How much money do I need to start trading?

yup that phrase was passed down from like foreever, only trade what you can afford to lose, remember thats forex trading is not a bank investment that can guarantee you 3% a year, this is a business a risky one with very high risk, i started with ******** with a littl under 200 usd. and burned it and started all over again this was back in 2011, now still trading them with a decent premium account
 
Started with a deposit of 10$, made 100$ of it. A lot of luck for my first time. Since I did this, I started learning, you have to be prepared for all kind of patterns the chart will make. So don't trade with a real account before you have a 70 - 80% Win rate (Binary) or a 70% return (stock). There are a lot of brokers which let you start with a demo account.

Good luck to all
Trade safe

SwingTrader24
 
Bull institute

I recommend starting with 10 000$.

Let me explain the reason why, stock like apple and google can be priced at 500$, so if you deposit that amount, you will only be able to buy 1 stock and that will be one stock in your portfolio = it doesnt make sense.
Brokers give you leverage if you deposit 500$ meaning that they multiply your deposit amount (usually 200 times) and you can now trade as if you have 2 million dollars.
That is not good for you to have high leverages because your trades will be very short lived, deposit 10k minimum, learn to trade first, save some money, understand the mechanics of finance, and the sky is the limit.
 
I'd add that it's not important how much you have really. Just make sure the budget isn't overwhelming for you- don't let yourself lose a house like it's a gamble :)
 
Why exactly this much? Is it somehow connected to stock prices?

Not with stock price, but more with volatility, leverage and broker fees.

if you deposit 200$, you will only be able to have trade during one day or less, if you deposit more, you can use less leverage in your account and keep open trades longer, like a couple of months.

Day trade is extremely hard and a lot of people will teach you the wrong things

Keeping trades for a couple of months is easier as you only need to research looking with a more general view of economy.

work at a job and save for a couple of years and get that 10k
 
This sounds a little fuzzy to me. So the major reason to have a high initial deposit is to avoid day trade?
 
If you're going to daytrade stocks, you'll need $25,000. With $10,000, you can set up an account with IB and daytrade futures. If you use margin, you'll be trading with borrowed money.

I should also point out that the question should not be how much money do I need to start trading but rather how does an auction market work. If the trader doesn't have the answer to the latter, then whatever money he has to trade will likely be wasted.

Db
 
If you're going to daytrade stocks, you'll need $25,000. With $10,000, you can set up an account with IB and daytrade futures. If you use margin, you'll be trading with borrowed money.

I should also point out that the question should not be how much money do I need to start trading but rather how does an auction market work. If the trader doesn't have the answer to the latter, then whatever money he has to trade will likely be wasted.

Db

Do you mean basic info on auction markets in general or some specific information?
 
Do you mean basic info on auction markets in general or some specific information?

Both, starting with basic information of course. Click my signature and download the pdf. Auction market theory is explained on pp 15-17. And, yes, this is a part of my book, but it's free.

As for specifics, you may be interested in the Wyckoff thread I've begun as auction market theory begins at the turn of the 20th century: Dow, Hamilton, Wyckoff, Neill, etc., and most if not all their work is available as free pdfs.

Db
 
You can start trading with a small amount as $50, but I think any amount below $500 cannot help you to earn a consistent profit
 
You can start trading with a small amount as $50, but I think any amount below $500 cannot help you to earn a consistent profit

How is that? You're trying to tell me the more money I invest the bigger chance for profit? Or what do you mean by "consistent"?
 
I meant, with most of broker as freshforex, hot forex, exness you can start trading with $50 deposit but your account will blow soon except you're a genius. At least $500 can maintain your positions in volatie time, $50 can not keep it last even trading the minimal 0.01 lot
 
I meant, with most of broker as freshforex, hot forex, exness you can start trading with $50 deposit but your account will blow soon except you're a genius. At least $500 can maintain your positions in volatie time, $50 can not keep it last even trading the minimal 0.01 lot

Oh, I see. You're talking about inevitable losses and that the more money I invest, the more of these losses I'd be able to withstand in the case of sudden drops?
 
I experienced once turing 15 dollars to 141 in 3 days, with some luck and some crazy trading (which i will never recommend to anyone really) but what i mean is, if you are to take trading seriously then yes you will need more than just 50 dollars to start.
 
I experienced once turing 15 dollars to 141 in 3 days, with some luck and some crazy trading (which i will never recommend to anyone really) but what i mean is, if you are to take trading seriously then yes you will need more than just 50 dollars to start.

You realise, that it's posts like yours that instill false hope to newcomers? :) When I see a post like this I immediately think that if some dude was able to make a profit of about 100% from $15, so do I. And it won't matter that you've said afterwards you don't recommend this.
 
Oh, I see. You're talking about inevitable losses and that the more money I invest, the more of these losses I'd be able to withstand in the case of sudden drops?

Indeed, we cannot control the market and unexpected events could come anytime and with small fund account, we cannot react timely so we need large fund enough to keep our account get over the storm. I really faced it several times.
 
Indeed, we cannot control the market and unexpected events could come anytime and with small fund account, we cannot react timely so we need large fund enough to keep our account get over the storm. I really faced it several times.

Got it. And what's the best way to protect your account if you have sufficient funds to do so? I've been thinking of hedging, but I don't really understand how it works with forex yet.
 
Indeed, we cannot control the market and unexpected events could come anytime and with small fund account, we cannot react timely so we need large fund enough to keep our account get over the storm. I really faced it several times.

Good advice thanks.
I'm not experienced to the world of trading. And I have use only demo account for practice. This is another example of losing money due to depositing a small amount to trade and using big leverage.
 
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