Forex for small accounts

Discussion in 'Forex' started by Tomaz26, Nov 6, 2008.

  1. Tomaz26



    I would like to start trading in FOREX but with very limited size, so I dont blow up a lot of money. Can you recomend some good brokers that offer lower than 1 USD per pip trading? Like 0.10 per pip or something like that. All I know of is Oanda but I read some terrible reviews here so I dont think they are the best choice.

    Also how about currency futures. They offer cheaper way. Are those liquid enough? I have EURODOLLAR in my thinkorswim option, and it states that this requires 1500 USD margin. How does this compare to trading forex.

    Sorry if my question are stupid but I am new in this field. I have only traded stocks and ETFs and options until now so I have no experience in futures or forex. I dont have 25.000 USD so I can only daytrade 3 times in 5 days because of PDT rule. So to get rid of this I would like to try futures or forex ..

    thanks for help guys

  2. craig


    you need to open up a margin account then you can day trade with less than 25K, i dont think your going to find a broker with spreads that low though.
  3. Oanda. You can trade $0.01/pip and even smaller. I think you only need a $1 to open a live account.

    Oanda is your best choice. The bad reviews all stem from traders who don't know how to trade and blame the broker for their troubles, etc.
  4. Bickz


    You can try MB Trading. 1,000 in base currency is their minimum.

    Or FXCM's micro lot account. (I don't know if you can trade 1,000 in base currency with their regular account or not, but you can with a micro lot account.) Currently they have a CNBC promo where you sign up and they give you $25 to start.

    i've tried both... both seem to do just fine. but the usual rhetoric applies. (IE- they take the other side of your trade) But 1 pip spreads are probably going to be the best you can do. It usually varies from 1 to 3 on the EUR/USD depending on the time of day.
  5. ATLien


    Go with Oanda.
  6. Tomaz26


    Thanks to all for help. The problem with is not in not having 1000 USD for account but in the leverage. I do not want 50:1, 100:1 or more leverage. I want smaller leverage so FXCM micro is out of the question. I will probably try Oanda. I just want to try to catch bigger moves in currency not in pips but EUR/USD from 1.25 to 1.29 etc. I dont want to scalp for pips so that is why I do not want too high leverage. I hope this makes sense :))).

    Too bad I am not from US or I could try with 25 USD free in FXCM micro. That would be all-in bet with 400:1 leverage :))
  7. Tomaz26


    not sure what you mean here. I have margin account in TOS but I think I still need 25k if I wish to daytrade or so I am beeing told. What exactly did you have in mind?
  8. Surdo


    Please read the title of this thread again!
  9. JEB


    I would echo others' advice to go with Oanda. I've got a small account with them couldn't be happier. You can trade any size with them, and they've got the lowest spreads in the biz.
  10. Your leverage and trade size are two different things.

    You can still trade tiny lots with 400:1 levearge just as you would with 20:1 and the outcome would be the same.
    #10     Nov 6, 2008