FXCM offers a Micro account with a $50 minimum deposit. The purpose of this thread is to explore the viability of a $50 account. Can one actually build an account with a minimum deposit?

The minimum margin amount for most pairs is $32 and up but, several pairs can be traded for $20-$24. The exotics are out because some of those require $70 or even $140. Trading the lower requirement pairs leaves just enough room for a few small draw-downs, provided only one micro lot is traded.

Since this is a very small account with little room for error entries must be picked carefully. Given that, there is no way this can be traded on fundamentals and must be traded on technicals. Also, trades may be sparse and far between but, I intend to trade this until it falls below the minimum account value or grows over time. To be realistic, I've set up a real account that will be traded. All trades will be announced before they are made and announced at least 1 hour in advance. Stops and limits, if applied, will also be stated. Each trade will be accompanied by a chart and/or explanation of the entry. There will be no veiled entries that can be hemmed and hawed into an either/or statement. They will be black and white, to the point, exact entry/exists.

Boom or bust? How many trades will it take to blow-up? Can it be built into a Mini? A fill sized account? What kind of stupid mistakes are headed this way. Will any "lucky" entries be made? Over the next few weeks I intend to find out. Since the trades will be stated beforehand, anyone can lose or make money just as I do.

Whether it works or not I think this can safely be said, trading a small micro account is a more realistic training ground than using a demo, as a live account injects the "emotion" factor that just doesn't exist in a demo account. There is nothing stronger than seeing your hard earned money flushed down the toilet in a trade gone bad. A demo gets reset, a live account needs fresh deposits...a big difference.