Forex mini accounts are becoming more and more popular with beginning and mid-tier retail traders who want to trade currency but do not have enough of the necessary capital to open a standard forex brokerage account. The forex mini account allows these types of traders to only deposit a fraction of what it normally costs to open a typical brokerage account, and this has given countless traders from around the globe the ability to trade currency without having the need to acquire a tremendous amount of money to get started. Trading with a forex mini account is basically the same thing as trading with a normal account as long as the trader is willing to compromise on what would be considered a standardized volume—this is of course based off of what the average currency trader will consider a healthy trading volume. The number of brokerages who are offering these mini accounts continues to rise and with the advent of the Internet more and more of the most reputable brokers are making these types of accounts readily available on their websites.

The nuts and bolts of a forex mini account has to do with the cash reserves of the trader that is opening the account at the level of trading they plan to do. Most standard forex accounts have contract sizes that range from around one hundred thousand units and upward. A forex mini account doesn't require even close to this number and can be opened with a contract size that is at around ten thousand units. This can benefit people who may not have the capital to open a larger account but yet want to begin to trade currency and learn about the foreign exchange market. You now may be wondering if the forex margin is the same as it would be if you had opened a larger account. The truth is that the margins may even be higher than what they would be if you opened a regular account, and they can sometimes be as high as 200:1! This kind of leverage can for example allow you to deposit only fifty dollars and gain access to as much as ten thousand dollars to trade with. This is perhaps the biggest advantage of the forex mini account, and if you want to get as much out of your initial investment as possible then opening a mini account can clearly give you the leverage to do just that.

Opening a forex trading mini account can allow you to experiment with all sorts of techniques and strategies that can allow you to gain the experience you will need to become a profitable forex trader. It is often not wise to open a large forex account when you are just getting started as many times it takes a certain time period to learn the fundamentals of trading currency before you can make a regular profit. The kind of leverage that you can get with a mini account can also afford you the opportunity to try things that you wouldn't normally have the confidence to try with other types of accounts. You always have the ability to scale your volume and open a bigger account, and if you learn about something that works just by using a mini account then you can easily carry that over to another account that can handle larger trade volumes. Forex mini accounts are great when you are just beginning in forex, and as long as you do your homework on the brokerage you are opening your account with you should have no difficulty gaining experience with your mini account.

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