How FX Profit Works and the Flow from Application to Account Opening

The biggest attraction of FX is that you can trade large amounts with a small amount of capital.
That is what is called“leverage trading”.

With that leverage, you can handle up to 25 times your funds.For example, if you currently have 5,000 yen, you can trade up to 5,000 yen × 25 = 125,000 yen.

For example, when “1 dollar = 100 yen” and trading starts from 1,000 currency units, consider a broker that offers such a unit.

That is trading from 1,000 currency units, i.e., 1,000 dollars. Since 1 dollar = 100 yen, you would need 100,000 yen to start trading.

However, as calculated earlier, with leverage, you can trade up to 125,000 yen with 5,000 yen, so you can trade without issue.

Potential created by leverage

In Japan, leverage is generally up to 25x, and for corporations up to around 400x;overseas, there are companies that offer up to 888x leverage.

By the way, with 888x leverage, you can trade 10,000 dollars with just about 1,300 yen. If you have 100,000 yen, you could move about 100 dollars, which in yen is equivalent to about 100 million yen in value.

Basically, most people trading FX in Japan use leverage, though the exact multiplier varies.

First, decide which FX company to open an account with. There are many domestic FX companies, so it’s important to choose one with advantages for you.

When choosing an FX company, don’t decide just because it’s “famous.”“Low fees,” “easy-to-use trading tools,” “abundant information,” “high order execution speed”are important criteria.

In particular, for those considering short-term trading,“low fees” and “high order execution speed”are crucial. If you want to start with a small amount, also compare the “minimum trading unit.” For example, if you value fees and execution, choose “DMM FX.” If you want the minimum trading unit, choose “SBI FX Trade.” Set your criteria for choosing a company accordingly.

【2】Fill out the account opening application form

Once you decide on an FX company, click the “Open an Account” button on the official site and fill out the application form.

In addition to name, address, and contact details, you’ll need to provide income, investment experience, financial assets, etc.This information and the documents you submit will be reviewed.

No blanks or false information

Avoid leaving any fields blank on the application form as much as possible. And absolutely no falsified information. If the details don’t match, you may fail the review.

【3】Submit required documents

After filling out the form, submit the required documents. Generally, you’ll need to provide identity verification documents plus your My Number. Identity documents include a driver’s license, health insurance card, pension handbook, passport, residence card, or special permanent resident certificate, among others.

For speed, submit by upload or email

Methods to submit required documents include“mail, fax, email, upload”. If you submit quickly, the review can proceed promptly, and you can start trading quickly. If you’re in a hurry, email or upload is recommended since you can do it anytime, anywhere.

【4】Review – documents received

After you submit the documents, a review is conducted. If the review is not passed, you will be notified by email, etc.

If you pass the review, documents detailing your user ID and password will be sent by simple registered mail (non-forwardable) to your registered address.

Log in to My Page

Enter your user ID and password to log in to My Page,and you will also be able to use trading tools.

At this point you can check various information, so be sure to review it in advance.

【5】Deposit margin and start trading

Once you can log in to My Page, deposit your margin. If you’re new to FX, start trading with a small amount rather than risking a large sum right away.