A forex trade no deposit bonus can be defined as a forex trading promotion or award that comes totally free from a forex broker to a forex trader without any form of initial deposit. This system of bonus is totally different from that of a deposit bonus which requires the fulfilment of an initial deposit before the award of a forex bonus. In other for a forex trader to obtain the forex bonus he is required to open a forex live trading account with a desired forex broker by filling an application form. After the registration, the desired bonus will be credited into the client’s account and be used for forex trading instantaneously.
ADVANTAGES OF FOREX TRADE NO DEPOSIT BONUS
IT GIVES MORE CAPITAL TO TRADE WITH
One of the greatest advantages of no deposit bonus is that it makes more capital to be available for forex traders in forex trading. This additional income gives one the ability to place higher trade orders while following the regulations of risk management. This medium gives more room for higher value orders and profit maximization.
NO DEPOSIT BONUS ELIMINATES TRADING EMOTIONS
Most decisions made by the investors are based on emotions is one of the detrimental factors for trade failure. Emotions based on fear of losing open a door way to trade crash. Because deposit bonuses are seen as a kind of free award and promotion, it gives forex traders the ability to trade on various currency pairs in which they would not have traded when using their own money. It totally eliminates the fear to trade and losses.
THE NO DEPOSIT BONUS CAN BE WITHDRAWN
Unlike other forms of forex bonus, the no deposit bonus can be withdrawn at any time by the forex trader. If the trader is seen to be involved I a lot of trade wins and have multiplied his bonus and turned it into increased profit, at the end of every trade season, the forex trader has the ability to comfortably withdraw in entire trading money including the bonus.
DISADVANTAGES OF FOREX TRADE NO DEPOSIT BONUS
THEY ARE RELATIVELY SMALL
No deposit bonus are known to be relatively very small in amount and can only be used for a micro live trading account. Because of the small nature of the money, the trading experience gained when trading with a micro forex account and that gained with a large forex account is quite different in terms of the high level of financial risk involved. In a micro forex account, there is a high level of money management which should be sustained by forex traders with more trading experience.
In other to have access or make a withdraw of the no deposit bonus, certain forex trading condition and requirements needs to be met. Most forex traders fail to attain these trading conditions and sometimes, have no form of promotion in his trading account.
The content of this article reflects the author’s opinion and does not necessarily reflect the official position of LiteForex. The material published on this page is provided for informational purposes only and should not be considered as the provision of investment advice for the purposes of Directive 2004/39/EC.