Question:
How much starting capital do I need to trade with (can I start with a small amount and work my way up)?
Answer:
There are several schools of thought on this. Some say you have to have at least $10,000 to start and it would be better if you have over $25,000. You should trade with a certain number of lots or you will not make it.
Not everyone has a large amount of investment capital to start with. We take a different approach when someone first starts out. The main objective when starting out is to learn how to trade and develope the skill set of a good trader. So you can start out with only a dream and a desire, get a part time job earn the initial investment capital. This will do at least two things. 1. get you the money to start trading 2. Help to develpe the discipline needed to be a good trader. If you do have some investment capital, no matter the amount, you need to only trade a small percentage of that money. We suggest not to trade with any more than 5% of your account on any one trade and not more than 10% at any one time. Sometimes it is better to start out with 1% or 2% per trade and no more than 5% at any one time. This way you can start trading, learning and developing the skills to become a good trader.
Do not worry about making money in the beginning be concerned about not losing money. Once you get the skills the money will come. You can also find other ways to earn money and add to your account so you have enough in the account to make a living
Now how much starting capital do you need. You can start out as small as you would like there are brokers that have no minimums on the amount you can start trading with. Yes you can work your way up. It does take time and discipline.