Thursday, September 27, 2012

Online Trading Lowest Minimum Trade Size

I think I have seen an online trading lowest minimum trade size which will never be beaten. Now I suppose it is possible to parse a min amount even smaller than what I have seen but as best I can tell there will never be as small a trade which potentially works out to be as efficient as this one for the low capital investor.

How Low Can Binary Options Trading Contracts Go

As my long time readers are no doubt aware, I like to write about binary options trading because it is the simplest investment to understand and easiest for a new-comer to start making money day trading online. It has also long been known to offer trade sizes in micro amounts down to $25 or less and account opening minimum deposits in the neighborhood of $100. Recently however I have been made aware of a relatively new platform which offers the same 70% daily (or hourly or even minute by minute) yields - but with a minimum trade size of only $5!

I really thought I had seen it all with a minimum investment amount of $10, but $5? That's just plain crazy and yet as of today is possible if you open an account with the right binary options broker. By using quick $5 trades on their 60 second contracts even the person with the tiniest amount of capital at their disposal can generate perhaps $3.50 in income every 60 seconds (if they are good enough). That equates to about a potential of $210/hour for the willing day trader. Now I don't suppose even the best binary options trading specialist is going to be so good that they would hit that level on a regular basis but tell me this: where else in the world is it possible to make so much money with so little in so short a time?

High Yields Short Durations and No Fees Make Low Minimum Trade Sizes Work for Low Capital Investors 

You don't necessarily have to understand all the complicated terminology to know that if there are significant fees assessed each time you make a transaction then if you make a lot of transactions all your money will be gone. What then if there were no transaction fees and the potential return on investment was nearly equal to the amount of money risked? That is the question everyone with a couple hundred bucks ($250 needed to open and start trading) is asking themselves these days. What do I have to lose if I take this few bucks lying around useless in my savings account (or worse still - an abandoned brokerage account) and open a no-fee / high yield / low minimum trading account? For more than a few people the answer is: I don't have much to lose so why not?

Other Alternatives to the Online Trading Lowest Minimum Trade Size Broker

The fast pace of the 60 second options may not be for you / for everyone, but there are plenty of other binary options brokers offering accounts with varying minimum deposit and or trade sizes (see the top binary options brokers at a glance). This kind of trading is one of the few remaining investment types which continues to grow while mainstream investors continue to shrink away from traditional markets. As I said in my open this $5 contract is the lowest I've seen and certainly can be efficient for the highly accurate trader but who knows how low these trade sizes can go, right?