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What is the Minimal Amount of Money to Invest and Start Trading Forex?

7:38 AM Oct 17, 2019
13349
For beginners

The global Forex market today allows the trading of more than 170 currencies, and it is an excellent opportunity to earn. So it's not a secret that more and more traders join Forex, mainly from African and Asian countries. However, before your first trade, you must determine the amount of money you need to start trading and learn the Forex market basics. So how much money do you need to start Forex trading in South Africa or Nigeria? Are there any differences? Let's learn more about how to start Forex trading in this short but helpful guide!

Many people today avoid going to Forex, as it seems that they will have to invest a large amount of money right from the start. But this is a misconception. Of course, some trading strategies involve fairly large initial investments. However, with the right choice of a trading account, with a competent trading plan and a proper risk management system, you can start even with a minimum amount of money. Moreover, you can earn on Forex without investing a dime.

In this article, I will tell you what to do to make sure your investment size doesn’t exceed your financial capabilities.

Start with Choosing a Broker

This may seem unlikely, but the size of your start-up capital will directly depend on your broker. Before making your first deposit, make a careful research of the company you plan to trust your money to.

Always take a look at trading terms:

  • Available account types
  • Leverage and spread sizes
  • Commission size

Make sure that the company does not have any hidden commissions, otherwise, you will waste money which you could use to increase your profit.

Make Smart Transactions

There are dozens of payment systems available nowadays. When choosing a broker, make sure to check the list of systems they offer. Always check the following aspects:

  1. Reliability of the payment system
  2. The size of the commission charged by the broker
  3. The size of the commission charged by the payment system
  4. Request processing period

Most likely, you will be allowed to withdraw your money from a broker only after verifying your documents. Indicate only true and accurate information when to make sure you can cash out your profit at any moment.

How to Choose Account Type?

One of the main advantages of brokers today is the availability of several account types. All traders are different. You should choose an account depending on your experience, investment size, and trading strategy.

When making a choice, pay attention to these aspects:

  • Commission and fees
  • Sizes of spread and trading leverage
  • Minimum position size
  • Trading in dollars or cents

Trading on a cent account with minimal position size, you can enter the market with an extremely small initial investment.

In FXCL, you can successfully start trading with a small amount on Micro Cent and Mini account types.

Ask for Assistance for Customer Support

If you find it difficult to choose an account type, you can always contact Customer Support. Based on your preferences and capabilities, they will tell you which type of account suits you best.

How to Make Money Without Investments?

A lot of people avoid Forex as they don’t want to risk their money. But today, this industry offers so many opportunities that you can build your business without investing a dime.

If you are not ready to invest, find those who are ready. You can earn money simply by referring new traders to a brokerage company. And there are many ways to do this:

  • Look for traders among your friends and acquaintances
  • Use social networks - promote on your pages, create groups and communities
  • Promote a broker through advertising on themed or frequently visited websites
  • Place ads in magazines, newspapers, on television (depending on what is popular in your area)

The sky is a limit of available ways to do that. You can definitely find a way that will bring you results.

The profit you make in Partnership you can use for further trading on Forex.

I hope could show you that the Forex business does not always require large investments. If you are full of desire and sufficiently disciplined, then you have every chance to achieve financial independence on Forex.

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terms Stop Loss news trading economical calendar major news release currency pair currency rate national currency trading journal trades profit/loss emotions news release positions size Expert Advisors platform trading robot cryptocurrency volatility day trading position size lot account types cent accounts Mini account ECN Copytrade ECN accounts swap-free minimum deposit order execution liquidity providers demo accounts real account low-risk trading EUR/USD economic calendar majors cross-currencies exotic currencies base currency quote currency quotes bid ask Brexit United Kingdom European Union GBP Euro GDP WTO price levels moving average 4-hour chart 1-hour chart bulls bears false breakout cross-currency USD price action pin bar trading inside bar trading hands off breakeven stop loss 50% stop loss pin bar high-frequency trading position trading swings breakout strategy trading style Entry order Take Profit hammer shooting star inside bar pinocchio bar head and shoulders harami risk to reward ratio trading calculator trader’s age emotion control stop-hunting false signal trading session New York session Asian session non-farm payrolls fed rates decision central banks mentor teacher Forex education Forex books candlesticks bonuses tradable bonus no deposit bonus deposit bonus cashback pending orders counter-trend trading risk-to-reward ratio 1-2% rule uptrend downtrend news releases slippage emotional trading stop orders limits orders trailing Stop correlation Correlation Matrix EURUSD EURJPY RSI Overbought/Oversold indicator doji morning start candlestick pattern liquidity London session gap requote US dollar greed excessive trading Expert Advisor trading instrument Twitter Trump euro Canadian dollar Japanese yen Mexican peso currency pairs Fed China economic news currency wars USA interest rates trade agreement H1 H4 D1 sell trade buy trade price level trading system COVID-19 coronavirus lockdown checklist Default mode network Nonfarm Payrolls intraday traders lot size Stop Out margin breakeven pip point entry price chart candles weekly candle daily candle engulfing candle Doji W1 fears money management trading signals Charles Dow Dow theory primary trend Relative Strength Index signals market noise trading volume oversold/overbought corrections candle M30 GBPUSD GBPJPY pending order fundamentals Interbank order Stop order Limit order Standard account Interbank account liquidity provider M5 chart gold XAUUSD Chinese yuan flat US Dollar Fed Interest Rates inflation level XPTUSD platinum XAGUSD silver USDCNY Chinese Yuan instruments swap trading hours Buy Stop Sell Stop Average True Range ATR range sideways range price level trading scripts Excel tables entry point equity balance applications highs and lows RSI Fibonacci terminal server proxy OS Windows XP self-trading Forex advantages gap trading Fibonacci levels USDJPY Buy Limit Cherry Blossom market cycle mark-up mark-down consolidation distribution long positions short positions double bottom triple bottom double top triple top pattern signal presidential cycle Elliott wave Kondratiev wave Forex terminology quote standard lot mini-lot micro-lot cross pairs exotic pairs counter-currency terminology Margin Call long position short position buy sell candlestick chart bar chart line chart range market channel high low ADX OHLC patterns profit level martingale aggressive EAs VPS demo account EA tester trading signal chasing the market clicking the button oil trading lot EUR cent account Forex mentor novice trader emotions control fear psychological level round numbers Key Levels indicator MetaQuotes iOS Android mobile trading mobile terminal VPS server financial portals day trader position closing short timeframe fast trading news site news portal FXStreet Investing.com Forex Factory ForexLive DailyFX CPI PPI economic indicators Non-Farm Payrolls monetary policy FOMC retail sales inflation rates program installation intuition apps ECN brokers market makers financial 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losing streak perfectionism consistent profits starting capital initial investment market psychology japanese candlesticks PAMM trust management money manager holidays market sentiment CHF CAD Great Britain pound Swiss Frank reserve currency averaging morning routine initial capital potential profit reverse pattern rounded bottom rounded top saucer inverse saucer IB Program IB Commission Sharing reversal patterns deposits payment methods payment systems local transactions trader’s block market balance