Forex Mini Trading Accounts vs Demo Accounts

A variation on the forex standard account is its smaller brother the forex mini trading account. While the amount needed to open standard accounts is generally upwards of $1000, the mini account can be opened for considerably less. With just a few hundred dollars, one can open a mini account with most forex trading platforms.

Forexyard for instance, allows you to open their Supermini account for as little as $100. Easy Forex on the other hand requires $200 to open a Mini account.

Forex mini trading is by way of “mini lots”. Standard Forex accounts have a pip value of $10 and so a market movement of 100 pips in a movement favoring you would result in a $1000 profit. In mini accounts, $1 is the pip value so positive movement of 100 pips would net $100 for you.

For those just testing the waters, mini accounts would be ideal. While there are demo accounts around that do not require any funds to open, mini accounts have some desirable characteristics.

Although not risking alot, you will still be using honest to goodness money. Using it allows you to trade in a manner that will mimic your trading behavior in the event that you decide to open the standard forex account.

You risk nothing with a demo account. This play money is often not traded seriously. As a result,the whiz traders using demo accounts lose miserably when using a standard account with actual money.

So a forex mini trading account, since it uses real money, will tend to reveal more accurately your actual behavior once you move up to a standard account. Its an actual trading situation that will hone your skills while at the same time not risking a great deal of money.

So you don’t defeat the purpose, you must, for all intents and purposes, use the same kind of risk analysis and have the same respect for the mini as you do your standard account. This gives you the discipline needed to succeed in forex trading.

Finally, when you are satisfied with the returns on your Forex mini trading account, you can consider moving up to the standard account knowing that you now have some real trading experience under your belt.

Here are some forex mini trading enabled platforms for you to consider:

1. Forexyard trading platform

2. Easy Forex Trading System