Today Forex trading became so popular among the traders from Singaproe and all the world, so Forex brokers make their best to adjust the Forex trading conditions and features to the different needs of every trader. It allows the traders to customize the serious financial trading with their own investment and trading ability. Forex brokers offer their traders not only a great variety of trading tools, features and instruments, but also traders can choose different types of the trading accounts that allow them to trade with different trading volumes.
The standard Forex trading account is known as an account type where the 1 trading lot is 100 000 units. So if you open a trading position with a leverage of 1:100, you will need about $1000 of your own funds in order to open a position for 100 000 units. Means that if you trade in the standard account you need to invest tens thousands of dollars in order to keep safe and systematic trading.
As many traders are not ready to make huge investments into Forex Market, today beside standard account, many brokers offer also a mini Forex and even Mirco Forex accounts. The main difference between these types of the accounts is that they involve less trading volumes and at the same time require less investment. For example mini trading account has a minimum of 10 000 units and requires $100 investment for one trading position. At the same time micro trading account has 1000 1 lot units and it is enough to have only $10 in your trading account in order to be involved in the real Forex trading.
The development of mini and micro trading account is a great solution for those traders who are new to Forex market and are not willing to risk huge investments. Though almost every broker provides the traders with a free and unlimited demo trading account, you cannot compare the demo trading with trading in a real account where your own money are involved. Many traders who succeed making profit in demo, fail trading the real funds.
The reason is that when trading with the real investments, the traders become more emotional and usually make mistakes on their trading decisions. In this case mini and micro Forex accounts are very helpful as they let the traders to enter the boiling Forex world with small amounts of real money in order to feel the real trading and learn to cope with their emotions and doesn’t let them influence on their trading strategy. Trading the small amounts, the traders can practice the real trading as much as they need without a risk to lose a lot of funds of their own.