Most financial planners advise saving between 10% and 15% of your annual income. A savings goal of $500 amount a month amounts to 12% of your income, which is considered an appropriate amount for your income level.
Another point would be that it must be an amount that allows for sensible risk management. If your account is too small to allow you take a 1% risk then wait until you have more disposable income to start with.
If you can't spot the liquidity then you are the liquidity.
Depends on how much you want to invest. If you'd prefer to start small, you could open an account with a broker that only requires a $10 deposit or so and deposit more money later on or build on that. On the other hand, you could deposit hundreds or thousands if you're very confident. I think the most important rule is not to go into debt when it comes to depositing in your trading account, meaning that you shouldn't borrow money or take out a loan, and to only invest money that isn't designated for important things like groceries or bills. That will help you avoid going into debt from trading and if you do lose money you won't have to scramble to pay it back.
Oh, you can invest $100 or $1000 or $100000. Everything depends on your own finance, your knowledges, and your time. Yeah, time is really important. Because you need a lot of time for forex. you need to trade, constantly monitor the market and so on. So think about it.
I started with a small amount because I wasn’t 100% confident and didn’t want to lose a large amount of money if it turned out that I wasn’t good at it. Later on, I deposited a lot more once I saw good results.
HeavLeighGill26 posted: I started with a small amount because I wasn’t 100% confident and didn’t want to lose a large amount of money if it turned out that I wasn’t good at it. Later on, I deposited a lot more once I saw good results.
thats the way to go for sure. Like you need to be comfortable with the amount you lose on each trade other wise you will intervene on a good trade or cut a trade going well because the amount is more than you expected
More capital the better for real returns especially when trying to make 1-3% gains a week. But understandably hard to get enough capital for most people. Bit of a catch 22, those with more capital will find it easier to make profit off of it.
I think better keep obey rules investing money in risky business, just spent money that affords to lose, if still beginner they can start small use the micro account, and intermediate trader they can using bigger capital using STP account, a different trader has the different level skill, so make sure when you already spent big money, get supported by your skill, so it not waste money, but if still often worse in trading work, don't spent to big money because riskier
It depending your want to start, now forex online trading can start with low deposit even use $1 trader can use the micro account, but the trading condition in the micro account is different with STP and ECN account, and to start trading in STP or ECN account, start with $200 already good initial capital, but they also need to measure trading skill, if not yet ready they can invest small money to start.
In addition to your experience, your strategy also depends on how much you invest in trading. You must have a good understanding of price action and indicators. The more you invest, the more you make. Your strategies and experience will totally determine your profit and loss.
It doesn't matter how much money will you invest in trading actually. The matter is how will you turn your initial deposit into millions. If we speak about intraday trading, then it really doesn't matter because everything will be depend on your skills, knowledge and the main goal for you is not to lose money, but multiply them. If we will talk about investing, then here, sums of money matter, because the more money you will invest the more income you will get. Investors, generally, are aimed at long-term investments and they invest lots of money in order to get income in future and have an opportunity to extract their money.
Start with money that's really small. There are cent accounts nowadays so your 50 bucks can act like 5000 on a cent account. It will allow you to experience a big account without much risk. When you can consistently make money month after month for let's say 6 months, then you can move to a standard account with a bigger capital.
HIGH RISK WARNING: Foreign exchange trading carries a high level of risk that may not be suitable for all investors.
Leverage creates additional risk and loss exposure. Before you decide to trade foreign exchange, carefully consider your investment objectives, experience level, and risk tolerance.
You could lose some or all of your initial investment. Do not invest money that you cannot afford to lose. Educate yourself on the risks associated with foreign exchange trading, and seek advice from an independent financial or tax advisor if you have any questions.
Any data and information is provided 'as is' solely for informational purposes, and is not intended for trading purposes or advice.
Past performance is not indicative of future results.