Shared data network access is often unavoidable for on-the-go traders, but it also comes with its own set of risks. Here’s how you can shield your trades without sacrificing performance or safety.
Free Wi-Fi is ubiquitous in coffee shops, airports, hotels and shopping centres. It’s convenient, but it has severe security vulnerabilities. Public Wi-Fi networks are often unencrypted, making it easy for hackers to intercept data transmitted to or from them. When you’re making forex transactions or accessing a secure platform in such instances, that data can be your login credentials, personal identity data, as well as your history of transactions.
Shared cellular data is not risk-free either. Tethering off your friend’s phone or connecting using a co-working space’s hotspot will expose you to unauthorised access as well as insecure traffic that can compromise your data. Because users tend to believe that cellular data is secure, they neglect essential protection steps that are critical when running an interactive finance application in such circumstances.
It’s important to realise that you do not need to be hacked for your Forex account to be compromised. Logging in on an open network is sufficient to compromise your credentials, as individual eavesdropping on the network can occur in the back end.
Use a VPN — Every Time
The most critical layer of protection while accessing public or communal connections is a VPN (Virtual Private Network). A VPN encrypts data between your device and the internet, making it challenging for anyone to intercept your activity, even when you’re using an open Wi-Fi hotspot. Some VPNs are free, but they may log your activities or slow down your speed. For forex trading, where both speed and security are essential, consider paying extra for a provider with a no-logs policy, rapid server response times and 256-bit encryption using AES.
In addition, look for one that supports split tunnelling, which lets you decide which programs use the VPN and which do not. This is useful when trying to conserve bandwidth. At the same time, you trade in those areas where the forex service is restricted or differently regulated; VPNs can also offer them an access point that remains stable and secure without having to depend on insecure regional networks.
Enable Two-Factor Authentication and Use Strong Passwords
Password protection alone is no longer sufficient. A good password—a long, random one that is never used on multiple devices—is merely the beginning of protection. All traders who use a trading app need to activate two-factor authentication (2FA), which requires an additional form of verification before access is granted. 2FA methods include authenticator apps, biometric identity (such as facial recognition or fingerprint) and hardware tokens.
Opt to avoid SMS 2FA whenever possible, as it is susceptible to SIM swap attacks. Google Authenticator or Authy are better options for authenticator apps. Also, do not store passwords on your device without protection in case it is lost or stolen. Saved credentials might grant direct access to your trading accounts in that situation. Use an approved password manager to securely store and automatically fill in passwords.
Be Smart About Your Trading Environment
It’s not just an application of software alone. The physical surroundings also count. Don’t trade or log in to confidential sites in public places that are full of people, where someone can peer over your shoulder—also known as “shoulder surfing.” If you do use public space, turn the screen dimmer, use a privacy screen filter and don’t leave sensitive information on it for any prolonged period. Log out of every use and never leave your phone or tablet logged in without your supervision.
Also, turn off Bluetooth and file-sharing capabilities while in public areas. Attackers exploit open Bluetooth connections to infiltrate your device and gain unauthorised access to files or remotely control its functions. Battery-saving behaviours also sometimes overlap with security disciplines. Disabling background apps doesn’t just make the system work better while you’re trading; it also improves overall system performance. Still, it also reduces the possibility that unwanted background processes, such as unauthorised installation of programs or keyloggers, could threaten your activity.
Avoid Auto-Connect and Use Data Wisely
Most smartphones have an auto-connect option that remembers the Wi-Fi networks you have been connected to in the past and automatically logs you in again without your consent. Turn this feature off. A phisher can create an imposter hotspot with the name of an actual network—a familiar name, such as “Free Airport Wi-Fi”—and your phone will log in without your knowledge.
If you cannot use the VPN or are uncertain of the Wi-Fi network, use the mobile data instead. Mobile networks are generally safer than open Wi-Fi, but try to use someone’s hotspot only if it’s someone you absolutely trust and whose network password isn’t publicly available. Bandwidth management is vital for traders with limited data packages.
Most trading platforms can function effectively with limited data if video functionality and background syncing are disabled. Use low-data mode in the application wherever possible and refrain from downloading huge updates or feeds while making trades over a shared network. Mobile trading is a benefit of the times, but it has very real vulnerabilities that can be easily sidestepped through deliberate habits. You’re ordering from an internet cafe or tracking trends from a co-working space; either way, it’s all the same in terms of security considerations. The forex market is swift—one that you’d do well to match with your defences.