Energy Trading Accounts

2 Types of Energies Trading Accounts

In recent years retail energies has grown hugely in popularity and the demand for different types of energies trading accounts has grown. There are many different energies account types available to any energies trader who wants to invest in the online energies market - Energies Account Meaning.

The energies trading market is a highly energies leveraged market for speculating on energies instrument valuations. Energies traders can purchase large amounts of energies units using leverage - Energies Trading Leverage is what makes energies trading attractive to many online energies traders - with energies leverage a trader can make more profits or losses because they use less of their capital and borrow the rest.

There are different types of energies accounts available to help investors better manage their energies account capital as well as their energies trade transactions.

How a Real Energies Trading Account Looks Like

It is therefore important that the traders consider what they want to get out of their energies, before deciding on the energies trading account type to open.

Below is a comparison of the two types of energies accounts commonly used to trade energies. The energies account types review below explains the different features of each of the types of energies accounts.

1. Standard Energies Accounts Explained

Energies Trading Account Meaning - Standard Energies Trading Account. A Standard Energies Trading Account is denominated in US Dollars and energies trade transactions are placed using standard lots. One lot is also known as one contract. Minimum opening capital - at-least $10,000 USD.

1 contract refers to the minimum size of a single energies trade transaction. This energies account option is the most suitable for energies traders with enough capital to invest in energies - this energies account option requires $10,000 to $50,000 dollars in starting capital, For this standard energies account the trader will not be undercapitalized and with good energies money management guidelines and energies money management strategies, this standard energies account option has the best chance for profitability because it is not undercapitalized. Under capitalization is what makes most traders in energies not profitable.

It isn't recommended to open a standard energies account unless you have an account balance of at between $10,000 minimum and $50,000.

Professional Money Managers recommend $50,000 Dollars minimum to open this standard energies account and only opening trades with only 2% of the trading capital you have in your energies account. However, most online energies brokers will still open this standard energies account for you if you have more than $10,000.

With energies leverage of 100:1, you will borrow from your energies broker (with energies leverage of 100:1, your energies broker gives you $100 dollars for every $1 dollar that you have in your energies account, therefore if you have $1,000, the broker will give you $100 dollars of energies leverage for every $1 dollar you have, meaning after energies leverage you will have $1,000*100=$100,000 which you can then use to trade energies trading).

2. Micro Energies Account Explained

Energies Trading Account Meaning - Micro Energies Trading Account. Micro Energies Trading Accounts use lot sizes of only equivalent one-hundredth that of a energies standard lot. These Micro energies accounts are often appropriate for energies traders without a lot of energies capital and can sometimes be opened with only a $5 minimum balance.

This Micro energies account option allows the trader to open trades in micro lots. 1 energies micro lot is one-tenth of a energies mini lot and one-hundredth of a energies standard lot.

This Micro energies account option is generally best suited for energies account equity balances that are between $1,000 and $5,000

In energies trading, one energies standard lot is the standard transaction minimum of a given energies instrument traded in the energies market. But many energies brokers offer fractions of this energies standard lot to enable more retail energies traders to access the energies market. Being able to offer energies micro lots reduces the minimum energies trade transaction size thus giving the beginners and also those energies traders without a lot of energies capital to start trading and get a feel of the energies market without investing a lot of energies capital.

There are learn energies online tutorials that a trader can read even before opening a real energies account, and to get extra practice in energies before opening a real energies account a beginner trader should open a practice Energies demo trading practice account with a broker - so as to practice placing energies trade transactions before opening a real energies account and investing with real money.

During the energies training period using the energies practice trading account, the beginner energies trader will learn the key factors needed to succeed in energies such as: energies education, energies money management, energies plan and energies systems.

The types of energies trading strategies used and the skills required for any of these 2 energies accounts are essentially the same - those energies skills and energies strategies required for the Standard energies account or Micro energies account are the same the only difference to be adjusted are the energies money management guidelines for each energies account type.