Instaforex cent account
I can tell you that few issues cause so many questions, confusion and misunderstanding as setting up the correct Money Management in the EA. Talking more specifically, the problem is: This task is complicated by the instaforex cent account that different brokers may have dollar accounts and cent accounts, and the value of one lot may be also different.
In this article, we will try to figure out what types of accounts exist in broker companies and how not to get confused in the calculation of the starting lot size. All transactions on your account are expressed instaforex cent account units of the base currency profits, losses, etc.
If you see the account balance of , this means the base currency is USD cent. The second important concept: Here starts the confusion! Most brokers use the standard lot size: But there are some brokers that use a 10 or even times smaller lot size. How not to get lost in all these lots?
So, we are coming to the third important concept: When you start to trade with a new broker or a new type of account, the very first things you have to figure out are the minimal instaforex cent account size and the price of 1 point for the minimal lot.
In this case, for any pair of xxxUSD type, 1 point for 0. All the same, only cents are instead of dollars. Then 1 point for 0. Let us now introduce the following classification of accounts, according to the price of 1 point for the minimal lot:. These instaforex cent account Cent accounts with the minimal 0. Instaforex cent account example is Forex4you account types: Good examples are Roboforex account types: The price for minimal lot: These include dollar accounts with the minimal 0.
Most accounts fall into this category. The price for the minimal lot: There exist also accounts with the minimal 1. Knowing the lot size of your broker is also useful to estimate the size of margin required to open instaforex cent account trading order. Here is a simple question to you, answer it without thinking: So, the answer is no. Another interesting question that often causes confusion: Obviously, today such tenderness is no longer in vogue.
The actual level at which the positions are closed, is the Stop Out. In which case the position may be closed by Margin Call before it achieves the level of Stop Out? Well, for example, if you open a large position that slipped to the level of Margin Call at the market close on Friday.
In this case, it is likely that loss. In such situation, the broker will not risk and most likely will close the position on Friday. The most actual for real trading is the level of Stop Out. In addition to the margin, we have a drawdown of open positions, which depends on the current price.
If the price continues to move against us, eventually, free account instaforex cent account will instaforex cent account to zero. However, instaforex cent account is not yet the instaforex cent account in the most cases. Which practical conclusions can we make out of this?
Forex Warrior EA, with an initial lot of 0. With the leverage of 1: The minimal required deposit is 10, If the account equity reaches zero, the margin will be about 4 times smaller than the drawdown. In real situations, the margin is typically about 10 times smaller than the drawdown. Instaforex cent account too much, instaforex cent account better than nothing. About cent brokers, lot size and not only…. Let us now introduce the following classification of accounts, according to the price of 1 point for the minimal lot: Forex4you cent lite, cent ndd.