that’s right tell him, we’r making money over here.
and if the trad is going in your direction you’ll have more margin and more leverage
if the trend changes direction - we change direction
to infinity and beyond
Actually, for those who don’t have sufficient trading knowledge, any amount as capital is risky. I invested 500 dollar into a account two months earlier and now I have one third of the amount.
i consider trading something more than a business and i have to say yes it definitely worth it
it will help you in different fields of your life
And any serious business requires serious capital. Then you can earn decent money on Forex without incurring trading risks. Therefore, it is better to gradually increase your capital and only then withdraw profits.
Where can i get a live account using only $200?
Welcome.
There are hundreds of brokers where you can open an account with $200. That doesn’t mean you should.
What matters is that you’ll need a broker with nearly infinite “granularity,” as it’s called, because $200 isn’t really enough to trade a microlot (0.01 lots) safely, though $250 to $300 probably would be.
But that doesn‘t really matter because there are brokers like Oanda (a pretty good one) where you can trade position-sizes much smaller than 0.01 lots.
Just make sure of 3 things:
-
it’s $200 you can afford to lose (we all lost our initial small deposit!)
-
it’s the same broker you’ll want to stick with later, with more experience, to grow your account (so you only need one “practical learning process” rather than two)
-
your account with the broker is regulated by a proper regulator (that means the UK’s FCA, or Australia’s ASIC or the US’s CFTC/NFA or a proper regulator in an EU country, meaning not Bulgaria Cyprus or Malta). This is definitely and always the single most important thing to know and act on, because if you get this right, then you’re protected from most of the potential problems ahead anyway. Good luck.
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To clarify, I meant that I won’t be adding more money than the $200 I’m initially depositing. That’s what I meant by “ever.”
Well, that means there are two options: either always trade only for this initial investment amount and withdraw a small profit (if you trade according to the rules of money management, of course), or reinvest the profit in the deposit so that it grows for more earnings later.
With only $200, after developing and confidently proving your edge on demo, obviously, might it be better just to spend about $50 of that money on a prop firm test to see if you can get backing?
You can start trading with any sum of money but the true fact is that if you don’t have sufficient trading knowledge, you can’t even survive in the market with bigger sum.
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This is nothing something others can answer for you. You can do some things to help you like high leverage, EAs running 24/7 on a VPS but I guess it would be way better if you could just try a demo account and see how far you can get with what you got!
High leverage means increased risks. Yes, you can try to quickly increase your deposit thanks to the maximum leverage and large lots in transactions, but here the risk of quickly losing your deposit is also high. It is better to increase the deposit gradually with less risk of losing it completely. But the problem is that traders with small deposits generally do not know how to wait.
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Exactly. Undercapitalization and impatience, in practice, go together. Not really a great surprise?
Exactly.
But only at the cost of trading against a “broker” that isn’t properly regulated, which is madness.
Properly regulated brokers aren’t allowed to offer their customers high leverage, and for good reasons, so if you’re using high leverage, the one certainty is that you’re trading on an account that isn’t properly regulated.
It’s a really simple, basic, fundamental point, but it’s also one that remarkably few new traders understand.
And even fewer understand (until the damage is done and it’s too late) why it’s so important!
Just because you can use high leverage doesn’t mean you should go nuts and either trade 10–20 positions or do high-volume trades. Since the idea was to only use $200, then it’s a way better idea to just use the leverage to open trades that you can already execute without the leverage. The only trade-off here is that way less capital of yours is at risk. Unlike in crypto, where leverage has a direct effect on the amount of pips changed, in forex, leverage means a loan. Loans are great if you can afford them.