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ALPARI CENTS ACCOUNT OR NANO ACCOUNT
July 29, 2020 9:59 pm
Alpari nano account also known as Alpari cents account is an account that is denominated in cents and not dollars, remember that cents is a sub units of dollars (I.e. 100 cents is equivalent to $1)
You might be wondering why did Alpari introduce a cent account or nano account and why would anyone wants cents and they can actually make their money in dollars.
WHY DID ALPARI INTRODUCE A NANO ACCOUNT OR CENT ACCOUNT
For those who are already familiar with forex trading, you will understand that your account balance determines what type of market you can trade at specific times (either peak periods or not) but that not the point of our discussion right now and also that same account balance determines the type or amount of lot size you can use in trading at a particular time.
So the main reason here that makes Alpari to introduce a cents account is that when your money in the standard account drops quite low and you are looking to trading, you can quickly transfer your money into the cent account and trade pending the time you will be able to fund your standard account to trade. So here you have it as simple as ABC. So let’s answer the question as to why anyone will want to trade with a cent account.
WHY PEOPLE TRADE WITH CENT ACCOUNT.
The reason why people trade with cent account is just to minimize risk and test their strategy on the real market using real money.
The above reason can also be tested with a demo account but you won’t behave the same way with real money like the way you will behave with virtual money. New Traders sometimes uses this strategy to test how stable and logical they can be when the market is in motion but with a very minimal risk.
So imagine you using a lot size of 0.1 on a live account but the account is in cents, if you are losing let say $200, that will translate to a loss of $2 if it is a standard account, imagine if you had use the same thing on your standard account and your strategy led to such a loss, it will be quite hard to stomach such a loss unless your account balance is in thousands of dollar and if you win, that will be a profit of $200 on the cent account but $2 on the standard account.
So Alpari cents account or nano account works just like your normal standard account but whatever you gain or loss there will be in cents. And if you are wondering whether Alpari is good or not, you can get the review here.