How to Go About Opening a Currency Trading Account

In the Internet age it is fairly easy and simple to open an online currency trading account with a forex brokers. All you need to do is
1. Select the type of account you wish to open
2. Register yourself and
3. Activate your account to begin trading

How to select the type of account you wish to open?
As a forex trader you can open your currency trading account in your personal name or on a business name.  You have the choice of opening a

"standard" account or a "mini" account. Forex mini account is a kind of brokerage account, which is used by traders who are new to the foreign exchange market. Traders aiming to get started in forex market, while learning how to trade must open mini accounts. With forex mini account investors can take smaller position in a currency instead of trading in standard lots used by traders with regular accounts.

Typically in a forex mini account, the traders are permitted to trade in contract size of 10,000 units instead of the standard 100,000. Therefore trading lot of mini account is one tenth of the size of a standard lot. Standard account is basically for experienced traders. As retail trader also note to open a Forex spot account and not a "forwards" or "futures" account.

How to complete the Registration formalities?
Account opening formalities vary from broker to broker. Most of the brokers provide the account opening application forms to prospective clients in PDF format. The information required in the forms is very basic and easily available for submission.

Account Activation
Once you submit all the necessary account opening documents to your broker you will receive an email notification from them. You may be required to complete certain formalities online, for account activation. Upon completion of these formalities the broker will mail you your currency trading account details such as username, password, and instructions on how to fund your account.
In case you are new to forex trading it is advisable for you to open a demo account to begin with. Demo accounts are practice accounts, which are provided free by all brokers. Demo Forex trading accounts will allow you to practice forex trading transactions without risking any financial loss.  Demo accounts provide an excellent platform for newcomers to practice currency trading before entering into live trades. It also helps experienced traders to test out and check the various strategies and theories before performing live transactions.

Forex market trading is no longer the domain of large institutions alone. Ordinary people like you and me can easily learn the basics and start trading profitably in the market.

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