Podcast:

Can You Make Money With A Small Forex Account?

In this video:

00:26 – Making money as a small time forex trader

01:22 – Yes you can make money – but once you know how to trade

02:15 – Client from Germany making great returns

03:55 – How do I make money though?

05:15 – An example of a trading service

06:12 – Reinvest the income into your own trading account

06:54 – Change your mindset

Can you really make money as a trader with a small Forex account? Let's talk about that and more right now.

Hey traders, Andrew Mitchem here at The Forex Trading Coach with video and podcast number 362.

Making money as a small time forex trader

Now I want to get away from the coronavirus just for a bit because everybody's talking about it and wanted to get outside away from the office and away from the charts and just talk about the practicalities of making money as a small time Forex trader. Can you do it and how do you do it? It's a subject that I get asked quite a lot and I made a video on this exact same subject about five or six years ago and I put a comment on the YouTube page saying look, I'll make an update because I think it's important to refresh these kinds of things because so many people are looking at trading, but they're not wanting to put too much into their account to start with or they can't afford to put too much into account to start with. So how do you go about being profitable, making money as a small time trader with a tiny account?

Yes you can make money – but once you know how to trade

And the answer is, the good thing is yes, you can make money. But like I've said to people in the past, look right now your account size doesn't really matter. If you're looking at any form of training, education course, whatever it might be, don't look at the value of that course and go, my account, $1,000, your course is $2,000, how on earth can I afford it? Don't look at it like that. The important thing for you right now is to learn how to trade and that's the really important aspect. You've got to understand the market, you've got to learn how you can trade yourself.

And I think that's really important and it's quite underestimated. It's something that people look over and they kind of value everything according to what they can afford right now today.

Client from Germany making great returns

Now I've got a client from Germany who joined me about six months ago. He is incredibly profitable on our forum site. He shows me his trades, but he has got quite a small account. It's under 1000 euros. Now he trades with nano lots, so not even micro lots but nano lots and he's constantly making really good money. He's making like sort of three euros, five euros, six euros. So when you look at his monetary value, for some people they go, "Oh, that's not very much." But when you look at what he's making per trade, and he's making lots of trades, because this particular guy I'm thinking of likes the shorter timeframe charts. He might be making between five and 10 trades a day and he posts on our forum site.

Yet when you add all those up, he might be making of two, three, four, 5% a day on his account. Now the important thing is also, because he came to me recently and said, where do I go from here? So my answer is quite simple. You've done the hard yards right. You've done the hard work up front. You've taken your time. You've not worried about your monetary return. You've attended webinars, you've understood the strategy, you've asked questions, you're on our forum site, you're constantly posting trades. You're not embarrassed that you're making like five euros on a trade. Someone else might be making 500 or 5,000, it doesn't matter. The fact is that he's still controlling his risk on all of his trades and he's still making a good percentage gain.

How do I make money though?

So bring that back to the situation Andrew, that's all well and good, but I need to live, I need to eat,