Olymp Trade is that kind of a broker which does not decant or filter traders according to their starting capital.
All traders, whether starting small or big, are well suited in Olymp Trade.
Why am I saying this?
Imagine you can start trading in Olymp Trade with as low as $10 with no maximum? Who cannot afford a measly $10 for their trading account really?
On the other hand, those that want to start big can deposit their huge sums and they will get lucrative incentives on top of it.
Our focus in this post is not on those who are starting big but those who want to start small.
You may want to begin with a small account of $10, $50, $100 or so on.
Do not be afraid because Olymp Trade got you.
The broker allows such small accounts down to a minimum of $10.
Mark you, you can begin trading with a trade size of only $1 on both Fixed Time Trade (FTT) Mode and Forex Mode. This is a convenience no one should ever underestimate.
Here at Joon Online, we also got you, to take you through the ropes of how you can grow that small account of yours in Olymp Trade.
Simply put, you can never go wrong with the Olymp Trade and Joon Online duo. Hehe.
How to Grow a Small Trading Account in Olymp Trade.
You must have seen testimonials everywhere of guys flipping small trading accounts to huge accounts within no time.
But that is not the kind of thing we advocate for here.
You understand that trading is not a get-rich-quick scheme and so if it is an issue of flipping small accounts in an unreasonably short duration, then that is where we draw the line.
Here, we advocate for patience, consistency, and honesty with ourselves.
It is the only way you can consistently profit from trading, no matter your account size.
So what are these things that you need to do if you have a small account, to ensure that it grows?
In this post, I will show you 6 things that pertain to how to grow a small account in Olymp Trade. Here is my list:
- Have a Solid Trading Strategy.
- Employ Robust Money Management.
- Learn From Your Mistakes.
- Do not consider the Small Gains.
- Do Compounding.
- Understand that the Same Principles Apply in Trading, Regardless of Account Size.
A Solid Trading Strategy.
I am not going to lie to you that you will begin making money just all of a sudden yet you are not grounded in the understanding of what you are doing.
Trading, as you know it, is a wide field of knowledge. For you to ace trading, you must have acquired knowledge and understood how things actually work here.
Before you understand the fundamental principles of the market, you are lying to yourself if you are determined to begin trading.
It is after you have understood the principles of the market that you can understand the essence of approaching trading with a strategy.
We all know that traders who trade without properly defined trading strategies are no better than gamblers, whose fate can only be described as doomed.
What is a Trading Strategy?
A trading strategy is a clear definition of your setups, the conditions which must be met before you take trades, your money management, and things to that effect.
Imagine entering a trade without any signal, entry trigger, and worse still, not knowing which money management strategy to apply in that trade.
Isn’t that too dangerous to try? I thought it was.
Now, imagine trying that sort of risky gambling with a small account.
You are just taking trades indiscriminately without any signals or triggers and no money management in place.
Aren’t those the ingredients which brew account blowing?
They definitely are and before you realize it, your account will all be blown, leaving you with nothing to continue trading with.
All I said was to show you that for all your trading, you need a solid trading strategy.
A solid trading strategy that has proven to work perfectly on previous trades.
You need to have demo-traded so much before you start live trading so that you make all your mistakes on a demo account and only cross to live trading with perfect skills.
It is on demo where you need to have developed a solid trading strategy with properly defined signals, entry triggers, and exit triggers.
To this point, I am sure you have already established which mode in Olymp Trade you are interested in trading – FTT or Forex.
Fixed Time Trade strategies are at times different from and at other times similar to Forex trading strategies.
Choose your mode well and exploit the strategies pertaining to it thoroughly.
With a solid trading strategy, I can assure you that you have just begun your journey to growing your small account in Olymp Trade.
Robust Money Management.
We talked a little bit about money management in the previous section as we were discussing the solid trading strategy that you need.
In this section, I would like us to discuss money management as pertains to growing small accounts in Olymp Trade, in-depth.
So what exactly is money management?
Money management is a set of rules which define your risk appetites.
It defines how much of your account you are willing to risk for a certain trade, which needs not exceed 5%.
It also shows what strategy you have in place to recover lost money from your account, a perfect example being the Martingale money management system for FTT traders.
Money management also defines your risk to reward ratios.
A proper risk to reward ratio never dips below 1:2, to mean that for every $1 you risk, there needs to be a potential to gain $2 in that trade setup.
You can have a risk to reward ratio of more than 1:2 but if it is less than that, then consider trade setup as good as invalid.
In brief, money management is everything to do with the conservation of your small account from depletion as well as attempts to recover and grow that small account.
The money management strategy you employ depends on the mode you are trading on in Olymp Trade.
Different money management strategies apply to FTT traders from those that apply to Forex mode traders.
Fixed Time Traders can apply fixed trade size, parley, and martingale money management systems among many others.
Forex mode traders can use proper risk to reward ratios, proper position sizing, among others.
To further understand money management, you can read the post ’10 Best Ways to Manage your Money While Trading in Olymp Trade’.
Money Management is as good as a solid trading strategy.
Guard your small account against depletion and also make attempts at growing it.
Without the two, just forget about growing your small account and begin your journey to blowing that account, because no matter how long it takes, the blowing will certainly come.
Learning from Your Mistakes.
Yes, you made the gross mistakes that you could while developing your solid trading strategy on a demo account.
But are you sure that there are no more mistakes to make even on a live account?
To answer that, I can assure you that even now, I still do make mistakes in my live account, and that can tell you whether there are more mistakes to make on a live account or not.
Now, once you make mistakes, you need not stop at the fact that you made them.
Rise above having made the mistake and learn from it. Use your mistakes as a springboard to becoming a better trader.
What I am saying is that maybe there were loopholes in your ‘solid trading strategy and your ‘robust money management.
Do you carry the mistakes with you or do you correct them as soon as they arise?
Needless to say, was that you must have a trading plan in which your solid trading strategy is contained.
You also must keep a trading journal recording in detail all the trades that you take.
It is also necessary to review your trading journal maybe at the end of the first trading week and essentially all trading weeks.
Here is How to Review your Trading Journal:
- Note the setup which won most of the trades.
- Note the setup that lost most of the trades.
- Trade more of the winning setup.
- Stop trading the winning setup.
- Adjust your trading plan and strategy according to the new findings.
So how do you learn from your mistakes?
By adhering to your trading plan, keeping a trading journal, and reviewing it at regular intervals to correct the mistakes it portrays.
If you keep repeating the same mistakes, is your small account even safe?
Won’t you one day make so many mistakes that will blow it all?
Understand that you have a small account and do the right thing as far as mistakes are concerned.
Not Considering the Small Gains.
Yes, I know you came here to make money.
But ask yourself, with what size of an account?
We both agree that it is a small account.
What that means then is that you need to expect small gains but if your focus is on the small gains, you will start bending the rules.
Greed sets in when you begin thinking that you are underperforming, forgetting that it is all your account can manage.
I have always been giving an example of traders who want to flip their small accounts from $10 to $100 in a single day. How is that even possible?
Do you understand that even the most experienced traders of all times only expect about 20% of their trading account annually?
Then who are you, trying to make 900% in a single day? Are you being honest with yourself in the first place?
I have quarreled a lot. Hehe.
Understand, trading has never been and will never be a den for quick money.
Reason with reality and come to terms with the fact that with a small account, you can only afford small gains.
However, don’t put your focus on how small the gains are, but rejoice that the account is growing each day, no matter the magnitude of growth.
If small gains are bothering you so much, in a way that you can’t help but only get depressed, then I have a way out for you. Consider the next section for more guidance.
Ever heard of something like ‘the miracle of compounding’ or ‘the power of compounding?
It is what we are about to explore under this section.
So what exactly is compounding and what has it to do with growing small accounts in Olymp Trade? You are just about to find out.
Compounding is the process where interest is credited to an existing principal amount as well as to interest already paid.
What we mean here is that after investing the principal amount, it will accrue interest making a new principal which will accrue more interest making a new principal, and so on.
Simply put, progressively, your principal is growing and so will the interest because interest is directly proportional to the principal amount.
So how does this apply to trading really?
It is simple.
Do you see that small account of yours?
The small amount you deposited to begin trading is the principal amount.
Interest is the gains you get as you continue trading, applying your solid trading strategy, robust money management, and learning from your mistakes.
Compounding Made Simpler…
What we mean by compounding is that you should not be fond of withdrawing.
Allow your profits to accumulate in the account as you continue trading every day. If anything, the more your account grows, the more principal you have in your account.
If you were trading with $1, as your account grows, you may find it suitable to begin trading with $2.
As the account grows further if you do not withdraw, you may begin trading with $5 and so on until risking $100 in a single trade is not a problem to you.
Do you now see the power or miracle of compounding?
If you keep withdrawing every other time, you will keep making small profits every other time.
However, if you compound your profits and allow that account to grow, you will have the potential to make bigger and bigger profits as the compounding continues because your trade size ideally increases.
Get my point?
This has actually been the secret of many small account owners, besides doing the first four things we mentioned.
It is a miracle that has actually worked to the benefit of many and so it can also work for you.
Arm yourself with a trading strategy, money management, learning from your mistakes, worrying less about the small gains, and then try this. You will come thanking me later!
Understanding that the Same Principles Apply in Trading, Regardless of Account Size.
Lastly, before we come to a close, here is something you must understand.
Do you feel less of a trader just because your account is small?
I will tell you that the same principles apply in trading, whether your trading account is small or huge.
Now that you have done what was there to be done – having a solid trading strategy, money management, learning from your mistakes, not despising the gains and compounding, relax.
Those are the same things that even Warren buffet, with all his huge trading accounts, does.
Let me wake you up from your reverie by slapping you with this fact.
Even with a huge account, you can still fail and blow.
That is if you fail to adhere to the disciplines of small account traders that we mentioned in this post.
What is a huge account coupled with a lack of knowledge about trading, gambling around the market, and a lack of money management?
It is equal to wasted money and a blown account, if I may say.
So what then?
As you trade on that small account, do not underestimate your capacity as a trader.
As you grow that small account by compounding and all other stuff we have talked about, adhere to the same disciplines.
You will thank yourself later for enduring when you have already made it in trading.
Were you wondering how it would be possible for you to grow your small account in Olymp Trade?
Don’t you now have the answers to your questions?
Make that deposit today and follow to detail every idea that we discussed in this post. You will be shocked at how consistently your small account in Olymp Trade will grow.