How much should I invest in forex?
The good thing about Forex Trading is that you don’t actually need much money to get started, in fact you can start with no money at all with a Free Demo account. Some Live Trading Accounts require a minimum of $1 deposit but as you can probably imagine there is not much you can do with this amount of money.
If you’re new to Forex Trading then instead of putting money into an account straight away you can instead open a free demo account which requires no deposit at all. You will get access to the same markets and the same trading tools so instead of jumping in and risk losing your money you can first familiarise yourself with the platform and the tools available.
Once you have more Knowledge on Forex Trading and you understand how to place trades and how to manage your risk. Then you will be ready to open a live trading account.
As mentioned above you can find companies that allow you to start with 1 Euro, GBP or USD however that amount of money is pretty much pointless to start with, you might as well stick with the demo account until you have saved up enough money to make a real go of it.
The reason you should consider starting with a higher deposit is for Risk management reasons and also to keep your interest.
If you are sticking to some risk management rules most traders suggest risking no more than 1% of your account on any given trade therefore if you are trading with 100 EURO, GBP or USD then your risk should be 1 EURO, GBP or USD and as you can probably imagine the amount of money you can make from 1 EURO GBP or USD is not that exciting.