how much is needed to open a live account? would $300 be a decent amount or should i go higher. thanks.
it depends on how skilled you are, I mean you can trade a $300 account as long as you have your risk management plan set up for it. But, if you’ve been practicing and doing well on demo then you can start with a $500 - $1,000 account. Anything lower than 300 makes no sense to me. That’s just my opinion though
$300 is good enough, use only 0.01 lot size until you’re making consistent profits then you can increase your lot size according to your money management plans.
1 Like
As much as you can afford to lose. Reading the broker’s TOS will revel the same thing, I believe.
It depends on your income and savings. In general, for the first time you should not risk more than you can afford to lose. The risks for non-professional trader are extremely high, so it is important to reduce possible losses. Then, when you will be familiar with money management rule, you will be able to grow your account.
At the same time,it would be better to start trading using real account only being consistently profitable on demo.
If you are new to Forex, and based on your question I suppose that you are, you should start live account with minimum possible investment. Try with mini or cent account. If you are able to make money on these accounts you can easily make higher investment at any time
what if i cant afford that
yes said mini account that means micro account , i support this kind of due to acquiring live knowledge and experience which is very supportive than demo , because traders actually dont believe the importance of this trading place at all.
Hi Michelle3. if you cannot afford $300 then you can carry on practicing on demo and gathering funds till you gain that much capital, at least, if you want to make a profit. A capital less than that can only be used for practicing your strategy.
Your disposable income 💁
depends on your performance per month
if you have a very high performance : 5k to 10k will be enough in order to make a living from trading
if you have a performance which is lower you’ll need more
Yes it’s decent amount if your positions don’t exceed 0.1 lot and you target 20-30 pip price movements
1 Like
Actually only you can answer this for yourself. If this is what you can afford to lose, cuz believe me you ARE gonna lose it mate, then well and good go for this amount. I have seen people start with less than 100 which I think is a little too less to be able to even learn a thing or 2 in trading. Just check on the broker if they allow trading smaller amounts like yours, if you are yet to finalise on a broker then you can look at xm, instaforex or fxview as possible options. The overall trading conditions are pro-trader and they are generally thought of as helpful, from reps to the higher ups, so suggesting.
If you are okay with smaller returns then $300 is a fine amount to start with. It’s okay as a practice amount, to test out if your strategy is going to work or if you need to change your plan.
It is such a vicious cycle if you think of it, someone with lesser profits shelling out even more money in order to earn more.
That is why I suppose it’s said that you should invest in the market only that money which you will be okay without, what you basically will be okay with even losing. Isn’t it?
Spot on mate! I am still at a stage where I am trying to offset my gains with some profits that I manage to make. Lower spreads brokers that I am using presently - avatrade, xm and fxview, are proving to be helpful in making me manage to get at least some profits against the smaller pip size that I tend to trade.
1 Like
I too trade smaller pips. Bigger movements can mean as much losses as gains. Some small amount is better than a 1 massive loss. That would totally demotivate me.
1 Like
Having multiple accounts is in itself a motivator. When 1 is on a downside a bit of profit in the other can be a ray of hope. After brexit talks I had been losing terribly which brought my IB balance to 0 and I had to transfer my funds to another account to save myself from the monthly fees. Went for fxview and xtb as they don’t charge that kind of fees, and I am trading USDJPY and gold now.
Depends if you want to make a profit or just want to experience live trading. In the latter case, you can start with something as low as $300.