Small Investment...

[ForexVerified]

Starting with low amount will force you to take high risks, which will eventually bring big losses to your trading account. You need to be very very strict on your money management if you are trading with less amount.

Well said. Such small amount should be for "educational purposes only", not making money (when starting out).

 

[Pharaoh]

A small account doesn't "force" high risks unless the minimum trade size is too large. If so, find a different account type or different broker. There are brokers out there where you can trade $1/pip, 10 cents/pip, 1 cent/pip, or even 1/10 cent per pip.

When you develop a consistent trading plan that brings profits, you'll need to scale your account up to scale your profits up.

 

[downtrend]

Small investments are a great hurdle in making consistent profit from forex market. Sooner of later you will find yourself deviating from your money management plan in trying to get a big win and loss big eventually.

 

[EuroTrader]

Small investments are a great hurdle in making consistent profit from forex market. Sooner of later you will find yourself deviating from your money management plan in trying to get a big win and loss big eventually.

If we want to get some income from our trades we must understand that trading is risky so we will usually have some or the other risks in our trades.

And we also know that nothing can be sure in this business

 

[downtrend]

If we want to get some income from our trades we must understand that trading is risky so we will usually have some or the other risks in our trades.

And we also know that nothing can be sure in this business

Yes but the amount in our trading account effects our emotional level to a great extent. If you can trade 1$/pip with ease then it will be a totally different trading than being able to trade only 10cents/pip.

 

[EuroTrader]

Yes but the amount in our trading account effects our emotional level to a great extent. If you can trade 1$/pip with ease then it will be a totally different trading than being able to trade only 10cents/pip.

Unless we are having good trading knowledge we have to keep our trading risks at the minimum and this is the only way so that the losses will be less for us

 

[downtrend]

When I had used a small trading account it get blown sooner or later. I wasn't good with my money management in small accounts. I collected money and then deposited when its grown to a reasonable trading capital.

 

[margin]

Those traders with small investment try to make big profit and lose accounts. Its the same story repeated time after time. As a good trader you need to have a good amount in your trading account or a tremendous amount of patience to cope with small capital.

 

[mlawson71]

If you keep your lot size small, say 0.01 or 0.02 and you're not making obvious mistakes you shouldn't have much trouble. I wouldn't recommend increasing the lot size too much though.

 

[arigoldman]

If you keep your lot size small, say 0.01 or 0.02 and you're not making obvious mistakes you shouldn't have much trouble. I wouldn't recommend increasing the lot size too much though.

Agreed.