Pattern Trader Review: Scam or Legit Online Broker?

Pattern Trader Review – Is it Scam? – Online Broker


Pattern Trader is an online broker that allows users to trade a variety of financial instruments, including stocks, cryptocurrencies, and forex. With its user-friendly interface and competitive fees, Pattern Trader has become a popular choice for both novice and experienced traders. However, before investing with any online broker, it is important to do your research to ensure that it is legitimate and trustworthy.

Pattern Trader Review

History of Pattern Trader

Pattern Trader was founded in 2017 and is headquartered in the United Kingdom. It is regulated by the Financial Conduct Authority (FCA), which is one of the most respected financial regulatory bodies in the world. This regulation ensures that Pattern Trader operates in a transparent and ethical manner, and that it holds its clients' funds in segregated accounts.

How Pattern Trader Works

Pattern Trader offers a range of trading tools and features, including real-time market data, customizable charts, and advanced order types. Users can access the platform via their web browser or through a mobile app, making it easy to trade on the go. Pattern Trader also provides educational resources and support to help users develop their trading skills and strategies.

Features of Pattern Trader

Some of the key features of Pattern Trader include:

  • Competitive fees and commissions
  • Access to a wide range of financial instruments
  • User-friendly interface and customizable charts
  • Real-time market data and news
  • Advanced order types, including stop-loss and take-profit orders
  • Educational resources and support

User Experience and Interface

Pattern Trader's interface is intuitive and easy to use, making it a popular choice for novice traders. The platform offers customizable charts and a range of technical indicators, allowing users to tailor their trading experience to their preferences. The mobile app is also well-designed and offers all of the features of the web platform.

Pros and Cons of Pattern Trader


  • User-friendly interface
  • Competitive fees and commissions
  • Wide range of financial instruments
  • Real-time market data and news
  • Advanced order types


  • Limited research and analysis tools
  • No demo account available for testing strategies

Comparison with Other Online Brokers

When compared to other online brokers, Pattern Trader stands out for its competitive fees and user-friendly interface. However, it may not be the best choice for users who require advanced research and analysis tools, or those who prefer to test their strategies with a demo account.

Is Pattern Trader a Scam?

Overview of Online Broker Scams

Online broker scams are unfortunately common, and can result in significant financial losses for investors. Some of the most common types of online broker scams include:

  • Ponzi schemes, where investors are promised high returns but the money is actually used to pay off earlier investors
  • Fake websites and phishing scams, where scammers create fake websites to trick investors into giving them money or personal information
  • Pump-and-dump schemes, where scammers artificially inflate the price of a stock or cryptocurrency and then sell it at a profit

Red Flags to Watch Out for When Choosing an Online Broker

To avoid falling victim to an online broker scam, there are several red flags to watch out for when choosing an online broker:

  • Lack of regulation or licensing
  • Unsolicited phone calls or emails
  • Promises of guaranteed returns or profits
  • High-pressure sales tactics
  • Poor customer reviews or ratings

Investigation into Pattern Trader's Legitimacy

Pattern Trader is regulated by the FCA, which is a respected financial regulatory body. Additionally, the platform has received generally positive reviews from users, with many praising its user-friendly interface and competitive fees. While there have been some complaints about slow customer support and limited research tools, there is no evidence to suggest that Pattern Trader is a scam.

Analysis of Customer Reviews and Complaints

Customer reviews and complaints can be a useful source of information when researching an online broker. While there have been some complaints about Pattern Trader's customer support and research tools, the majority of reviews are positive. Users generally praise the platform's ease of use and competitive fees.

Conclusion on Whether Pattern Trader is a Scam or Not

Based on our research, there is no evidence to suggest that Pattern Trader is a scam. The platform is regulated by a respected financial regulatory body, and has received generally positive reviews from users.

Choosing an Online Broker

Factors to Consider When Choosing an Online Broker

When choosing an online broker, there are several factors to consider:

  • Regulation and licensing
  • Fees and commissions
  • Range of financial instruments
  • Trading tools and features
  • Customer support
  • Reputation and history

Types of Online Brokers Available

There are several types of online brokers available, including:

  • Full-service brokers, which offer a wide range of investment products and services
  • Discount brokers, which offer lower fees but may have limited features and tools
  • Robo-advisors, which use algorithms to manage clients' portfolios
  • Forex brokers, which specialize in currency trading

Comparison of Fees and Commissions

Fees and commissions can vary widely between online brokers. When comparing fees, it is important to consider not just the cost of trading, but also any account maintenance or inactivity fees.

Researching an Online Broker's Reputation and History

Before investing with an online broker, it is important to research its reputation and history. This can include reading customer reviews and complaints, checking the broker's regulatory status, and researching its financial history and stability.

Trading Strategies

Overview of Trading Strategies

Trading strategies are a set of rules and guidelines that dictate when and how to enter and exit trades. There are many different trading strategies, each with its own strengths and weaknesses.

How to Develop a Trading Strategy

To develop a trading strategy, it is important to first determine your goals and risk tolerance. You should also consider your trading style and the financial instruments you plan to trade. Once you have a clear understanding of your goals and preferences, you can begin to develop a strategy that fits your needs.

Importance of Backtesting and Paper Trading

Backtesting and paper trading are important tools for testing and refining trading strategies. Backtesting involves testing a strategy on historical data to see how it would have performed in the past, while paper trading involves testing a strategy in real-time using simulated trades.

Common Trading Mistakes to Avoid

Some common trading mistakes to avoid include:

  • Overtrading
  • Failing to use stop-loss orders
  • Letting emotions dictate trading decisions
  • Failing to adapt to changing market conditions

Risk Management

Overview of Risk Management in Trading

Risk management is the process of identifying and managing potential risks in trading. This can include setting stop-loss orders, diversifying your portfolio, and managing your position sizes.

Importance of Risk Management

Effective risk management is crucial for long-term success in trading. By managing your risks, you can reduce the likelihood of significant losses and ensure that you are able to continue trading even in the face of adversity.

Techniques for Managing Risk

Some techniques for managing risk include:

  • Setting stop-loss orders
  • Diversifying your portfolio
  • Managing your position sizes
  • Using hedging strategies

Common Risk Management Mistakes to Avoid

Some common risk management mistakes to avoid include:

  • Failing to set stop-loss orders
  • Over-leveraging your trades
  • Failing to diversify your portfolio
  • Ignoring changing market conditions

Trading Psychology

Overview of Trading Psychology

Trading psychology refers to the mindset and emotional state of a trader. This can include factors such as fear, greed, and overconfidence, all of which can have a significant impact on trading performance.

Importance of Mindset in Trading

An effective trading mindset is crucial for success in trading. By maintaining a positive and disciplined mindset, traders can avoid common psychological biases and make better trading decisions.

Common Psychological Biases in Trading

Some common psychological biases in trading include:

  • Fear of missing out (FOMO)
  • Overconfidence
  • Loss aversion
  • Confirmation bias

Techniques for Improving Trading Psychology

Some techniques for improving trading psychology include:

  • Maintaining a positive attitude
  • Practicing discipline and self-control
  • Setting realistic goals and expectations
  • Learning from mistakes and losses

Technical Analysis

Overview of Technical Analysis

Technical analysis is the process of using charts and technical indicators to identify patterns and trends in financial markets. This can include factors such as price movements, volume, and momentum.

Importance of Technical Analysis in Trading

Technical analysis can be a useful tool for identifying potential trading opportunities and making informed trading decisions. By analyzing charts and indicators, traders can gain a better understanding of market trends and sentiment.

Common Technical Indicators and Chart Patterns

Some common technical indicators and chart patterns include:

  • Moving averages
  • Relative strength index (RSI)
  • Bollinger Bands
  • Head and shoulders pattern
  • Double top and double bottom patterns

How to Use Technical Analysis in Trading

To use technical analysis in trading, it is important to first identify the relevant indicators and patterns for the financial instrument you are trading. You should then use these indicators to identify potential entry and exit points, and to set stop-loss and take-profit orders.

Fundamental Analysis

Overview of Fundamental Analysis

Fundamental analysis is the process of analyzing the financial and economic factors that can influence the value of a financial instrument. This can include factors such as earnings reports, economic indicators, and industry trends.

Importance of Fundamental Analysis in Trading

Fundamental analysis can be a useful tool for identifying the intrinsic value of a financial instrument and making informed trading decisions. By analyzing the underlying factors that can influence a financial instrument's value, traders can gain a better understanding of the broader market trends and conditions.

Common Fundamental Indicators and Metrics

Some common