In the fast-paced world of trading, every second counts. One minor technical glitch can mean the difference between hundreds or thousands of dollars. The stakes are even higher if you rely on automated trading or a trading bot. Minimizing latency and ensuring a smooth trading experience when executing trades is critical, especially when the market is moving quickly. Choosing the best VPS for trading is the best way to achieve that. It can help you minimize latency, speed up trade executions, and prevent interrupting your trading operations. In this article, we’ll explore the best VPS for trading in 2023 so you can find a reliable, high-performance VPS that improves your trading success and profitability.
QuantVPS offers a robust trading VPS that helps traders achieve their objectives by ensuring faster trade execution, minimal latency, and uninterrupted trading.
What Is Futures VPS Hosting and Why Use One?
Trading VPS (Virtual Private Server) hosting is a specialized type of hosting for futures traders that provides the stability and speed needed to run your trading operations without interruption. A Trading VPS is a dedicated computer that runs on a powerful server in a remote location instead of your local device. This means your trades are less prone to external malfunctions or internet disconnects. The network utilized by a Trading VPS is far less likely to fail, as it’s run on a durable server from another location rather than your personal computer, which could be affected by:
- Power outages
- Hardware failures
- Other local issues
Reducing Latency and Improving Trade Execution
VPS for trading can also significantly reduce latency, as they can be located close to your broker’s server, allowing faster trade executions. For traders who utilize automated trading systems, a Trading VPS provides an isolated environment in which to run their applications without constant supervision. This allows for greater efficiency and performance, as the trader can unplug from the operation while it runs independently on the VPS.
Using a Trading VPS for Automated Trading
If any issues arise, they can quickly be addressed without interrupting the trading process. Furthermore, the virtual nature of a Trading VPS allows for greater flexibility. Should a trader need to upgrade their resources to accommodate a more extensive trading operation, this can be done quickly and seamlessly without downtime.
How Do Trading VPS Differ From Traditional Web Hosting?
A Trading VPS differs from traditional web hosting because it is specifically designed for futures traders. While regular web hosting can help maintain a website for a futures trading business, a Trading VPS allows traders to participate in the actual trading process.
Why Use a VPS for Futures Trading?
Trading Futures with a VPS offers several benefits over using your local computer:
- Forex VPS can operate independently of your local device. This helps reduce any distractions you may experience while trading, as you won’t rely on your local computer to execute your trades.
- VPS can provide excellent stability and speed for your Forex trading operations.
- VPS can be easily customized to suit your trading needs.
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How Does Latency Impact Futures Trading?
Futures are a huge and highly liquid market that supports international trade and investment by enabling currency conversion. Futures also offers opportunities for speculators to profit from market price fluctuations.
- Operating 24 hours a day
- Five days a week
- Involves banks
- Financial institutions
- Corporations
- Individual traders
With the rise of the internet and technology, futures trading has become more accessible, allowing anyone with a device to start trading. Retail traders can also use tools like futures algos to manage their investments automatically.
Futures Automated Trading Strategies
A futures robot uses an algorithm to make trading decisions for you. If you’re an experienced trader, you can write the algorithm to match your trading style so the robot trades as you would. If you need more experience, you can use an Expert Advisor (EA), which functions like a robot but comes pre-programmed with all the analysis and features built-in. Both tools can help retail investors, but many external factors can still impact profits, even with the best-automated trading software.
How Does Latency Impact Futures Trading?
Those who have played online video games know how frustrating lag can be. In futures trading circles, what gamers call lag is called latency. It’s a complex process with lots of data flying around. We must first look into what happens when you (or your Forex robot) place an order to understand what it is.
- Your trading platform sends it to one of the brokers it works with.
- After the broker receives it, it relays it to the market.
- It’s put in a queue until it’s eventually executed.
Delays in Futures Trading
Delays can happen at multiple different stages, which is not good news for you. Futures is the world’s biggest market. It works 24 hours a day, five days a week, and it’s an incredibly dynamic environment. The market can change in the blink of an eye, and any delays could cause you to buy currency at the wrong price, automatically affecting your profits.
Minimizing Latency and Slippage
The delay itself is called latency, and the difference between the price of a currency at the time of order placement and order execution is called slippage. As a trader, your goal is to try to keep latency and slippage to a minimum. A Trading VPS is an excellent place to start.
The Advantages of a VPS When Trading
Faster Trade Execution
A VPS can significantly enhance your trading performance by providing faster execution speeds. When you operate your Forex trading applications on your computer, your trades must travel from your device to your broker’s server before executing them. Using a VPS, your trades are executed via a server located in a data center, allowing your orders to reach the broker much more quickly.
This is especially beneficial for traders who use automated trading systems that open and close positions on your behalf within milliseconds. Even the slightest delays in trade execution can hurt your trading performance.
Lower Latency and Slippage
A VPS can reduce latency and subsequent losses due to slippage. The hardware that powers your virtual server is located in a data center—a state-of-the-art facility with a lightning-fast internet connection and built-in redundancy. As a result, your orders are delivered to the broker much more quickly.
Non-Stop Trading
The Forex market works 24 hours a day, five days a week. If you host your Forex robots on your home computer and turn it off for the night, you could miss some great trading opportunities. By contrast, a VPS runs 24/7.
A team of system administrators is responsible for keeping downtime to a minimum, meaning your Forex robot can work around the clock executing the most profitable possible trades.
No Downtime and Connectivity Issues
In addition to a blistering internet connection, data centers use enterprise-grade components for servers and networks. You get high-quality, reliable hardware maintained to the highest possible standards by experienced system administrators.
Connectivity and hardware issues are doubtful, but if they occur, you can be sure someone will address them in minutes.
Constant Access to Your Trades
Although the automated trading applications don’t run on your own computer or mobile device, you can manage them whenever you want, wherever you are. You get 24/7 remote access to your server, meaning you can monitor your Forex robots and even change your trading strategy. All you need is an internet connection.
High-Performance VPS Solutions for Automated Trading Success
QuantVPS delivers high-performance, cost-effective trading VPS solutions tailored for algo traders. Our platform offers ultra-low latency of 1 millisecond, ensuring lightning-fast execution for:
- Futures
- Crypto
- Equities
- Forex trading
We support major trading platforms, including:
- NinjaTrader
- TradeStation
- MetaTrader
- Interactive Brokers
- Sierra Chart
- Quant Tower
With 24/7 support and a 100% uptime guarantee, QuantVPS provides a reliable, speed-optimized environment for traders to run their automated strategies continuously and efficiently. Get started and deploy your trading VPS today!
What is a VPS, and How Does a VPS Work for Trading?
A Virtual Private Server (VPS) is a remote computer that allows users to run software on a virtual Windows computer hosted in the cloud. Traders use a VPS to run trading platforms and expert advisors (EAs) on a broker-adjacent server to mitigate risks associated with Internet connectivity and power outages. A VPS mimics the experience of using a dedicated computer for trading.
Instead of running software on your PC, a VPS lets you offload this task to a separate computer with its resources. You can then access and control the VPS from your own device. A Forex VPS is specifically designed for Forex trading. The servers are located close to your brokers’ servers to reduce latency and improve your trading performance. A Trading VPS works like any other VPS but has added features catering to traders’ needs.
Why Should I Use a Trading VPS?
The benefits of a Virtual Private Server (VPS) for automated trading include continuous internet connection and faster execution speed. VPS services are powerful, offering CPU speeds up to 20% higher than comparable servers because they have more RAM to run processes in parallel while minimizing usage spikes from other clients on the same server.
Some other essential features of Forex VPS hosting include:
Backups
Forex VPS servers constantly create backups of your entire trading configuration, including the operating system and trading software. No matter what issues you might have with your computer or devices, a VPS acts as a safety net to protect you against problems arising if a connection is unexpectedly broken. It means you can carry on trading without missing out on opportunities.
Improved Latency and Reduced Slippage
Latency in trading describes how fast your trade gets executed. In other words, it’s when you hit the ‘OK’ button to confirm a trade and when your trade is received in the marketplace. In trading, latency is measured in milliseconds, but milliseconds can matter a lot in such a fast-moving market. So, the lower the latency, the better. One way to reduce latency is by having computer servers physically closer to exchanges, which is what a VPS connection gives you.
With a fast connection, you’re less prone to slippage, which is the difference in the actual price between when you hit the button to confirm the trade and when the trade is received and completed. The online world may seem instant, but everything takes some time. A significant advantage of using a VPS is that it can be a low-cost way to improve your latency and give you more reliable pricing.
Simplicity, Security, and Efficiency
When trading forex online, it helps to think of it as a business you’re running. You’re essentially investing money to try and make more money. So why wouldn’t you choose to implement the best technology to give yourself the best chance of being more profitable?
A VPS is a simple and cost-effective way of helping you safeguard your system and reduce your level of risk so you can concentrate on building a path to being a successful trader.
Related Reading
- Best Algorithmic Trading Software
- Algorithmic Trading Tools
- Forex Trading Servers
- High-Frequency Trading Platform
- Speedy Trading Servers Alternatives
Is Futures Trading With a VPS Secure?
Regarding trading, the more secure your VPS, the better. You don’t want to leave any doors open for hackers to exploit. They could steal sensitive information, disrupt trading operations, or drain your trading account.
Security must be a high priority for you, especially when you’re trading with a significant amount of money.
Managed VPSs Have Built-in Security Features
The steps you’ll need to take to secure your Forex VPS depend on the type of server you have. The server will be ready to go if it’s a managed VPS.
Your hosting provider will install a firewall or a malware-scanning system to protect the machine. You need to do little else to secure it further.
Self-managed VPSs Require More Configuration Work
With a self-managed server, more configuration work will be required from you. However, even a self-managed VPS offers certain security advantages over the machine you use daily.
If you only use the VPS for Forex trading, I won’t need to run anything else but my Forex robots. As a result, there are fewer vulnerabilities to exploit, and the chances of a successful attack are reduced.
18 Best VPS Providers for Futures Trading
Here are the best VPS providers for Futures Trading:
1. QuantVPS
QuantVPS delivers high-performance, cost-effective trading VPS solutions tailored for algo traders. Our platform offers ultra-low latency of 1 millisecond, ensuring lightning-fast execution for:
- Futures
- Crypto
- Equities
- Forex trading
We support major trading platforms, including:
- NinjaTrader
- TradeStation
- MetaTrader
- Interactive Brokers
- Sierra Chart
- Quant Tower
With 24/7 support and a 100% uptime guarantee, QuantVPS provides a reliable, speed-optimized environment for traders to run their automated strategies continuously and efficiently. Get started and deploy your trading VPS today!
Why QuantVPS Stands Out
QuantVPS doesn’t just provide any VPS hosting. We provide VPS solutions tailored for traders. Our platform is the go-to choice for algorithmic traders:
- Ultra-Low Latency: Our servers are close to major financial exchanges, ensuring your trades are executed faster than if trading from a local machine.
- 24/7 Uptime: We guarantee 99.99% uptime, meaning your trading bots will run continuously without interruption.
- Custom Configurations: Whether you need a primary server for running a single strategy or a powerful machine to handle multiple complex trading algorithms, we can customize your VPS to meet your requirements.
- Scalable Plans: Start small and scale your VPS as your trading needs grow. QuantVPS offers flexible pricing plans that let you upgrade seamlessly as your strategies demand more power.
2. Kamatera
The ability to build your customized server brings Kamatera to our list of the best VPS hosts for Forex trading. I sometimes get picky when creating a hosting environment, especially for a resource-intensive website or application. I do the same with Forex trading and for good reasons. Sometimes, you want to create a hosting environment that suits your unique requirements, with the exact amount of:
- RAM
- CPU
- Storage
That’s where Kamatera comes in with its customized hosting plan, which you can fine-tune to match your needs. Its robust cloud infrastructure includes the following:
- 18 global data centers for high availability
- Customizable server configurations
- 5 TB of internet traffic
- 1024 MB RAM
3. ScalaHosting
ScalaHosting makes for a great VPS for trading Forex. Why so? The clue is in the name. This host uses cloud-based servers for trading, which makes it highly scalable. A scalable VPS host guarantees network stability even when there’s an increase in trading activity or any other processes that may need additional resources to run. So, instead of facing downtime when you need to be at your very best in the trading market, a scalable host quickly adapts to changes in the trading environment.
Here are some additional reasons you’ll love trading using ScalaHosting’s VPS:
- It supports all major trading platforms, including MetaTrader 4 and 5.
- Creates three copies of your trading data (and automatically restores from backup) to protect against data loss.
- It provides root access, which means you’ll control everything in your trading environment.
- It features data centers in the United States and Europe, bringing you closer to your Forex broker.
- It gives you private:
- CPU
- RAM
- NVMe-based cloud storage
4. AccuWebHosting
AccuWebHosting’s stellar customer support means always having help if something goes wrong while trading. The experts at AccuWeb are there to help you troubleshoot various issues with your virtual private server. This host’s low-latency plans are ultra-affordable and have many helpful features to make Forex trading easy and affordable.
Let’s take a closer look at AccuWebHosting’s Forex VPS plans:
- Compatible with all major trading platforms, including:
- Meta Trader 4 and 5
- Multi Charts
- Interactive Brokers
- TradeStation
- cTrader
- Performs daily and weekly backups to protect your data.
- Uses SSD storage for maximum speeds.
- Has more than 16 data centers worldwide.
- It gives you root access, ensuring total control over your trading environment.
5. OVHcloud
OVHcloud earns a spot on this list because of its sandbox feature. A sandbox is an isolated testing environment. Here, you can conduct risk-free testing of new trading strategies, automated algorithms, or anything in between without worrying about affecting the performance of your primary trading environment.
I find this feature pretty useful since whatever changes I make in the sandbox won’t affect the performance of my primary trading environment. It’s a risk prevention strategy smart traders use to keep their trading environment free from interruptions.
6. InterServer
InterServer is my go-to host when I need a Windows server. It is also great for WordPress hosting. Although it does a fantastic job with Linux and storage VPS hosting, the Windows option truly stands out.
- Its pricing depends on the number of CPU cores you need:
- Its features come wrapped in 16 different packages, allowing you to choose what fits your budget and other preferences.
- Pay only for the resources you need. No extra charges.
- Full administrator access gives you total control over your trading environment.
- Allows remote desktop access, which will enable you to access the market anytime
7. ForexVPS
Are there any beginner traders in the house? This is the best Forex VPS provider for you. When starting with Forex trading, you’ll likely make many mistakes. That’s a problem ForexVPS helps solve by providing valuable tutorials for beginners.
8. FXVM
FXVM is an excellent option if you’re looking for a VPS with data centers in strategic locations worldwide:
- United States data centers
- New York
- Chicago data centers.
- European data centers
- Amsterdam
- Zurich
- Frankfurt
- London
- Asia data centers
- Tokyo
- Singapore
- Mumbai
But it’s more than a data center hoarder. Here’s why:
- Supports any trading platform, including:
- Meta Trader 4 and 5
- Ninja Trader
- Trade Station
- Provides weekly automatic backups to protect your data.
- Offers scalable memory and storage
9. Ultahost
Ultahost offers a powerful trading environment any Forex trader will love. It’s also affordable, meaning you can keep more earnings in your pocket.
10. Trading FX VPS
Trading FX VPS knows a thing or two about practicality in Forex trading. This VPS reminds me of FXVM mainly because it’s not the most powerful, but it’s very efficient if you’re just starting Forex trading.
11. Cloudzy
Cloudzy offers precision-engineered forex VPS plans from 15 strategic locations in:
- 11 U.S. cities
- London
- Frankfurt
- Singapore
I’m always ecstatic about finding cheap VPS deals that don’t compromise the quality of the hosting services they offer. I know I’ve already mentioned some great and affordable hosts, but there’s still room for one more: Cloudzy.
12. JavaPipe
JavaPipe sounds like something you’ll find on a shelf at your local car mechanic. Undoubtedly, it has the most “not-so-VPS” name you’ll hear today, but there’s no questioning its quality. For example, depending on the plan, it can run between eight to 32 terminals.
If you know a thing or two about Forex trading, you’ll appreciate the next-level generosity of this VPS hosting provider.
13. MonoVM
MonoVM is a powerful competitor in the Forex VPS market, focusing on dependability and performance for seamless trading. We offer:
- Low downtime
- Strategically positioned data centers for faster connection speeds
- Superior security procedures to protect your financial information
Also, our 24/7 expert assistance assures that you have a dependable partner for any technical difficulties you may have during your Forex trading trip.
14. NextPointHost
NextPointHost provides Forex traders with servers in crucial cities such as:
- New York
- London
- Singapore
They need more versatility, so they offer a single VPS package with 3GB RAM and 40GB storage. While they provide 24/7 assistance and a 30-day money-back guarantee, like other budget providers, their uptime claims may need to be revised.
15. Forex Cheap VPS
Forex Cheap VPS provides affordable VPS plans with a 3-day money-back guarantee, but be aware of the limitations. Their servers need to be optimized for trading; therefore, the promised uptime may not be accurate.
16. Exabytes
Exabytes provides high-quality VPS hosting with pre-installed MT4/MT5 and 24/7 support but consider the constraints. Their data centers are all in Malaysia; this is only suitable if your forex broker is based in Asia or Singapore.
17. NYC Servers
NYC Servers caters to Forex traders by providing strategic server locations and the option to tailor programs to meet your needs. However, their price is high, with their most basic plan costing $35 per month and insufficient power for several trading terminals.
18. UltraFX VPS
Catering primarily to algorithmic forex traders, U.K.-based UltraFX VPS offers access to U.K. and U.S. networks and trading venues. These venues include major liquidity providers and Interbank dealing servers.
UltraFX VPS features ultra-low latency trading, with less than 300 nanosecond latency seen on its high-frequency trading (HFT) network.
How to Choose the Best VPS for Trading?
Reduced Latency: How to Speed Up Trade Executions with a Forex VPS
One of the biggest reasons that forex traders use a VPS is to reduce latency when trading. Latency affects how quickly your trades are executed. It is the time it takes to confirm a trade has been executed in the market after order entry. While latency is typically measured in milliseconds or even nanoseconds, such a small time frame can still substantially affect your profitability when trading in a volatile market.
Since you generally want the lowest latency possible, look for a VPS provider with a fast internet connection and servers as close to your chosen online Forex broker as possible. Since you often can only do a little to improve your internet connectivity at home without incurring a substantial additional monthly cost, using a VPS to trade forex can be a more economical way to reduce latency and speed up forex order executions.
Security: Protect Your Trading Activity with a Secure VPS
You should choose a VPS provider that offers a high level of security to protect your data and software since your trading platform will typically have access to your margin deposit money. VPS hosting services typically implement security measures similar to other web-based hosting services. At a minimum, you should expect a:
- Server firewall
- Frequent operating system
- Trading software backups
- Regular security software updates and patches
- DDoS protection
- Server hardening,
- Vulnerability scans
A VPS can protect your forex trading business against connectivity issues if your power or internet service provider goes down without notice. You can keep trading using your VPS without experiencing unexpected losses or missed trading opportunities.
Easy and Optimized Operating System: Choose a User-Friendly VPS for Your Forex Trading
You’ll want to choose a VPS with an easy-to-use and optimized operating system suitable for forex trading. Also, since forex traders can use different operating systems, make sure your chosen VPS provider supports your preferred one. Because Windows for servers involves additional licensing fees, using a Windows-based VPS server will usually cost more than a Linux-based server with no operating system licensing expenses.
Stable Platform with a Fast Connection: Look for a Well-Maintained VPS
Ideally, you will want a VPS that is stable and well-maintained by its host to keep downtime to an absolute minimum. Most VPS providers have data centers located in multiple places around the globe, so you can select one near you or your chosen online broker that will speed up your access to it. If a VPS provider offers a high-speed internet connection, your forex trades will be less subject to the risk of requotes.
Requotes occur when you cannot deal with a quote made via your trading platform because the market has moved, so your broker must provide an updated quotation. That risk alone can cost you more each month than a VPS subscription.
Customer Service: Get Quality Support When You Need It
It is essential to pick a VPS backed by high-quality customer service. Any good VPS provider should offer crucial technical support, including prompt replies to support questions and the ability to fix technical issues as they arise.
Another service option to consider is whether you want a generally cheaper unmanaged VPS server that you can take complete control of or a typically more expensive managed VPS service where you do not need to maintain and update the server’s software.
Complementary Programs: Look for Useful Features to Improve Your Trading Experience
Some VPS providers offer complementary programs to improve their clients’ user experience. Helpful VPS services include performing data backups and monitoring servers.
Remember that you will also need to be able to use your chosen forex trading platform software, such as MetaTrader 4 or 5.
Related Reading
- Best VPS for Futures Trading
- Low Latency Trading Infrastructure
- Best Automated Trading Platform
- ChartVPS Alternatives
- NinjaTrader VPS Alternatives
Deploy a Trading VPS Today
QuantVPS: Optimized for Major Trading Platforms
QuantVPS delivers high-performance, cost-effective trading VPS solutions tailored for algo traders. Our platform offers ultra-low latency of 1 millisecond, ensuring lightning-fast execution for:
- Futures
- Crypto
- Equities
- Forex trading
We support major trading platforms, including:
- NinjaTrader
- TradeStation
- MetaTrader
- Interactive Brokers
- Sierra Chart
- Quant Tower
With 24/7 support and a 100% uptime guarantee, QuantVPS provides a reliable, speed-optimized environment for traders to run their automated strategies continuously and efficiently. Get started and deploy your trading VPS today!