Please help me understand

I’m still learning the ropes before I sit down and start demo trading, and but I don’t want to do that too long, I want to go into the live market.

However, FXCM is telling me there is a minimum deposit bonus of $50. How I am i supposed to trade with $50?

I have about $70 to trade with, but if micro lots are about $1000, how am I supposed to trade with this little money ?

Or am I missing something here ?
Apologies, I’m still learning.

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If you have an account of $70. 1% risk per trade is 70 cents. Micro lots are worth 10 cents per pip. That would give you a stop loss of 7 pips.

It would depend on the leverage they give you but yes its possible to trade with that stop loss.

The likelihood is you’ll blow your account if you dont have a good understanding of risk management. My advice, for what it’s worth, is to work and save money. In the meantime work on your strategy.

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I believe FXCM will let you trade with 1:400 leverage on FX, which means $70 will allow you to trade with $28,000 (70 x 400 = $28,000 account value).

Using high leverage is dangerous. Please take the time to understand about leverage and account margins, as well as risk management before opening a live account. Your best move would be to learn the Forex basics, then open a practice account to try out what you’ve learned until you feel confident enough that you won’t lose your hard earned cash.

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New traders must come to understand quickly that high leverage is not a right, it is like a short-term loan. And a losing strategy never became a winner simply because someone threw more money at it.

Surely you have done some basic training(such as the school here) before depositing real money?

Actually, throwing money at a strategy can make it a winner. Analyze the COT report silly

COT is not something I have ever used. But its an interesting idea - could you put up a bit more detail?

Try different level of leverage on demo account so you will know what leverage appropriate to your fund. Also try other brokers, there are a few differences sometimes.

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Is this what we’re talking about?

If so, I can understand the value of analyzing futures, but that doesn’t make throwing good money after bad with an underdeveloped strategy advisable. Maybe I’m missing something.

Yes, I agree. I’m not sure its a serious suggestion…

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Thank you everyone! Appreciate the advice.