Nadex Review

Category: Reviews | Author: Trading Brokers | Date: November 17, 2022

Nadex is the largest CFTC-regulated binary options exchange in the US, offering flexible trading on Forex, Commodities and Stock Indices. The platform is user friendly and commission fees competitive compared to other online brokers. They have everything you would need for quick and easy market access with minimal fuss. There is a good selection of educational resources for beginners and paper trading accounts if you want to get a feel for what the broker has to offer without any risk.

Pros & Cons

  • User-friendly trading platforms
  • Mobile trading apps
  • Various asset classes
  • Competitive commissions
  • Powerful trading tools
  • Vast educational materials
  • No CFDs
  • Limited FX currency pairs
  • Limited funding options
  • No cryptocurrencies


Nadex (North American Derivatives Exchange™) is the first and largest US-based exchange offering short-term binary option, Touch Bracket™ and call spread contracts trading on Forex, Commodities, Stocks, Indices, Metals & Energies. They are regulated by the CFTC and have over 1250,000+ clients all over the globe. Contracts are available to trade six days a week, 23-hours a day, with over 10,000 hourly, daily, and weekly contracts going through the exchange.

Nadex is an exchange that differs from online brokers who tend to offer CFD trading. They instead offer 3 different ways to trade intra-day, daily or weekly; Binary Options, Touch Bracket™ contracts and Call Spreads. These methods of trading help to ensure that you know your maximum potential profit or loss upfront.

Opening a Nadex account online is easy and it can be funded using a debit card, with a minimum opening balance of $1. They provide clients with free real time market data and trading software, including robust charting and analysis tools. Trading fees are very competitive at just $1 per contract side, with no other fees. They have their very own proprietary desktop and mobile platforms for trading a range of markets all from one account.

Nadex Binary Options

The Nadex Binary Options method of trading involves speculating on whether a market will be above a certain price at a specific time, or not. If a trader thinks that it will, they would buy. If they think that it wouldn’t, they would sell. Binary options allow you to control the risk and see the possible outcomes before placing a trade.

Nadex Touch Bracket™ Contracts

A Nadex Touch Bracket enables you to make trades based on price action within a predefined price range. Each contract has a floor and a ceiling offering a natural price target with known risk and reward. This structure can maximize effective leverage and provide natural profit targets.

Nadex Call Spreads

Nadex Call Spreads are a single contract that have a floor-to-ceiling trading range which offers defined risk. The floor represents the lowest level the contract can trade, and the ceiling represents the highest level a contract can trade. Nadex Call Spreads will only expire at the pre-determined time, unlike Touch Brackets which immediately expire if the floor or ceiling is touched.

AvaTrade Logo

Our #1 Broker 2023

AvaTrade is an award-winning and multi-regulated broker offering a great selection of trading instruments including Forex, Cryptos, Stocks and Commodities. You can trade on all of your devices via user-friendly platforms with excellent trading conditions and no commission fees.

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.


Nadex, headquartered in Chicago and part of the global brand, is subject to regulatory oversight by the Commodity Futures Trading Commission (CFTC) as a financial exchange. The CFTC is a US government agency overseeing futures, options and swaps trading. Its mission is to protect market users and the public from fraud, manipulation, abuse, and systemic risk. The broker has multiple market makers that are contracted to provide liquidity to the markets. All market makers are Exchange members and thus subject to Nadex rules.

As an exchange, Nadex uses third party market makers to keep liquidity at high levels, as well as matching technology that automatically matches buyers and sellers in the markets. They do not take any positions in the markets themselves. They generate income solely from exchange fees, not from taking positions in the market. Nadex member funds are held in segregated accounts with major US banks (Fifth Third Bank, BMO Harris Bank).


They accept citizens and residents of the United States as clients. They also accept residents of most European countries along with some other countries you can see on the website. Unfortunately, traders from most Asian, African, and South American nations are not eligible to trade with them at this time. If your country is not accepted, please feel free to have a look at our best brokers for an alternative option.


Nadex offer their own proprietary in house developed trading platform for desktop and NadexGO™ for mobile. The sleek and professional platforms connect traders directly to the Nadex exchange, giving real time pricing, data and rapid trade execution speeds.

Trades can be entered and manged between the desktop and mobile platforms. This makes it convenient for those who need to access their account and manage trades whilst on the go. Both platforms offer all of the products and markets from Nadex, including charting with all features, drawing tools and technical indicators.

Nadex offer a free demo account that has $25,000 of virtual funds and will enable you to try the desktop and mobile trading apps. This can help you to familiarise yourself with the platforms and to test your trading strategies before trading on a live account.

Nadex Platforms

Nadex Platforms

Nadex Trading Platform

The Nadex destop platform lets you trade via most modern web browsers, directly through to the North American Derivatives Exchange™ (Nadex) and global markets.

Free Trading Platform

The Nadex platform provides users with free real-time indicative data. There are over 5,000 contracts traded daily that can be filtered by asset class, expiration, and price. There is only a small fee charged for each trade transaction.

You do not need to download or install any software to use the desktop platform which runs on Windows, Mac, or Linux. All you need is an internet connection along with your account username and password. Traders can place a trade via the desktop platform and manage it later via the Nadex mobile platform if they wish.

Nadex Free Trading Platform

Nadex Free Trading Platform

Depth of Market & Advanced Orders

The depth of market view is designed to be user friendly with a simple click and drag to place and modify orders. You can see the bid/ask prices and volume with depth on the order ticket.

The Market Order with Protection (MOP) is a form of slippage protection which prevents an order from being filled too far from the intended price. Limit orders are also supported.

Nadex Depth of Market & Advanced Orders

Nadex Depth of Market & Advanced Orders

Free Real-Time Data & Charts

The platform streams real-time indicative market data directly from the exchange with bid and offer prices along with the volume of contracts available. Orders are sent directly to the exchange without going through an intermediary broker.

Users can conduct a full range of technical analysis on charts and use the price ladder to place a buy or sell trade conveniently from within the same window. You can go from selecting your markets to chart analysis to order placement, all from one screen.

Nadex Free Real-Time Data & Charts

Nadex Free Real-Time Data & Charts

NadexGO Mobile Trading Platform

The NadexGO mobile trading platform lets you trade whenever, wherever and however you want. It offers the same full range of products, features and markets as the desktop platform including full charting and technical analysis tools. The platform has a sleek and intuitive design, with next generation technology providing real time direct market access (DMA).

Nadex Mobile Trading Platform

Nadex Mobile Trading Platform


Whilst Nadex do not offer any standalone trading tools, the Nadex platform has an abundance of tools built in for conducting detailed chart analysis. This includes technical indicators, graphical objects, annotations and other analytical tools.

It is easy to access and use the tool ribbon from within the platform. You can choose from a combination of popular analysis tools such as moving averages, Bollinger Bands, relative strength index, Fibonacci, support/resistance lines and much more. Nadex have a tutorial video on the website that explains how to use the tools on your platform.


The brokers website has an abundance of freely available educational materials. I think there is more than enough to educate not just beginners, but for the experienced traders to further improve their knowledge.

Educational Courses

The Nadex website has a variety of free educational courses tailored to traders of all experience levels. They cover a range of subjects such as binary option, Touch Bracket™ and call spread contracts, trading strategies and more. The courses are very detailed including annotated images and a quiz to test your knowledge.

Nadex Educational Courses

Nadex Educational Courses

Educational Videos

On the Nadex website there is a wide range of educational videos suitable for all levels of traders. These videos fit into categories which are Nadex, binary option, Touch Bracket™ and call spread contracts, how to guides. The videos are very well explained and easy to digest.

Nadex Educational Videos

Nadex Educational Videos

Trading eBooks

Nadex have a selection of free trading eBooks that are available to download and can help improve trading knowledge on a range of subjects, including binary options and advanced guidebooks on trading volatility and trend direction.

Nadex Trading eBooks

Nadex Trading eBooks


Nadex frequently host webinars covering a number of topics including market analysis, binary option, Touch Bracket™ and call spread contracts and more. You can register for up and coming webinars and also view previous webinars on demand. If you are a fan of webinars, Fortrade host them regularly.

Trade Examples

Another very useful section of the broekrs website is the trade examples where they clearly explain with annotated charts how to trade binary option, Touch Bracket™ and call spread contracts. This would be particular useful for beginners and those who have perhaps only previously traded forex and CFDs.

Nadex Trade Examples

Nadex Trade Examples


Nadex have a glossary of terms that includes some of the more commonly used trading terminology along with explanations of each.


You can conveniently trade multiple markets from one account including stock index futures, forex, commodities and economic events.

Stock Indices

Nadex clients can trade binary options and spread contracts based on the underlying futures prices of stock indices from the US and global stock market, without using ETFs or index futures. Stock indices available include Wall Street 30, US 500, US Tech 100, US SmallCap 2000, China 50, FTSE100, Germany 30 & Japan 225.


The foreign exchange (forex) market is the largest in the world in terms of volume, with a daily turnover of over $4 trillion and known for its vast liquidity. It is open 24/5 and decentralised across the global banking system.

Nadex offer clients 10 of the most popular forex currency pairs to trade as binary options and call spreads. They are available to trade 23 hours a day, 6 days a week. FX pairs offered are the EURUSD, GBPUSD, AUDUSD, EURGBP, USDCAD, USDCHF, AUDJPY, USDJPY, GBPJPY & EURJPY.


Commodities are basic to our lives and have been traded for many years, remaining popular and one of the largest markets to this day. Nadex offer binary options and call spreads trading on commodity futures prices, including oil, gas, gold, silver, grains and more.


Nadex has a selection of accounts for individuals, trusts, and corporate entities to trade binary options and spreads. Each account has the same direct order placement on the exchange and the same transparent data.

The account types are differentiated according to jurisdiction and use.

  • Individual account for individuals who are US residents
  • Individual account for non-US residents from eligible countries
  • Business account for trusts, partnerships, LLCs, and corporations
  • Demo account for “paper trading” with $25,000 in virtual money


The costs of trading call spreads and binary options via Nadex are very competitive, with the fee being $1 per contract side, $2 round turn. For example, 100 contracts traded would equate to $200 in trading fees in/out before expiration. If held to expiration, the settlement fee is $1 so again, it would be $200 round turn. If the trade finishes worthless, there is no additional fee, just the entry to trade. The real-time data streams and trading platform are free to use.

Account Signup

Opening an account with Nadex requires completing a quick and easy online application that’s both private and secure. It takes just a few minutes to answer a few questions and upload the required documents as part of the KYC process. Once your account has been approved, you can fund it and commence trading within minutes. There is however no obligation to trade until you are ready.


Nadex offer support via email and telephone. They can be reached 24/5 during normal US office hours. Unfortunately, there is no online live chat support at this time.


Nadex offer wire transfer, debit card and ACH (US only) funding options. Debit card is the quickest funding method with no fees and funds instantly available in your Nadex account. There is a one-time debit card verification process for any new debit card deposit. Clients are however unable to withdraw funds back to a debit card.

Wire transfer deposits are processed as soon as they receive notification from the bank which is typically within 24 hours. Wire withdrawal requests received before 4pm ET, Monday through Thursday, or before 3:00pm ET on Friday will be processed on the same business day. All requests received after the cut-off time will be processed the following business day. They charge a $25.00 processing fee for wire transfer withdrawals.

As a CFTC-regulated exchange, they must keep money safe and secure by using powerful physical, electronic, and procedural safeguards that meet or exceed industry standards.


Nadex are a strictly regulated and industry leading exchange when it comes to short-term binary option, Touch Bracket™ and call spread contracts. They offer clients around the globe flexible trading on Forex, Commodities and Stock Indices. The Nadex platform is very user friendly and can be used on multiple devices simultaneously. Commission fees are very competitive and they have a vast array of educational materials to help improve trader’s knowledge. If you are looking for an alternative to Nadex, I think IG could be a great option instead.

Nadex Logo


Nadex is the largest CFTC-regulated binary options exchange in the US, offering flexible trading on Forex, Commodities and Stock Indices. The platform is user friendly and commission fees very competitive.

Trading involves financial risk and may not be appropriate for all investors.

About the Author

trading brokers logo

Trading Brokers
Trading Brokers is dedicated to bringing you unbiased broker reviews, the latest broker news and trading guides to help you along your trading journey. We have over 20 years of experience when it comes to trading online so we know what to look for.

Review Methodology

For all of our broker reviews, we research, validate, analyse and compare what we deem to be the most important factors to consider when choosing a broker. This includes pros, cons and an overall rating based on our findings. We aim to help you find the best broker according to your own needs. You can read more about our review process.