For FX Beginners: How to open Tickmill's $30 No Deposit Bonus account?

Opening Tickmill’s $30 No Deposit Bonus account

Tickmill is offering $30 No Deposit Bonus.

The “No Deposit Bonus” is a type of bonus you can get for free to your live trading account.

Tickmill welcomes new traders by giving away $30 for free, so you can start trading with the fund without making a deposit at all.

By receiving Tickmill’s $30 No Deposit Bonus, you can experience the real Forex trading with the real money, without risking your own funds.

It’s a great opportunity for new traders in the Forex market, to practice and also to experience the trading conditions of Tickmill.

Go to Tickmill Official Website, open a live trading account and complete the account verification with documents (ID and proof of address).

Then request for the $30 No Deposit Bonus today.

For new traders of Forex, Tickmill also has a complete set of educational materials available in Tickmill Official Website.

This page is also for traders who are just getting started in the Forex market.

Are you new to the Forex market, and wants to start trading with Tickmill’s No Deposit Bonus?

Continue reading the page here to understand the mechanism and basic knowledge of Forex trading.

Go to Tickmill Official Website

What is Forex?

FX stands for Foreign Exchange and generally refers to foreign exchange margin trading.

In the case of stock trading, you buy and sell stocks.

If you buy the stock of company A and sell it when the price goes up, you can get a trading profit.

Conversely, if you sell when the price drops, there will be a trading loss.

So what do you buy or sell in Forex trading?

Transactions can be in currencies such as USD, Euro and GBP.

Get Access to Tickmill’s Education

1. Example of Forex trading

Now, let’s see the actual Forex trading using the most familiar USD/JPY example.

Suppose that 1 USD is 100 JPY, and buy 10,000 USD at this rate.

When 1 USD rises to 101 JPY after buying it, if you sell 10,000 USD, 1 JPY per USD, 10,000 USD will make 10,000 JPY.

On the contrary, if 1 USD drops to 99 JPY after buying it, if you sell 10,000 USD, you lose 10,000 JPY because it is 1 JPY / 10,000 USD.

In this way, it is fundamental to aim to profit from fluctuations in market prices.

There are also transactions that aim to earn profits by buying currencies with high interest rates, which we will explain later.

Go to Tickmill Official Website

2. How does Forex trading work?

Next, about the mechanism of FX trading.

In the above example, you buy 10,000 USD when the price is 100 USD.

The Japanese Yen required to buy 10,000 USD is 1 million JPY.

In the case of foreign currency deposits, you actually convert 1 million JPY into USD.

It is an exchange of 10,000 USD = 1 million JPY.

In the case of FX trading, it is possible to trade 10,000 USD with a margin of 100,000 JPY, for example, with a mechanism called “leverage”.

What is important at this time is that 100,000 JPY is not the money used directly for trading, but the collateral deposited in the Forex company.

You borrow one million JPY and buy ten thousand USD. Then sell $10,000 and receive the JPY back at the current rate.

This is the basics of trading.

When borrowing and returning it, if 1 USD is 99 JPY, it will only be 990,000 JPY, so you will lose 10,000 JPY.

There is margin money as collateral at that time.

If you want to enter the market from selling USD, you borrow 10,000 USD, convert them to JPY, then buy back USD and pay JPY.

If the USD is high when you buy it back, there will be a loss, so the collateral at that time is margin.

The same applies when the JPY does not get tangled.

If you buy EUR/USD, you borrow the USD, buy the EUR, then sell the EUR and receive the USD.

Go to Tickmill Official Website

3. How much money is required for Forex trading?

How much money do you need to Forex trading?

We recommend starting with as little as possible until you get used to it.

The ratio of the amount of money (margin amount) remaining in the account including the deposit amount and all profits and losses in the transaction to the actual transaction amount is called leverage, and it is normally up to 500 times.

Leverage is 500 times, which means that if you deposit 1,000 USD, you can trade for over 20,000 EUR.

If you buy 20,000 EUR for 1 USD per EUR and sell it when it reaches 1.01 USD, the profit will be 200 USD.

It is 20% more than the original 1,000 USD. Of course, if the market moves in the opposite direction and it sells for 0.99 USD, the loss is 200 USD.

If you lose 5 times in a row, you lose your original money.

Price movements of about 0.01 USD a day are not uncommon, so it is quite a high risk and high return.

If you trade like this from the beginning, there is no way to continue, so let’s trade with a little less leverage.

Then, how much money should I put in to trade first?

If you want to trade for 10,000 EUR at a time, you want about 3,000 to 5,000 USD.

However, recently, the number of places where you can trade in units of $1000 has increased considerably.

You might think a bout 300 to 500 USD is enough for a transaction of 1,000 EUR at a time.

Go to Tickmill Official Website

Why is Forex trading popular?

What is the attraction of FX? Forex trading, which is a relatively new investment destination born in 1998, has expanded the market rapidly thereafter. Margin deposits for the fiscal year ending March 2019 are 1.4 trillion yen for the entire industry. The transaction amount is around 4000 trillion yen, depending on market trends, and it is the second largest market after individual stocks as an investment destination for individuals.

The reason for this growth is that it has great appeal for individual investment.

The appeal of this FX can be roughly divided into three.

1. You can invest from small amount

With a function called leverage, it is possible to trade much more money than the actual deposit amount.

Since there are few individual investors who have large amount of funds, a mechanism that can aim for a large profit even with a small amount is a big attraction for any traders.

With Tickmill, you can utilize up to 1:500 leverage for Forex trading.

Go to Tickmill Official Website

2. You can trade 24 hours a day

In the case of the stock market, basically you can only trade from 9 am to 3 pm (with lunch break between) when the exchange is open (excluding some night trading).

On the other hand, FX can be traded 24 hours a day, from Monday morning to Saturday morning (more precisely, in the evening on the US market).

After returning from work and taking a break at home, you can trade as much as you want.

This is a great attraction for those who normally work during the day.

The more information about the trading hours of each financial instrument, please go to Tickmill Official Website.

Visit Tickmill Official Website

3. You can make profit from any market price movements

Thirdly, FX is attractive due to the characteristic of transaction system.

For example the Lehman shock and the recent shock of the new coronavirus, when the world economy is recessing and stock prices are deteriorating, the stock market where trading from buying is the basic is only a risk, but in the case of FX, you can trade from sell or buy, so it can be an opportunity in any situation.

In the event of a crisis, there are not many investment destinations that can aim for profit, so this is a big attraction.

With Tickmill, you can trade for both directions and make profit from both rising and falling prices on any financial markets.

Visit Tickmill Official Website

Risk of Forex trading

There are various attractions to trade FX, but don’t forget that there are risks.

It is basically aimed at profits from price movements, but it is not possible for any traders to predict the future of the market with 100% probability.

In the case of a stock investment, if you keep holding it when the price drops, it may come back someday.

You can bring it with you unless you go bankrupt, so you can forget about it.

However, in the case of FX trading, it is possible to trade with a larger amount than the original deposit, so if the unrealized loss becomes large, the transaction may be forcibly terminated, so be careful.

Depending on how leverage is applied, high risk and high return investment is necessary, so awareness is required when trading with greater risk.

The profit or loss due to price movements is determined by the transaction amount, not the original deposit amount.

If you buy 10,000 dollars and move 1 cent, the profit/loss is 100 USD.

If the deposit is 1,000 USD and you make a profit of 100 USD, you will get 10% of the principal.

If you lose, you will lose 10% of your principal.

If you do the same thing with a deposit of 100,000 USD, you will get 1% of the principal’s profit or loss.

Leverage is the ratio of the transaction amount to the principal (deposit + the difference in profits and losses in the transactions or the money remaining in the account for the transaction).

If 1 dollar = 1 euro, and if you have 10,000 USD, the leverage is 10 times if the principal is 100,000 USD, and the leverage is 100 times if it is 1 million USD.

High leverage means high risk. On the contrary, if the number of wins continues, it may double as soon as possible, thus it is High risk and high return.

Fortunately, Tickmill supports NBP (Negative Balance Protection) which prevents any accounts from going negative balances.

Go to Tickmill Official Website

Concept of Stop Out

In the explanation of high leverage, when the principal will be lost, but if you continue trading until it disappears, you can lose more than the principal depending on the market price.

To prevent this from happening as much as possible, there is a system called forced “Stop Out” that forces the transaction to be terminated before that.

The forced stop out is a liquidation of the positions you have at the time of trading at the market rate at that time, giving a valuation profit and loss, and calculating how much margin remains in consideration of the valuation of profit and loss.

It is a mechanism to automatically close the position and avoid the exceeded loss if the margin maintenance ratio falls below a certain level.

In case the account balance goes negative, Tickmill fixes the account balance to zero with the NBP.

Visit Tickmill Official Website

Start with a Demo or Real account

Now you learned about the mechanism, attractiveness, and risks of FX.

Now your next step would be choosing the broker and opening an account.

Everyone is happy to make money, and it’s hard to lose.

The important thing to note here is to understand exactly how much money you can trade, what kind of currency pair you will trade, how much you will move, and how much you will make or lose.

Demo trading is useful for understanding.

Demo trading is not an actual real trading, and you can trade using the demo account under the same conditions as the actual trading system.

By trading with a demo account, you can get a sense of how the price moves and how much profit or loss it will generate.

You can also learn how to order, limit price, OCO, IFO, etc.

Although it is unavoidable to lose as a result of price movement, it is too bad to lose due to operation mistake, so let’s get accustomed to demo trading properly.

Trying out some Forex traders demo accounts and choosing the one that is easy for you to use is one of the criteria for choosing a broker.

With Tickmill’s $30 No Deposit Bonus, you can also start trading without risking your own funds, in the real market with real account.

Go to Tickmill Official Website

Start your real Forex trading

After successfully opening the account and completing the deposit, you can finally start trading Forex.

Even if you think that you could make profit by demo trading, it is important to start trading with a small amount when you actually start trading in a live trading account.

Even if you lose in demo trading, it is difficult to consider it as your own.

Especially in the case of evaluation loss, it seems that there are many cases where you leave it as it is without worrying about it.

However, when you trade using real money, the feeling when you make a gain or loss is totally different, unlike when you are doing a demo trade.

If you suddenly trade with a large amount of money, you may make an unexpected transaction when you get a valuation loss or valuation profit, so you get used to the feeling that you actually make a profit or loss with a small amount of trading.

Anyone can buy and sell in the actual transaction, but the important thing is that you can make money from the transaction.

To do that, you need to study to some extent.

There are plenty of FX books in the investment book corner of a large bookstore, so let’s pick up one that seems easy to understand.

It’s also a good idea to get acquainted with transactions through blogs and videos.

Once you get used to it to some extent, you may want to study the chart more and make use of it in trading.

There will be a study method that suits your interests.

Knowledge is a weapon, so please make good use of it to earn.

Go to Tickmill Official Website