Cents account

Once a man wants to try his hand at e, he follows a fairly common scenario. Having familiarized himself with the subject he is interested in, having immersed himself in the theory, he will soon demand to get acquainted with it in practice. In such cases for those beginners who do not have a considerable capital or do not wish to risk at once, the demonstration and cent accounts.

A lot has been said and written about the expediency of these initial stages of trading on the foreign exchange market, but most agree that it is useful to pass this stage. Demonstration and cent accounts help beginners to hone their skills, get accustomed to the terminal interface and gain the necessary confidence before making larger trades.

The difference between a cent and demo accounts The feeling of the market: if on a demo account you can play "for everything" and lose nothing, then on a cent account, though small, but money, which you do not want to lose so easily. Besides cent account gives an opportunity to get closer to real trading conditions, to feel the risk of transactions, and also to check the brokerage company trading conditions. At the same time the loss is perceived differently because the capital loss is insignificant, and it is possible to make painless conclusions from the mistakes made and take them into account for the next time.

Characteristics of a cent account

Cents account is characterized by the following parameters: calculations are made in cents, the minimum deposit of 1$, the transaction volume of 0.1 micro lot, 1 pip is approximately one cent. For comparison, to open a regular account requires a capital of at least 100$, the volume of transactions from 0.01 standard lot, with one pip equal to 0.1$.

So having the opportunity to trade on a cent account with a broker is very important for beginners. Along with micro and mini accounts, this is the best way to "smell the smoke" on the e, try out a new strategy, or take your time to learn a hitherto unknown software.

However, it is worth remembering that it is undesirable to dwell for a long time on trading on cent accountIt's better to gradually move on to the next step. Why? Because of insignificant risks a "stale" trader can lose the so-called "psychology of trading", not in time passing to operations with real or larger sums.

Price accounts with companies

Now many dealing centers and brokers have cent accounts. However, even though you invest small amounts, you need to be serious about choosing a broker.