BlackBull Markets Review 2023

Trust

BlackBull Regulations

BlackBull operates under two entities:

• Black Bull Group Limited is regulated by the Financial Markets Authority (FMA). We rate FMA as a Tier 2 regulator.
• BBG Limited is regulated by the Financial Services Authority (FSA). We rate FSA as a Tier 3 regulator.

Why is It Important to Know Where Your Broker Subsidiary Is Regulated?

Each regulator has its requirements for brokers, which may differ materially. Traders must understand these differences to evaluate whether the broker suits their needs.

For example, Black Bull Group Limited clients will benefit from the oversight of FMA, a Tier 2 regulator.

Most global clients will likely work with BBG Limited, which is regulated by FSA, a Tier 3 regulator.

Both entities offer segregated accounts, so clients’ funds will be safe in case the broker has financial problems.

Traders should note that BlackBull does not offer negative balance protection, which means that clients can lose more money than they have in their accounts. The absence of negative balance protection should be considered a material risk factor for leveraged accounts.

We have summarized key aspects of the broker’s entities in terms of regulation and safety in the table below:

Is BlackBull Safe to Trade With?

BlackBull has entities regulated by a Tier 2 regulator (FMA) and a Tier 3 regulator (FSA), which provide material protections for investors. Both entities hold their client’s funds separately from the firm’s funds. The broker offers negative balance protection, which means that clients will not lose more money than they have in their accounts.

Stability and Transparency

In our tests for the Trust category, we also cover factors relating to stability and transparency. Here, we focused on how long the broker has been in business, the size of the company, and how transparent they are in terms of information being readily available.

The information about BlackBull’s entities and important legal documents can be found in a dedicated section of the broker’s website. There, clients will have a chance to analyze documents like Risk Warning, Privacy Policy, Trading Terms of Service, Product Disclosure Statement, Client Services Agreement, and Dispute Resolution Scheme.

The information about spreads and commissions can be found on the accounts comparison page. Swaps could be found in the MetaTrader platform.

In summary, our findings indicate that BlackBull can be regarded as having a high level of trust and stability due to the following factors:

• Regulated by Tier 2 and Tier 3 regulators.
• More than 8 years in business.
• Transparency on regulations and fees on the company’s website.

Fees

BlackBull Trading Fees

For this review, we tested BlackBull Standard Account. In this trading account, BlackBull charges spreads and swap/rollover fees. Spreads are variable and depend on the liquidity situation. Swap fees can be found in contract specifications in the MetaTrader platform.

Traders should note that BlackBull also offers Prime and Institutional accounts. In the Prime Account (minimum deposit of $2,000), traders will enjoy tight spreads from 0.1 but pay a commission of $6.00 per lot. In the Institutional Account (minimum deposit of $20,000), traders will work with spreads from 0.0 and pay a commission starting from $15 per million.

BlackBull Spreads

We tested the spread on the BlackBull Standard Account during the London open at 8am UK time and just after the US open at 2.45pm UK time. These are the most actively traded times.

In general, BlackBull offered moderate spreads for most instruments that we measured. Spreads for GBP/JPY, Gold, and Down Jones are low.

Traders should note that spreads for WTI Oil are high. In case your trading strategy is focused on Oil, you may want to check other options.

Swap Fees

BlackBull’s swap fees are low compared to the average fees available in the industry. This is good for those traders who prefer to hold their positions for several days.

Are BlackBull Trading Fees Good?

BlackBull received a relatively high score in the Fees category in our rating. The spreads that we have measured were either low or medium for most instruments. However, traders should keep in mind that fees for oil were high. There are no commissions in the Standard Account.

Non-Trading Fees

BlackBull charges an inactivity fee of $10. This fee is charged if the trader does not make any transactions in 12 months.

Platforms and Tools

BlackBull Desktop and Web Platforms

In this review, we tested the MetaTrader 4 platform. MetaTrader 4 is a well-known platform that offers a wide range of indicators and timeframes for technical analysis. MT4 is offered by various brokers, so many traders have some experience with this platform.

In general, MT4 charts are easy to configure even for novice traders after some prep work, and they surely have enough options for advanced traders who could also download and install additional indicators if needed.

General Ease of Use

MT4 is a very popular trading platform that suits beginners and advanced traders alike. While beginners may have some work to do to get accustomed to the platform, the information is readily available on the web, both in text and video forms, so those willing to study trading will face no material problems with MT4.

MT4 offers customizable watchlists and charts, which could be tailored to traders’ needs. The trading platform also provides copy trading and automated trading features. Traders who are new to the platform will need to spend some time learning the ropes, but the navigation is logical, so it would not be a problem.

Charts

MT4 offers:

• 51 indicators
• 31 drawing tools
• 9 timeframes

Both beginners and advanced traders will have plenty of options to choose from when developing their trading strategy.

Indicators include:

• Trend indicators
• Oscillators
• Volumes
• Bill Williams
• Custom indicators

Available time frames include 1 minute, 5 minutes, 15 minutes, 30 minutes, 1 hour, 4 hours, daily, weekly, and monthly. Some platforms offer a wider range of timeframes, but the number of timeframes provided by MT4 is more than sufficient for practical purposes.

MT4 also supports objects:

• Lines
• Channels
• Gann Tools
• Fibonacci Tools
• Shapes
• Arrows

Please note that there are no Elliott Waves, an essential indicator for many pro-level traders. This indicator could be purchased from third parties.

Each chart could be displayed as a bar chart, a candlesticks chart, and a line chart. While candlesticks are generally more popular among traders as there is an abundance of candlesticks patterns used to make trading decisions, other types of charts also have their fans.

Orders

MT4 provides access to main order types that you will need when trading:

• Market order, which is used to buy or sell the instrument at the current marketplace. This order is used when a trader wants to establish a position as fast as possible. Typically, this order is necessary when the instrument’s price begins to move quickly. The main risk of this order is that you pay a spread, which is the difference between the bid price and the ask price.
• Limit order, which is used to buy or sell the instrument at a preset price, or better. This order is used when the trader wants to establish a position at a certain level and is not willing to pay current market prices. Using limit orders is a good way to control risks because the trader controls the price that will be paid. In case of a fast breakout, the limit order may be used as an “upgraded” market order when the limit price is placed above the current market price.
• Stop loss order, which is used to exit the position when the price is moving in the wrong way. This order is triggered when the price reaches a specified price point.
• Trailing stop order, which is used to set a stop order that will move in case open position trends in the right direction. This order is used to protect a trader’s profits if the market direction reverses.

BlackBull Mobile App

BlackBull offers the MT4 versions for Android and iOS. In this review, we used BlackBull Mobile App for Android.

General Ease of Use

The MT4 mobile app is rather easy to use. It provides charts, quotes, account balance info, economic calendar, news, and other tools to provide traders with an opportunity to make informed trading decisions.

The mobile app does not provide all the options offered by the desktop version, but it is sufficient enough to satisfy the needs of traders who must make their decisions on the go. The app is intuitive so traders should not have problems with it. Also, there are many videos and tutorials available on the web in case you have questions about certain features of the app.

Devices

BlackBull offers the MT4 versions for Android and iOS.

This selection of options is more than sufficient enough for mobile-based trading. Typically, the mobile app is used when the trader does not have access to the desktop platform but needs to monitor the market and open positions. While the app is helpful in certain circumstances, it cannot beat the speed of work that could be achieved using the desktop platform, which is the primary solution for active trading.

Orders

In an MT4 mobile app, you can set market orders, limit orders, and stop orders. Trailing stops are not available on mobile trading terminals.

Tradable Instruments

BlackBull provides access to 41 forex pairs, 16 commodities, 50 stocks, 13 indices, and 12 cryptocurrencies. The number of available forex pairs is medium, although it should be noted that many brokers offer a higher number of forex pairs. BlackBull offers a wide range of commodities and indices, so traders interested in these segments should pay attention to this broker.

The number of available stock CFDs is low. It looks that the main reason for this is that BlackBull has a separate share trading offering, which provides access to more than 80 global markets and more than 23,000 shares. Please note that this is a separate offering that is not connected with any CFD accounts provided by BlackBull.

What are CFDs?

CFDs (Contracts for Differences) are financial instruments that allow traders to bet on securities without owning the underlying securities. The key advantage of CFDs is the access to significant leverage, which is typically not available when trading other instruments. In this light, CFDs are very popular in short-term trading.

What Can You Trade with BlackBull?

• 41 forex pairs. Available pairs include familiar names like EUR/USD and GBP/JPY, as well as more exotic options like USD/SGD (U.S. dollar vs Singapore Dollar) or USD/ZAR (U.S. Dollar vs South African Rand).
• 16 commodities. BlackBull offers trading in commodities like WTI Oil, Natural Gas, Gold, Silver, and others.
• 60 share CFDs. The list includes big-cap U.S. stocks like Tesla and Apple.
• 13 indices. Available options include S&P 500, Dow Jones, CAC 40, FTSE, and other popular indices.
• 12 cryptocurrencies. Traders will have access to big names like BTC, ETH, XRP, and ADA.

BlackBull offers various assets to choose from, so traders will have enough choice. The number of available commodities is high, so traders interested in this market segment should take a closer look at BlackBull. The selection of indices is also richer compared to the industry average. The number of available forex pairs is average.

The broker offers a limited selection of stock CFDs for popular U.S. stocks. As we noted above, BlackBull has a separate stock trading offering.

Customer Support

BlackBull Customer Support Test

We have contacted BlackBull customer support several times, and their responses were timely and professional.

Deposit and Withdrawal

BlackBull received a high score for deposit and withdrawal in our rating. The company provides many deposit and withdrawal options and charges no fees for deposit and withdrawal. The number of base currencies used for deposit and withdrawal is also high. Traders should note that remitting banks and payment system providers charge a fee of 5.00 in the base account currency.

BlackBull Deposits

BlackBull provides multiple options to deposit funds into the account. Importantly, there are many base currencies, so clients will have plenty of options to choose from.

BlackBull Withdrawals

For withdrawals, clients can use the same options that were used for deposits. There are several important things to keep in mind. First, while BlackBull has no withdrawal fees, a fee of 5.0 in the base account currency is charged for credit cards, Neteller, Skrill, and international bank transfer withdrawals. These fees are applied by remitting banks and payment system providers. Second, the maximum amount that could be withdrawn with each payment method except for wire transfer is equal to the amount deposited with this method. For the amounts over the deposit amount, traders should use the bank transfer withdrawal method.

Account Types and Terms

BlackBull clients can choose from the ECN Standard, ECN Prime, and ECN Institutional accounts. Each of these accounts can be converted into a swap-free (Islamic) account.

The variety of options has led to a high score for the Account Types and Terms category in our rating.

Why is Choosing the Right Account Type Important?

The account you choose must suit your needs. Typically, the trader should focus on base currency options, contract size, commission, fees, the number of pending orders/positions, and the minimum deposit size.

What Account Types does BlackBull Offer?

BlackBull clients will choose from three types of accounts. The ECN Standard account is a commission-free, spread-based account with a low minimum deposit of $50. Traders willing to deposit more than $2000 can choose the ECN Prime account, which offers tight spreads but has a commission of $6.00 per lot. The ECN Institutional account is for traders who deposit more than $20,000. This account has a commission of $15 per million traded. All accounts offer leverage of up to 1:500.

What is CFD leverage?

CFD Leverage allows you to avoid paying the full value of the position. Instead, you pay a deposit, which is called margin, while the remaining funds are borrowed.

In BlackBull’s case, all accounts and entities offer leverage of up to 1:500. It is always good when traders have a choice of what amount of leverage they use. However, they should keep in mind that using the leverage of 1:500 is extremely risky.

BlackBull Account Opening Process

To open an account with BlackBull, go to the accounts comparison page and choose the account you want to open.

• Step 1: Complete the application, which includes your contact details, account details, trading information, and ID verification.
• Step 2: Confirm your email.
• Step 3: Wait for approval from the broker.
• Step 4: Fund your account.

What is a demo account?

A demo account is an account that allows you to test the broker’s services and your trading skills without risking your money.

Please note that your trading experience will differ when you use a demo account compared to a real-money account due to human psychology, as traders find themselves under pressure when the real money is at stake.

It’s a good idea to use the demo account for practicing and learning the trading platform, but do not spend too much time on the demo.

In BlackBull’s case, the only platform for the demo account is MetaTrader 4. Due to this, traders will not be able to test stock CFD trading with this broker.

Research

The broker’s research support is limited to the economic calendar and market reviews. The economic calendar is a typical offering for most brokers.

Market reviews are dedicated to various topics but are limited to a maximum of one per day, which is clearly insufficient to serve as research support for beginner or advanced traders.

Education

BlackBull offers trading videos, which are, in fact, a tutorial on MT4. The broker also provides trading guides – a collection of articles on various topics. A trading glossary, a typical feature for many brokers, is also provided.

It should be noted that there are no webinars, which are often used by brokers to connect to their clients and provide them with educational and research information.

The Bottom Line

Founded in 2014, BlackBull Markets has been in business for more than eight years, indicating that it is a stable company. The broker offers a high level of transparency, and all the important information about the types of accounts, commissions, fees, entities, and legal docs can be found on its website.

BlackBull offers the popular MetaTrader 4 and MetaTrader 5, three types of accounts, and a number of various base currencies for these accounts.

Traders can open an account with two entities: Black Bull Group Limited (FMA, New Zealand) and BBG Limited (FSA, Seychelles). FMA is a Tier 2 regulator, which provides a material level of protection. FSA is a Tier 3 regulator.

Among the instruments we have tested, BlackBull offers low spreads for GBP/JPY, Gold, and Dow Jones, while the spreads for Oil are high.

Available instruments include forex pairs, commodities, indices, stocks, and cryptocurrencies. The broker offers a strong selection of commodities and indices, while the number of available stock CFDs is low. However, it should be noted that BlackBull has a separate share trading offering, which is beyond the scope of this review.

For beginner traders, BlackBull has a minimum deposit of just $50. However, traders should note that the broker offers limited educational and research support.

FAQ