Micro or Mini account FXCM

[dsalas]

Hi guys, I opened a mini account with FXCM but they also offer the micro account which apparntly has lower spreads, and micro accounts of 1000k lot sizes. My question is for opening with 2000 Dollars would you recommend Micro or Mini since there is the big issue of LEVERAGE

Thanks guys

 

[Mr.J-Arthur]

Go as small as possible when starting, try the micro. Test your methods and hone your skills for cheap

 

[dsalas]

Thanks J-arthur

 

[VingTsunKuen]

Go as small as possible when starting, try the micro. Test your methods and hone your skills for cheap

I agree.

 

[alexander]

I agree. You can always add to your position. I always start small and slowly increase my risk. I never open a position that carries more than 0.5% risk w.r.t. my bankroll. Do the same and you will be around for a long time, at least much longer than 90% of traders. You won't become rich fast but you will learn and even make a good return.

Alex

 

[dsalas]

Thanks guys, any other comments are welcome

 

[neil]

HMMMM....has any one actually used FXCM microlots ?

 

[VingTsunKuen]

I hear you Neil...I was talking generally that whit 2000$ for mine taste would be smarter to trade micros..
No experience whit FXCM,must say...
Cheers,
VTK

 

[c_c405]

Good Broker - Sometimes HUGE Spreads!

Hi guys, I opened a mini account with FXCM but they also offer the micro account which apparntly has lower spreads, and micro accounts of 1000k lot sizes. My question is for opening with 2000 Dollars would you recommend Micro or Mini since there is the big issue of LEVERAGE

Thanks guys

I have an account with FXCM and I must say they are a very good broker. My only issue is that sometimes their floating pip spreads reach as high as 80 pips! not exactly optimum for a scalper. But I'm not really a scalper. For a $2000 start up I would go with a mini account instead of a micro. I just don't see any benefit of making $1 for a 100 pip movement. at least with a mini lot you can earn $100 for a 100 pip movement and at 200:1 leverage you can really make that account grow.

Watch for their spreads! they can get really big especially with pairs like EUR/CAD and GBP/CAD

Here are some pics I took of such spreads on my account
Check them out! WOW 80 + pips! CRAZY!!! Stick to NY and EUR/London markets and the pips stay relatively low but anytime in AUD & Asian markets and they grow Really BIG!

 

[dsalas]

Damn at what time was that?
Does all brokers vary their spreads like that?

 

[forexpipz]

Micro-lots are the future

Hi guys, I opened a mini account with FXCM but they also offer the micro account which apparntly has lower spreads, and micro accounts of 1000k lot sizes. My question is for opening with 2000 Dollars would you recommend Micro or Mini since there is the big issue of LEVERAGE

Thanks guys

That is definitely the way to go. I was in the same predicament as you but I managed to loose all of my money. Yeah I know now about money management and the dreaded whipsaw effect but with 2000 USD you would have a nasty margin call in less than a month most likely.

With such a small amount of capital try to trade conservatively. Only open positions that have a risk to reward ration of greater than 1:3 if you possibly can. That way you do not have to be constantly monitoring the markets. Given your amount you are willing to invest I'm guessing you are a new trader. This is not a bad thing. Forget what people tell you about opening an account with 10-20K. That is b/s. You can open a micro account with relatively little initial cap and trade the hourly or daily chart and this will give you a lot of time to analyze where you went right and more importantly why your trade went wrong.

There really is no difference other than lot size. Besides you could easily open a position of 10 micro lots which is 1 mini lot and if you are on the fence about a trade then rather than demo the trade which is essentially emotionless you could whack in a micro lot trade. While the fear and greed symptoms are much less they never the less exist. Which is quite the contrary on a purely simulated demo trade. Trading platforms will eventually open up this form of trading everywhere. Expect even the big guns to branch out their business towards the average Joe. The retail FX market is growing immensly and dont kid yourself thinking you have to trade like larged capped private investors.

Happy trading...

 

[forexpipz]

Liquidity

Hi guys, I opened a mini account with FXCM but they also offer the micro account which apparntly has lower spreads, and micro accounts of 1000k lot sizes. My question is for opening with 2000 Dollars would you recommend Micro or Mini since there is the big issue of LEVERAGE

Thanks guys

Damn at what time was that?
Does all brokers vary their spreads like that?

Pretty much. As liquidity drops in a market then the bid/ask spread generally speaking widens. If a market is flat wait to see what it will do. As it picks up pace then make a decision when there is more liquidity.