FAQ How Much Money Does a Trader Need To Start Trading?

[SaulGoodman]

One way to do this is, practice trading on a demo account with a strategy and a trading plan in place.

Take the highest % winners on avg and base a new "LIVE" trading plan around those rules of engagement.

Then you can easily work out your position sizing and money management to trade that plan effectively and consistently

I agree with you

 

[Visserman]

you should start with the small amount so you can train and develop ur strategy

 

[Jingles]

One trader told me he started trading small forex. for 10 pips profit target = $1.

He began trading for such a small size. I was amazed. He kept at it until he was convinced he could do it profitably on a regular basis. meaning that he could make money. then he went to a full sized contract and that $1 represented $100 profits. but now he knew he would be profitable.

a good lesson for all of us. can we discipline ourself so well. can we trade small until we know we can do it. Instead I have always traded super big and lost because of it. I still do not think I can trade for $1 profit target. but I should do it just to learn to discipline myself. I need it.

 

[Mat_Corp]

Hello.

When I start trading, I have 1k. It's good amount to start trading.
Good Luck

 

[trade2bpro]

$200 is affordable for 0.1 volume trading.

 

[SurtiTrader]

It all depends upon the market situation you are dealing in. You can make profit if you have proper amount of knowledge about the Forex and its Market.

 

[CityTrader]

I don't think the amount you start trading with is relevant? what does become relevant is the amount you hope to win/lose. The pressures o you will be different if you are playing with a fraction of your savings or 100% of your savings however!

 

[loftrader]

The start up capital for a new trader is at least $10,000 to make any meaningful profit, but you can still start with lower amount

 

[henrychloe]

It is not a fact that how much I have to pay in my forex account. It depends on the investor. A trader can start this business with only $5 as I know. And there are plenty of traders in the market with different deposits.

 

[BenTen321]

It is not a fact that how much I have to pay in my forex account. It depends on the investor. A trader can start this business with only $5 as I know. And there are plenty of traders in the market with different deposits.

Agree with you ..

 

[trade2bpro]

How much do you want to start? $1 could be enough but < $100 cannot make a great profit or stand after volatile periods.

 

[BenTen321]

How much do you want to start? $1 could be enough but < $100 cannot make a great profit or stand after volatile periods.

$1 is enough Trade ??

 

[kricka]

I would say the minimum funding of a trading account is around $100. The reason for this is risk and money management. The desirable risk on a single position placed would then be around 2-3% of the trading account, with a stop loss of 10-20 pips, 0.01 lots traded and depending on the leverage used. By funding an account less then $100 you would end up with a much higher risk per position and it will bring down the probability of sustaining the account to an almost a zero chance. What is a good start to fund an account? $500 is a very good start, the stop loss can then be increased to 20 pips. Read more about this by google RMM Robot or rmmrobot to get more free information on this so very important subject regardless on which platform you are trading on.

 

[arigoldman]

There is no minimum or maximum. Devise a strategy and figure out how much you'll need to execute it.

 

[Windranger]

That depends on the chosen broker and its minimum deposit, etc.

 

[arigoldman]

That depends on the chosen broker and its minimum deposit, etc.

Not really, you should not let anyone else tell you how much money you need to invest or deposit.

 

[BenTen321]

There is no minimum or maximum. Devise a strategy and figure out how much you'll need to execute it.

Agree with you arigoldman... !!

 

[timsk]

Agree with you arigoldman... !!

You may agree with him Ben, but that just means there are now two of you who are wrong!

As Windranger rightly points out, brokers usually have minimum deposits. But even if they don't, they will set an initial margin requirement which means that it wouldn't be possible to trade with just £1.00. (Needless to say, I'm excluding any golden handshake offers whereby the broker agrees to top up your account if you deposit £1.00.) The following is from Capital Spreads' FAQs page . . .

"The minimum amount you need as margin to open a new position is determined by the Initial Margin (IM) figure for the market you wish to trade. You multiply the minimum IM by your unit stake to calculate your minimum margin requirement.

For example, the minimum margin required to open £1/point position on UK 100 Rolling Daily (Minimum IM = 0.3%) is UK 100 price x Stake x 0.3%. At current levels this translates as 6100 x £1 x 0.3% = £18.30

If the market moves against you, you may be required to provide additional margin, such that you have enough money in your account to cover the current value of the position and any running losses."

Tim.

 

[Adamson]

That depends on the chosen broker and its minimum deposit, etc.

I would say a minimum withdraw matters
What does it help, if your money is dead and not manageable anyway.

 

[gfulton]

To start trading.... the answer is 0

You should start with education and simulators and demo trading. Until you can produce returns over a few months of trading, you shouldn't risk any real money.

Once you can produce a return in demo trading, fund an account with enough money to take 10 losses in a row. Expect to lose this amount as demo trading doesn't really prepare you for the emotions and you are guaranteed to make some mistakes.

Now, go back to demo trading and evaluate all the things you did wrong. Look at your trading system and make updates to account for these mistakes. Fund your account again with the same amount and plan on making additional capital deposits over time based on results