Cent Trading Accounts
Steps of a man, who decided to get acquainted with the exchange market and to realize the principles of work within it, often have a similar outline of future actions and motions. Having mastered the theoretical foundations and concepts of trading, he starts to think over the application of his knowledge in practice. For such cases, for traders who do not want to risk or do not have substantial funds, the Forex cent accounts have been worked out. This kind of accounts assists on refining of the skills and craftsmanship, enables to get accustomed to the trading platform’s interface and gain confidence before trading operations on the larger amounts.
The cent account affords the opportunity to verify in practice the trading terms of a specific broker, and get involved in real events of trading activity on the Forex market.
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The Forex cent account features
For this account type the following specifications are characteristic: minimum deposit of $1, the transaction’s amount starting from 0.1 micro lot, the calculations are made in cents, 1 cent is equivalent to 1 pip approximately. In comparison of the cent account with others, as an example, for a regular account opening the required sum must be no less than $100, minimum position size of 0.01 from a standard lot, and with one pip equal to $0,1.
Therefore for the unskilled bidders the opportunity to carry out the transactions via Forex cent account brokers is very important. Equally with micro and mini accounts, this option is optimal for a trading «test of the pen» on the exchange market, as well as to study unfamiliar software and to test new trading strategies. Though it should be remembered that the trading via Forex cent accounts for long periods is undesirable, it is recommended to increase the trading phases gradually. This is largely due to the fact, that the «immobile» trader, who carries out his operations at low risks, might lose «trading psychology» at the sudden conversion to operations with larger sums.
The broker’s choice for Forex cent account opening
By studying both the Forex market and the actions of its participants, it can be concluded that the vast majority of brokerage firms provide similar conditions of work and co-operation regarding the minimum deposit, starting from 1 to 10 dollars, as well as the special offers and bonuses proposals about extra charges, etc.
Exists the opinion, that a truly effective collaboration is possible only with those Forex market brokers, who occupy the leading positions in financial services industry.
Not the least of the factors is the availability to open an account not only in dollar equivalent, but in the other, most convenient currency. And finally it is necessary to focus on such point as the number of accounts, that may be opened by trader. Up-to-date brokerage firms give an opportunity to work with a few cent accounts, each taken separately, applicable for a specific trading strategy.