Forex Broker | Forex Market

When choosing a forex broker, the account type you select is very important. Let us look at the different forex account types:

Standard Account – The standard forex account is denominated in US Dollars. One standard lot is 100,000 units of currency. For example a long, 1 lot of GBP/USD would be buying 100,000 GBP and selling dollars. The dollar amount sold would depend on the GBP/USD exchange rate at the time of opening the position. Standard Accounts are offered by nearly all forex brokers. As a general rule of thumb, it is not recommended that you trade a standard account unless you have an account balance of at least $100,000. Many brokers will offer standard accounts to clients with a 5 figure account balance. For most trading styles, this would involve using too much leverage and could potentially result in catastrophic losses. A standard account is usually only suitable for experienced traders.