[feb2865]

Excellent Post EZ

Your words brings plenty of wisdom much needed nowadays.

I would like to point out as a cross reference with my last post

There's plenty of deceiving advertising outhere about forex.

Traders, please don't let them fool you. Forex is not the way to riches. It's probably the most difficult market to trade. Many newbies fall prey of these wrongful and deceiving advertising, everyday.

It can be traded. But is not what everybody thinks.

Regards

Raul

[torero]

Anyone thinking about trading forex please check this forum before even opening an account.

The Non-Dealing Desk Forum - Savvy Traders Want to Know - Powered by vBulletin

I'm not trying to hype this site but it has serious discussion on forex and brokers. It clears up the industry's shady side of business. And it IS POSSIBLE to get 1 pip spread and to get to real SPOT MARKET. Deciding on a broker paramount!!!! Buyer BEWARE!

[Reaver]

If you're wanting to get a feel for trading real money, you can open an account with Oanda...they let you trade any size you want. I started out with $100, no false hopes or delusions, but I wanted to get a feel for the difference between papertrading and real money. Even if it's a few bucks, it will still make a difference in your approach if it's real money on the line. Good for making the transition.

[pipMonster]

Originally Posted by 1time »

Just graduated from college and looking to start trading the FOREX markets. Ive been looking into brokers and seems like FOREX brokers offer huge leverage. They also guarantee my stops so I can only lose what I put in. Any advice on a sufficient capital for trading?

You can start trading w/ $1000 IF you reduce your expectations to the size of your account. This means forget about leverage and get up to speed on money management and risk assessment. I would suggest an account with Oanda for the reason that they offer trades to very small size and their execution is excellent, though they do have variable spreads to watch for during 'high profile' data releases. You would want to stick to a total risk per trade of 2-3% of your account.

No matter which broker you go with, you'll encounter some slippage. A few pips at the most is typical.

Have you paper traded your strategy into profits and are you confident in being able to execute it without fail or question? If not, work out your strategy some more in demo land. There's no rush to get into the market. It'll be there when you're ready to trade your hard earned cash.

[Reaver]

Nicely put Pipmonster. I think a small account with NO leverage is good to start. On one hand cranking up leverage could work out nicely, and if your account is only a couple hundred bucks it wouldn't be the end of the world...but it would build horrible habits....so I say no leverage and slowly build up as you see fit, IF you see fit.

[torero]

monster,

I was thinking of trying out Oanda's demo and wanted to know if they are as good as they claim in terms of demo to real account accuracy (no window dressing) and if the execution and spread is as reliable. I currently trade with MBTrading and like them alot, but always looking for a 2nd account as part of my contingency plan. Thanks.

[Reaver]

Torero,

I use Oanda, and have for a while. They are good, the only thing to watch out for however is when they widen spreads at news releases. That can trigger a stop. Other than that though, they have the best execution I've seen.

[pipMonster]

Ditto w/ Reaver. I had one problem with Oanda and it was resolved as soon as I brought it to their attention. I've wanted to leave them as I became very upset a few times with their variable spreads, but I found no other equally good broker. Sometimes it's the devil you know vs. the devil you don't.