What’s the minimum amount of money recommended to start trading?

Each of the broker platforms has a stated minimum required cash balance.  This reflects how much capital you have to hold with them to be able to access a ‘live’ trading account. The minimum at some brokers is as low as $150 but a more mainstream figure would be around $500.  The higher figure might appear to be an obstacle to you getting into trading but the main benefit of a larger balance, combined with smaller average trade size, is it helps traders keep within the target guideline of risking only 1% of total assets on each trade.  Holding larger balances can also gain you more favorable terms and conditions: such as tighter bid-offer spreads or access to higher grade research and analysis tools.  A further consideration is that platforms also offer ‘bonuses’ for signing up with them; so if you’re new to trading and have limited funds, knowing what promotions are currently running could be important to you.  Also remember that if you make losses that take you below the minimum balance you’ll need to top up the account with fresh capital to get it back up to where it needs to be. The functionality of each site is of course something else to consider.  Some broker sites come across as more user-friendly and tailored specifically to new or novice traders.  Others, whilst obviously dedicating resources to on-boarding new clients then have on offer a wider range of more advanced services to support intermediate and advanced traders.  There’s a lot of choice out there and it’s not unheard of traders having different accounts at different brokers based on which one best fits a particular type of strategy. When asking what is “recommended” you’ve got straight to the heart of the matter.  What you “can” do, is open an account with $150 and start putting on some trades, but what is “recommended” is to research and develop your own strategy and then test it by putting on trades in as small a size as is possible. If you only have limited funds then that might influence which markets you choose to, or can, trade.  This is because holding positions in certain assets, such as some commodities, uses up more of your capital as margin.  It might be the instrument is only tradable in a larger unit size or is seen as more volatile and therefore has a higher margin rate applied to it.  The result is that this can lead you into a situation where a larger proportion of your capital will be in one position and this ‘concentration’ risk is best avoided.  Trading something very liquid such as a Major Forex pair should allow you to put on a greater number of smaller positions, reflecting different strategies and diversify the risk associated with one of those making significant losses.