Hi ladies and gentlemen,
no this is not the repeated dumb question if a small dollar amount is enough to trade forex. I would like to know if 500 dollars are enough to internalise the psychology of trading. You have to know, however, that I have total savings of about 6000 dollars and I need a bit of this money for college. I am 19 years old and could afford losing 500 dollars, but there would also be some pain involved if I lose it. It would, however, not endanger my living. I read in some books that for getting the psychology right losses should really hurt, but I do not want to lose so much money. If I started a demo account, I'd trade with micro lots, equaling 10 cents per pip for EURUSD. I normally use a stop between 50 and 100 pips so that would be 1 to 2 percent of my equity. Do you think this is a reasonable plan for learning how to trade with special consideration of the psychological components?
Yours sincerely,
Chris
no this is not the repeated dumb question if a small dollar amount is enough to trade forex. I would like to know if 500 dollars are enough to internalise the psychology of trading. You have to know, however, that I have total savings of about 6000 dollars and I need a bit of this money for college. I am 19 years old and could afford losing 500 dollars, but there would also be some pain involved if I lose it. It would, however, not endanger my living. I read in some books that for getting the psychology right losses should really hurt, but I do not want to lose so much money. If I started a demo account, I'd trade with micro lots, equaling 10 cents per pip for EURUSD. I normally use a stop between 50 and 100 pips so that would be 1 to 2 percent of my equity. Do you think this is a reasonable plan for learning how to trade with special consideration of the psychological components?
Yours sincerely,
Chris