Maybe you have now found several brokers that you will choose one of them and will open a trading account. What actually the requirements for opening a trading account?
We will try to discuss it to provide an overview of how to open a forex trading account? Maybe you have already tried the demo account facility on several brokers. And will soon determine the choice of a broker who will be a service provider on access to forex trading through their trading platform.
TenkoFX broker, a brokerage firm that serves forex traders to trade on the forex, CFD and crypto trading markets, regulated by the International Financial Services Commission (IFSC) of Belize.
Already have experience since 2012, it has received positive reviews from traders who have used trading platform services, on ECN, STP and Crypto accounts
Step by step to open account forex
Before you start to open a forex account on a live account, it is better to try several trading platforms on different brokers by using a demo account.
Be patient not to rush into depositing your money with a broker before you have sufficient skills when practicing using a demo or paper trading account.
Many traders lose money before six months, so make sure that you have gone through the demo account at least six months and evaluate the progress of your abilities.
After you pass a demo account with several brokers then you feel you’ve found the best, the next step is to determine which broker you choose.
For example, if you choose a TenkoFX broker, then you will need to choose the type of account you will use, then register, and you will also need to verify the account.
Requirements to open a forex account
There are some things that need to be a concern before opening a forex account, maybe not all brokers will apply the same requirements, but understanding a few important things will make it easier for you when starting to open a forex account.
- Phone Number
- Type Account Currency
- A password for your trading account
- Date of Birth
- Country of Citizenship
- Social Security Number or Tax ID
- Employment Status / Job Status
- Financial Questions
- Annual Income
- Net Worth / Revenue
- Trading Experience
- Purpose of Trading
Maybe if you opening a forex account, not all of the information above will be asked by the broker, this also depends on the policies of each broker. But maybe you are wondering why brokerage firms ask for information about the type of work and annual income that is your personal area? The best answer is due to obeying the law.
Forex has been a wild industry since retailing some time ago and because of regulations have been put in place to “protect” account holders from various types of violations of the law.
When you reach the final step of opening your account, you will see a risk disclosure. You must take this seriously, forex is a difficult business for beginners if they are not careful.
On average traders, there are more losers than winners. Brokers will remind you that forex can be risky business, all brokers give this warning. After you submit all your information for processing, the broker will verify it.
Usually, the broker will ask you to send some verification documents such as official identification, and other documents used to verify your name and address. It might take a day or two, but it doesn’t matter to be worried, it’s a natural process.
Choosing an Account Type
If you are ready to start trading with forex on a live account, the first thing to consider is choosing the account type.
If you are an individual user you choose a personal account, but if you are a company user you choose a business account. Previously you also need to read and know what types of accounts are offered by brokers.
For example, TenkoFX offers STP accounts, ECN accounts, and or Crypto accounts, you need to consider using these types of accounts for your ability and amount of capital.
Some brokers may offer Nano, Mini, and Micro accounts, in addition to standard accounts, you can adjust to your needs.
But when you have started to open your platform, you can use custom lots, maybe the smallest lot is 0.01 lots, but there are also brokers who give the smallest lot of 0.10 lots, this is usually on a cent account.
By using a custom lot you can manage risk in each of your trades easily.
If you want you can use this service, you need to follow the rules and steps set by the broker to use this service.
But are you really going to give up your money for someone else to manage? if you are a trader investor then this is a challenging choice.
Some brokers may set a minimum deposit to use managed account services, this may be a drawback, you cannot start with funds below that minimum.
If you visit the brokerage site of your choice, you will find a registration menu, and after you click on the menu, you will be directed to the registration form page.
Different brokers usually also have different forms that must be filled, but of course, you easily understand it to fill the forms in accordance with the available fields
But before, you need to consider the types of deposit and withdrawal methods available because you might not all have a payment processor account provided by the broker.
For example, the broker only supports payment by wire transfer and MasterCard, you need to consider the shipping costs and transferring time.
But now there are many ways of instant payment, for example with PerfectMoney, Skrill, Webmoney and so on.
The more choices of payment methods, it will be easier to choose one type that suits your needs.
Read also Trading with 100 dollars on forex or CFD
After you fill out all the forms needed in the registration process and submit the form to the broker, then you will receive an email containing instructions to perform the verification step.
Usually the first is to verify your email by clicking the link sent by the system.
If all processes have been completed, you will get a registration email that has been completed along with trading account number information, password, PIN, and so on.
You must write down all the information and store it safely, do not let your password and PIN be known by others, this is to maintain the security of your account.
Login to cabinet trader
Now you can log in to the Trader’s Cabinet using your email information or the trading account number and password that you have obtained.
From the trader’s cabinet, you can access all available menus, you can make a deposit using the choice of payment method that matches the payment instrument you are using.
If you have made a deposit, you can start trading through the available trading platforms, most brokers use MetaTrader 4, although currently some also use MetaTrader 5.
To use a trading platform, you visit the platform download page, then install it on your computer. To start trading, you must use a trading platform to log in to your trading account. You need a trading account number and password, and also a trading server that matches your account.
This is very easy when you have logged in successfully, there is a balance you have available a number of deposits that you transferred. Then, start trading.
How open a forex trading account? Creating a forex account is actually very easy, you only need all the necessary requirements as a step to register a new account with a broker.
But actually, the most difficult thing in forex trading is getting profit from every order. So before using your real funds, it is advisable to train with a demo account. This may be some people underestimate, because in a demo without any emotions involved in it.
But trust me, this will be very useful for training a trading plan with your trading strategies and techniques. And another rule that becomes the golden rule is, only spend money that is afforded to lose.
If you like to communicate with fellow traders through a forex forum, you will often find threads stating that 90% of traders fail and only 5% can get income from forex on a regular basis while the other 5% are still in the stage of improving ability.