Our partner, XM, lets you access a free demo account to apply your knowledge.
No hidden costs, no tricks.
If you are a trader who is looking for a micro account option, then you should definitely consider XM. This Forex broker offers a wide range of features that will allow you to trade in the way that you want to.
Down below, we will take a look at some of the key features that XM offers its traders. We will also discuss the different benefits that come with trading on this platform. So, in case you are interested in learning more about what XM has to offer, then keep reading.
The XM Micro account has its own important set of characteristics that might have a big influence on your trading journey. Therefore, you need to have at least a basic knowledge of them, so you can be sure if this account is right for you. Let’s have a look at all of the features together.
Spreads are one of the most important things to look at when choosing a broker. For XM trading accounts, spreads are tight and competitive, and that makes the broker attractive to all kinds of traders.
Specifically for the XM Micro account, spreads start from 1.0 pip on major pairs and there are no additional fees applied. However, all traders must be cautious about smartly using it to their advantage. While trading you should always consider liquidity and expanding spreads.
Another thing you have to look at when choosing an account type is leverage. The XM Micro account offers 1:500 leverage, which is not very low but not too high as well. Basically, if you are a trader with general trading experience, this ratio will look pretty attractive to you.
The XM Micro account offers a load of currency options. One can choose from USD, EUR, GBP, JPY, CHF,AUD, HUF, PLN, RUB, SGD, and ZAR. Considering that this account type is the best choice for newbies, they may not need all of them, but it is always good to have some options, even if it is just for educational purposes.
Trade volume refers to the quantity of an asset that has been exchanged in a specific period of time. The transaction volume on the XM Micro account lot size can be as low as 0.1.
We've gone through a lot of the basic information on the XM Micro account, and have covered its essential elements; now, let’s look at the list of pros and cons.
One of the advantages of the XM trading platforms is that it allows traders to hedge. This means that you can make trades in a way that will help to secure you from risk, by doing things such as opening long and short positions at the same time.
The XM Micro account also comes with negative balance protection. What this means is that even if market conditions abruptly turn against your transactions while you are using leverage, you will never fall into the trap of ending up with a negative balance.
When opening a new account with a Forex broker, you don't want to be charged extra fees. For that reason, the XM Micro account can be a great choice if you want to avoid any commission on your position.
Another important pro you will run into is the minimum deposit amount. Believe it or not, the required minimum is just $5 which is super affordable and competitive.
The inactivity charge is one of the biggest downsides of having an XM live account. If you forget to use your account for 3 months (90 days), then you will have to pay $15 as a one-time cost. However, if the inactivity period lasts longer than that, the trader will have to pay $5 for every additional month that they do not use the account.
Adding to that, the company is unable to guarantee total protection to non-EU customers, which is a huge drawback if you might run into some financial problems.
The XM Micro account has a minimum deposit of 5$. This is a good starting price for those who are new to trading.
The XM Micro account covers a wide variety of currencies including USD, EUR, GBP, JPY, CHF, AUD, HUF, PLN, RUB, SGD, and ZAR. Traders might not use all of them, however, considering that everyone has different needs, the presence of all major and some exotic currencies is definitely good.
There are a few differences between these two types of accounts. The first one is the contract size. On the XM Micro account 1 lot = 1000, while the same lot on the XM Standard account is 1 lot = 10,000. The second difference is the minimum trade volume which is 0.01 for the standard account and 0.1 for the micro account. The last difference between these two accounts is the lot restriction per ticket, which is 100 for micro and 50 for the standard accounts.