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Forex Trade Lab

Minimum Deposit

The technical minimum to open a forex account varies by broker:

Broker Minimum Deposit
XM (Micro/Standard) $5
XM Ultra Low $50
Most retail brokers $100–$500
Premium accounts $1,000+

While you can technically open an account with as little as $5, this doesn't mean you should trade with such a small amount.

XM Advantage: XM offers a $30 no-deposit bonus for new accounts. You can start trading in real market conditions without depositing any of your own money — perfect for learning.

Recommended Starting Capital

Professionals recommend starting with capital you can afford to lose completely. Here are general guidelines:

Goal Recommended Capital
Learning & Demo $0 (use demo account)
Micro trading $100–$500
Serious trading $1,000–$5,000
Professional level $10,000+

Why $500–$1,000 for beginners?

  • Allows proper position sizing (0.01–0.1 lots)
  • Gives enough cushion for stop losses
  • Enough to feel the psychological impact without risking savings

Account Types & Capital Requirements

Micro Account (XM)

  • Minimum: $5
  • Ideal capital: $100–$500
  • Trades in micro lots (0.01 lot = 1,000 units)
  • Best for absolute beginners

Standard Account (XM)

  • Minimum: $5
  • Ideal capital: $500–$5,000
  • Trades in standard lots
  • For traders with some experience

Ultra Low Account (XM)

  • Minimum: $50
  • Spreads from 0.6 pips
  • Best for active traders and scalpers

Capital & Risk Management

The most important rule: Never risk more than 1–2% of your account on a single trade.

With $100 account:

  • Max risk per trade: $1–$2
  • This forces you to trade very small lots
  • Difficult to manage meaningfully

With $500 account:

  • Max risk per trade: $5–$10
  • Can trade 0.05–0.1 lots comfortably
  • Much more manageable

With $1,000 account:

  • Max risk per trade: $10–$20
  • Can trade 0.1–0.2 lots
  • Meaningful position sizing

Important: Never deposit money you cannot afford to lose. Start with a demo account to practice before using real money. Capital preservation is always the first priority.

XM Advantage

XM stands out for low-capital traders:

  • $30 no-deposit bonus — start with real money without depositing
  • $5 minimum deposit — lowest barrier to entry
  • Micro lots — trade as small as 0.01 lot
  • Negative balance protection — you can't lose more than your deposit
  • Leverage up to 1:1000 — amplify your capital (use carefully)

FAQ

Can I start with $100? Yes, but it's challenging. With $100 and the 1% rule, you risk only $1 per trade. Use micro lots and focus on learning rather than profits.

Is $30 bonus enough to start? It's a great way to learn real trading without risk. However, treat it as a learning tool, not a path to riches.

Should I start with leverage? Leverage amplifies both gains and losses. Beginners should use low effective leverage (10:1 or less) regardless of the maximum available.

Broker Comparison

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