimum deposit of only $50 for US-based traders

Cons:

  • Charting analysis tools are basic

67% of retail investors lose money trading CFDs at this site

 

2. Capital.com – Best Broker with NASDAQ with Low Trading Fees

capital.com review

Capital.com is one of the top brokerages with NASDAQ when it comes to having low fees – making them a popular choice for traders worldwide. Capital.com is regulated by the FCA, CySec, and MiFID, ensuring all users are protected whilst trading. Furthermore, Capital.com offer CFD trading facilities on various assets, such as forex, indices, stocks, ETFs, commodities – and even cryptocurrencies.

capital.com nasdaq

Capital.com does not charge any commissions and only charge a small spread – making them one of the best low spread forex brokers on the market. Furthermore, on their professional account, Capital.com offer up to 200:1 leverage when trading the NASDAQ – ideal for advanced traders! Notably, the account minimum on Capital.com is only $20, which can be funded via credit/debit card, bank transfer, or e-wallet.

In terms of the trading experience, Capital.com’s platform is very user-friendly – and they even offer a handy mobile app too. It includes various charting features and research tools that can enhance your technical analysis and ensure you’re trading effectively. What’s more, Capital.com even offer an extensive range of educational resources, including tutorials, glossaries, and video guides.

Pros:

  • 0% commission and tight spreads
  • Thousands of markets on offer
  • CFD asset classes include crypto, stocks, forex, and commodities
  • Minimum deposit of just $20
  • Supports debit/credit cards and e-wallets
  • Great for beginners
  • MT4 supported
  • Leverage available – limits depend on your location

Cons:

  • You can’t invest in the underlying asset – CFD instruments only

67.7% of retail investor accounts lose money when trading CFDs with this provider

 

3. Libertex – One of the Top Brokers with NASDAQ with ZERO spreads

forex broker news libertexIf you’re looking for online brokers with NASDAQ that offer low spreads, then Libertex can’t be beaten. Libertex is extremely popular with traders thanks to its zero-spread structure. Instead of spreads, Libertex only charges a small commission when you make a trade. This commission fluctuates depending on the asset, but on stock index CFDs, it tends to be between 0.1% and 0.2% of your position size.

libertex nasdaq

Libertex has a fantastic selection of tradeable assets, including 18 indices, over 50 currency pairs, and numerous cryptos. This ensures that users can create a diversified portfolio easily when online trading. In terms of deposits, Libertex accepts credit/debit cards, bank transfers, and e-wallets – all deposits are free to make.

Finally, Libertex offers its own proprietary trading platform that is web-based, ensuring it is accessible to all users. The platform provides fast execution times, ideal when trading in markets such as the stock and currency markets. Libertex even offers full support for MT4 and MT5, ensuring forex traders are catered to.

Pros

  • ZERO spreads on all markets
  • Low trading commissions
  • Minimum deposit of just $100
  • Supports CFD instruments on stocks, crypto, ETFs, forex, commodities, and more
  • Proprietary web-based platform offered
  • Heavily regulated and more than 20+ years in the trading space
  • MT4 and MT5 supported

Cons

  • CFD instruments only – no full ownership

83% of retail investor accounts lose money when trading CFDs with this provider

 

4. Avatrade – Best Broker with NASDAQ with MT4 Support

avatrade brokerAnother addition to our list of the best NASDAQ brokers is Avatrade. Avatrade has a reputation in the forex community as one of the best MT4 brokers, as they offer full support for the super-popular trading platform. Furthermore, Avatrade also provides its own WebTrader platform, along with an options trading platform called ‘AvaOptions’.

avatrade indices trading

When trading the NASDAQ with Avatrade, you will not be charged any commissions – fees are built into the spread. These spreads tend to be pretty tight, ranging around 0.5 points for popular stock indices. Furthermore, Avatrade also offers up to 20:1 leverage when trading indices, allowing users to boost potential profits.

Account opening with Avatrade is super easy and only requires a minimum deposit of $100. Avatrade doesn’t charge any deposit or withdrawal fees, meaning that handling money in your account is as cheap as possible. Finally, Avatrade offers numerous educational resources for new traders – including a handy demo account for a risk-free trading experience.

Pros:

  • Regulated in 6 different jurisdictions
  • Supports CFD markets on forex, stocks, cryptocurrencies, and more
  • 0% commission and low spreads
  • Compatible with MT4 and MT5
  • Minimum deposit of just $100
  • Up to 20:1 leverage when NASDAQ trading

Cons:

  • Stock CFD department is limited in comparison to other platforms

71% of retail investor accounts lose money when trading CFDs with this provider

 

5. Pepperstone – Best NASDAQ Broker for Active Traders

Pepperstone LogoRounding off our list of the top online stock brokers with NASDAQ is Pepperstone. Pepperstone is a popular broker with experienced traders as they offer various account types tailored to advanced traders. Two trading accounts are offered – a standard retail investor account and a Razor account, with the former being for beginner traders and the latter being for advanced traders.

pepperstone trade nasdaq

The standard account is commission-free; however, spreads are relatively high. On the other hand, the Razor brokerage account charges a commission based on which platform you trade on but offers low spreads. Pepperstone also provides an ‘Active Trader’ program that can refund a portion of your fees if you trade high volume.

Deposits are free to make with Pepperstone, whilst withdrawals are free to make if they are requested back to your credit/debit card. Pepperstone offers 14 different stock indices to trade, along with a vast selection of stock CFDs, exchange-traded funds and currency pairs. Finally, users can trade on MT4, MT5, and even cTrader – ensuring there’s an option to suit everyone!

Pros

  • Offers an advanced ECN account
  • Regulated by FCA and ASIC
  • Spreads as low as 0 pips on ECN account
  • No deposit or inactivity fees
  • Support for MT4, MT5, and cTrader

Cons

  • 3% fee when withdrawing to PayPal

Your capital is at risk when trading financial instruments with this provider

 

Brokers with NASDAQ Comparison

As you can see from the section above, there are multiple NASDAQ 100 brokers to choose from at present. To help make your decision easier, the table below breaks down the most critical metrics for each broker – allowing you to compare and contrast the options available.

Tradeable Indices Fee Structure Fee to Trade NASDAQ Fee to Trade Amazon
eToro 13 0% commission; variable spread 240 pips FREE
Capital.com 34 0% commission; variable spread 1.9 points 27.77 points
Libertex 18 Variable commission; ZERO spreads 0.1% – 0.2% of position size 0.1% – 0.2% of position size
Avatrade 32 0% commission; variable spread 1 point 0.13%
Pepperstone 14 Standard: 0% commission, high spreads

Razor: Platform-based commission, low spreads

1 point Variable (depending on market conditions)

 

NASDAQ Trading Basics

Now that you’ve got a solid overview of the best NASDAQ 100 brokers let’s take a look at the NASDAQ in detail. Before trading, it’s wise to get a feel for what the index is and how to trade it. Found below are some of the key points to be aware of before trading the NASDAQ:

Price Movement

When you trade with the best NASDAQ brokers, you’ll see that the quoted price is in ‘points’ rather than in dollars or pounds. This may seem not very clear at first – but it’s super easy to understand! The way we recommend thinking about NASDAQ price movements is in percentage terms – this makes the whole process much more straightforward.

nasdaq price movements

So, if the NASDAQ was at 14,000 and it moved to 14,500, that would represent a 3.57% increase. If you had a $1000 investment in the NASDAQ at the time, your investment would therefore be worth $1035.70 after the price rise.

Type of Asset

The NASDAQ is what’s known as an index, which means it is comprised of various stocks. Each stock will have a specific weighting (more on this later), with all the weightings combining to make 100%. The stocks that are listed on the NASDAQ index all come from the NASDAQ stock exchange.

Important to note is that the NASDAQ is heavily weighted towards companies from the tech sector. This means that investors interested in gaining exposure to this industry tend to be fans of the NASDAQ.

Weighting

As noted earlier, the NASDAQ is primarily weighted towards tech stocks. Apple, Microsoft, and Amazon are the three companies with the highest weighting, so naturally, the index will be affected by the price movements of these stocks.

nasdaq weightings

The table above presents the top 20 stocks by weight in the NASDAQ. As you can see, most of the companies (apart from the top few) have minimal weighting in the index. This ensures that investors have broad exposure to various sectors when investing.

Why Trade the NASDAQ 100?

The NASDAQ is an incredibly popular investment choice – and for a good reason. By investing in an index such as this, you can get diversified exposure to various industries. Having a diversified investment provides a ‘safeguard’ from adverse market movements in a specific sector.

For example, if you decided to invest in the healthcare sector solely, and then that sector experienced a downturn, then your entire investment would suffer. However, if you invested in the NASDAQ (which has exposure to various industries), then the impact of one sector’s downturn would potentially be offset by gains from another.

nasdaq annual returns

Also, the NASDAQ is a good investment choice for people interested in long-term investing. The index has generated a positive return in eight of the last ten years – and even returned over 43% in 2020! Due to the consistency of returns, the NASDAQ is a favourite of investors interested in creating a passive investment portfolio.

Trading NASDAQ Stocks

You might be interested in trading just a few NASDAQ stocks rather than investing in the index as a whole. This is definitely an option if you are experienced in the market and understand how to analyse equities. Choosing a few stocks can open you up to more significant returns – but it is also riskier than investing in the NASDAQ index.

Top brokers (such as eToro) allow you to invest in NASDAQ stocks and create your own portfolio. For example, you could buy Apple, Microsoft, and Alphabet to make your own allocation of NASDAQ stocks. If you decide to do this, we recommend using eToro as you’ll avoid the hefty commissions that other brokers tend to charge.

What Moves the NASDAQ?

As a market index, the NASDAQ’s price can be affected by a variety of factors. The list below presents some of the main elements to be aware of that can alter the NASDAQ’s value:

  • Market News: One of the most important factors to consider is market news. If some negative information comes out that affects the tech sector, for example, then the tech stocks included in the NASDAQ would most likely experience a decline in value – thereby pushing the NASDAQ lower. This works the other way too, so it’s vital to keep an eye on the news.
  • Trader Sentiment: The overall market sentiment is another element that can affect the NASDAQ. If the economy is in flux and traders are bearish overall, then it’s likely that the NASDAQ may trade sideways or even decrease in value. On the other hand, if sentiment is bullish, then the NASDAQ may experience price increases.
  • Data Releases: Major data releases, such as unemployment figures and NFP data, can impact the NASDAQ’s price. These data releases indicate how the economy is faring currently, which then feeds into trader sentiment.

How to Trade the NASDAQ with Technical Indicators 

One way in which you can get the upper hand when trading the NASDAQ is by using technical indicators. These indicators essentially provide a method of gauging the direction that an asset’s price is likely to go – increasing the likelihood of an effective trade. There are numerous technical indicators that traders can use, although some are more effective than others.

MACD is one such indicator, as it provides a measure of how strong an asset’s trend is. This is a great forex indicator too and is used by experienced FX traders interested in trend trading. If the MACD estimate is above zero, then it is likely that the price is trending upwards; conversely, if MACD is below zero, then the price is more likely to trend downwards.

nasdaq MACD

Another indicator to use when trading the NASDAQ is RSI. The RSI stands for ‘Relative Strength Index’ and indicates whether an asset is overbought or oversold. Overbought assets are more likely to experience a price decline, whilst oversold assets are more likely to experience a price increase. Although the RSI isn’t foolproof, it can be a valuable addition to other analysis types.

How to Trade the NASDAQ on eToro

So, are you ready to begin trading the NASDAQ? If so, this section will present the five quick steps you need to follow to do so. We recommend using eToro to trade the NASDAQ – as one of the best CFD brokers on the market, eToro will allow you to invest in the NASDAQ in a safe and low-cost manner.

Step 1: Open an eToro Account

Head over to eToro’s homepage and click the ‘Join Now’ button. On the following page, enter your email address and choose a username and a password to create your account.

etoro sign up

67% of retail investors lose money trading CFDs at this site

Step 2: Verify your Account

eToro is one of the safest brokers with NASDAQ, as numerous top-tier entities regulate them. As such, new users must verify themselves before trading. To do this, head to eToro’s dashboard and upload proof of ID (a copy of your passport or driver’s license) and proof of address (a copy of a bank statement or utility bill). These documents will then be verified by eToro, which usually only takes a few minutes.

Step 3: Fund your Account

New eToro users must make a minimum deposit of $200; however, if you are US-based, this deposit only needs to be $50. eToro accepts the following deposit methods:

  • Credit card
  • Debit card
  • Bank transfer
  • PayPal
  • Skrill
  • Neteller
  • Trustly
  • Klarna

Step 4: Search for NASDAQ

Type in ‘NASDAQ’ into the search bar on eToro’s platform. In the drop-down menu, click the ‘Trade’ button next to the first option.

etoro invest in nasdaq

Step 5: Trade the NASDAQ

An order box will now appear, similar to the one below. You can opt to buy or sell the NASDAQ and decide how large your position size will be (minimum of $200). Once you are happy with everything, click ‘Open Trade’.

etoro trade nasdaq

And that’s it! You’ve just invested in the NASDAQ with one of the best NASDAQ brokers – all without paying any commissions!

eToro – Best Broker with NASDAQ 

To summarise, there are various brokers with NASDAQ available as a tradeable asset these days – which is excellent news for traders looking to gain exposure to the US equity market. Investing in an index such as the NASDAQ is a great way to diversify your portfolio in a low-volatility manner. By using this guide, you’ll have a firm understanding of the best NASDAQ brokers available today – enabling you to trade safely and cost-effectively.

If you’d like to invest in the NASDAQ right away, we’d recommend using eToro. eToro is a heavily regulated broker, boasting regulation from the FCA and CySec. What’s more, eToro allow users to invest in the NASDAQ with zero commissions – ideal for people looking to start small and work their way up!

etoro logo

67% of retail investors lose money trading CFDs at this site

FAQs

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