Definition – What does Forex Mini Account mean?
A forex mini account is a brokerage account that allows traders to buy and sell in smaller amounts than a standard lot. A lot is 100,000 currency units, making it an intimidating trade for a beginner. Forex mini accounts allow the trader to use smaller trading amounts that he or she may feel more comfortable with. Forex mini accounts are also known simply as mini accounts or forex minis.
ForexTerms explains Forex Mini Account
Forex mini accounts allow a trader to work in units of 10,000, which lowers the risk in an individual trade and allows the trader to make a wider range of trades with limited capital. Mini lots are also a nice way to bridge gaps, such as when a trader wants to take a position larger than one standard lot, but not two standard lots. Forex mini accounts have contributed to making forex trading more flexible and less intimidating for beginners.