what should my goal be with a $100 account

purely for fun but want it to have some aspect of seriousness, but at the same time want to use it as an "out" for my gambling side.

What strategies (can be high risk) should i use with an account of only $100?

Thankyou in advance

i always use 100 eur as beginning , leverage 1/500, don't matter the amount you start with , only the method.

so good money management and good skllls.

i use as lotsize 0.01 lot for every 100 euros , and i aim to make 2-3 percent a day .
i do it always more than this , then it comes the day that i increase too much lot size and i lose everything .

try to compund 100 eur at 3% daily , you will have more than a million euros in a year if you do it consistently ....

Here is something to consider!!

Let’s see, many experienced FOREX traders will warn you to stay clear during a volatile economic news report - “no telling where the market will go, it may move so fast in the wrong direction so as to cause a big loss.”

This is very true.

But still, traders will enter the market during these high risk news reports - and some are even winners. Why?

Like professional card players, these traders understand the odds based upon previous
results.

It is common knowledge that the currency market is a huge market, thousands and thousands of traders, maybe even millions venture into the market for the news reports.

These traders depend, for the most part, upon so called “expert” forecasts of the actual report. The “forecast” may be in favor of that countries currency, or not. If it comes out as “forecast” chances are a currency pair will move accordingly, or not.

But suppose the “actual” report is contrary to the “forecast” by a good sized margin, then traders will move to take advantage of the situation.

For example, Australia’s Employment Change and Unemployment Rate released last Wednesday, the 8th of June, 2011.

The “forecast” for the Employment Change was 25.6K, up from last months “actual” results of a -22.1K, a big change is projected.

The “forecast” for the Unemployment rate was the same as last months report at 4.9%.

Well, if you are one of those traders who trade the news reports, you know that much of the time “expert” economists may come up a little short or long with their predictions.

In this case, the economists were a little short with their “forecast” of the employment change by about 17.8 K (they were right on the money with the Unemployment Rate) bad for the economy.

The market did move against the Australian dollar a bunch, in spite of a good Unemployment rate.

Upon the report release, the currency pair AUD/JPY moved down for 17 minutes about 73 PIPS - right direction.

The currency pair AUD/NZD moved down for 6 minutes about 86 PIPS- right direction

The currency pair AUD/USD moved down for 39 minutes about 90 PIPS- right direction

And, the currency pair EUR/AUD moved up for 39 minutes about 115 PIPS- right direction

The odds were, with a bad report and the report being outside the “forecast” far enough, the Australian dollar would suffer in the short term - not every time will that happen of course.

But the average trader will try to reduce his losses if he had depended upon that forecast and had traded according to the “forecast“. He may have been buying the Australian dollar - a loser in this case.

Knowing this, the odds could be in your favor.

With this ammount as deposit you can do lot of things
I would advice you use small positions and start with learning forex with real account trading.

It is not only about how much money do you have, because you know, for somebody from India has 100$ same value as for trader from USA or EUROPE 1000$.

The equity has limited compounding opportunities. It is possible, but the mental factor will be the bug.

Like some posts above have said, you will lose it almost immediately, or you might be able to fight it out. You might lose it faster than to gain any experience with the market.

One of the main factors that keep any trader from becoming successful is FEAR. If you are only willing to risk $100 on a 20 fold leverage, it sounds like you are not yet ready for forex trading.

I would suggest starting off with more than $100. It might take you months to a year or two years to start seeing progress depending your learning curve.

well no im not a complete noob i've been in and out for a year or so... this summer demo traded alot tried several different strategies and the one i liked BEST involved averaging into a position with small lots relative to account balance size allowing me to ride something down several hundred pips (2-3 hundred) and still producing a profit during a snapback rally.

however even though it was demo i dont like what i did there because

A) i didnt use stop losses

B) at one point i was using about 20x leverage (during the one and only about 250 pip draw down that I experienced with that strategy)

C) i still made trades sometimes impulsively (i was in a hurry to get out of the house or other reasons)

so I just want to do it with $100... (i dont see how that is different from $2-$3000, its just a $ amount...)

I guess that one appealed to me the most because it produced the greatest profit over the summer 4 months of about 300% meanwhile my two other strategies i tried that involved stop losses did 26% and 39% over 4 months (june-september)

so i'm at a bit of a crossroads as to what I should pursue, especially given all the negative stigma associated with "averaging", but to be honest i felt more comfortable averaging then i did placing a stop and it getting hit. And i did not "average down at will" there were several trades that i got out of at a small loses before they snowballed.

and thats my dilemna

Maybe your goal should be to take the 100 and go out and have a nice dinner. Or get a good bottle of wine and some take out. you wont learn anything losing a 100 cause it doesn't matter to you. now if it was 5K - it may be a diff matter cause then the wife might get irritated - and u don't want that, believe me - but a 100 - nah -

simple strategy if u decide not to drink it. sell euro rallies - sell balls to the wall when it hits resistance and when it approaches support - buy balls to the wall - rinse and repeat till a breakout takes it all away. then refund w/ another 100 and w/ that 100 go balls to the wall on each breakout - then refund and draw a fib on the chart. you get the idea -
Plus - going balls to the wall on each trade will cure you of the 'averaging' prob cause your already all in. its a win - win. borker wins a 100 and u win an education - - who knows u might learn how to trade if your observant enough and the beauty is it only cost u 100 per lesson on each strategy....

if i had a hundred dolla, i would not trade news (the immediate spike) with forex retail broker because of widened spreads and or platform freezes and otherwise difficult fills. i woulda fade news spikes on an exchange using limit orders. hundred dolla good with oanda and aim for % risk & return, rather than

lol..

better than bare demo to learn to handle emotions and build a track record and fund up acct if successfull, actually fund it again if unsuccessful too

!! IMHO !!, !

your goal should be not to lose that $100.
that goal is fun & at the same time serious.
it's up to u to decide on what strategy/method/system to use.

I'm currently getting my first taste of live trading on a small account as well, trading mini lots. So far I've been profitable, but I'm still a bit wary of my trading ability so I'm very picky about my entry points. I'm hoping to scoop up my first big move soon (50+ pips).

The only one goal you should chase - to have $ 100 in 30 days.

Regards,

Josef

Here is a good article: Getting Through Your First Month of Forex Trading.

Regards,

Josef

I think this guy has it right. If this is for fun then losing it all on one trade isn't worth it, like a theme park with one ride, so trade light imo. On the other hand if your taking it seriously then your first goal should be to keep your money for the first month at least. Develop a strategy that you're comfortable with first, test it and once your happy go live. Perfect the craft first and the money will just flow in.

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I would say..

Practice perfecting your entries using one or just a few strategies. IMHO, you only need to be good at one thing or just a few things.

I would add: more and before entries, try to understand how to manage your positions. If and when to add or partially close, or -for a simpler first version- when to close.

In my humble opinion, to manage positions is way more crucial than perfect timing of the entry and even much more crucial than your position itself.

Just my two cents.

Good luck with the trading experience! Have fun.

I forgot to post this. about compounding. Once you get your feet wet, and become immune to the volatillity of the market, it will take time to build a big portfolio.

Lets say 50% return each month compounding profits on all trades. This is what it will look like in 16 months on 14 fold leverage (14:1) with a consistent 250pip per month which is EASY. once you hit your monthly mark/goal, call it done. don't let GREED overcome your obstacle.

$100.00
$150.00
$225.00
$337.50

$506.25
$759.38
$1,139.06
$1,708.59
$2,562.89
$3,844.34
$5,766.50
$8,649.76
$12,974.63
$19,461.95
$29,192.93
$43,789.39

If you got a $100 then wait for the non farm food and then trade, thats what I do, double my £100 in less than 1 hour

do you straddle ? which method ?

I didn't know we straddle in poker, i mean forex.

With a $100 account you should focus on preserving it and look at percentage returns. If you can be a steward of little, I believe that eventually it can grow and become much.