This is an excellent advice for the novice Forex trader as they limit the exposure to risk. However the very same advice will also limit a novice forex trader to expand their horizon. The word "small" is equated to "safe" and this will stop you actually from building up your confidence level. To be confident you will need something to show for it and it is extremely difficult to built up an impressive portfolio if you trading account has only $500 to show for it.

Trying to achieve higher confidence level just with theoretical studies of investment techniques is nearly impossible. You must actually be practically involved in the building of your own success level in your trading. And as the level of success increased, you will also increase your confidence level.

To give yourself the chance to take bigger risks and reap bigger rewards, though, you're going to need something a little more impressive than that $500 account. Did you know many Forex trading advisors suggest not attempting to turn pro with less than $100,000? Now the question is how to build that portfolio.

Build up slowly

There is no quick remedy to towards building up a big account. You just have to start with small trades and work your way up one step at the time. Take note that this doesn't mean making loots of small trades all day. Your objective is making profitable trade that is accurately identified by you and not quantity trades.

Diversify to other currency pairs

Another method to grow your Forex portfolio is to venture out into other currency pairs. Again, while it's a good idea to stick with one pair in the beginning, you're not likely to want to stay with that pair for your whole trading career. Doing so would limit not only your experience, but your profits, too. That's not to say you should start trading volatile exotic currencies, but adding one more stable currency pair can really help build your portfolio. Once you've got some good experience with those pairs, you can add another.

Use your own money

There is one method of growing your Forex trading portfolio that you'd be better off without and that's trading with borrowed money. While it might be tempting to accept small loans from friends and family in the hope that skillful trading will make both of you a profit, the risk usually won't be worth it. First of all, knowing you're risking someone else's money will add so much stress that it could negatively influence your ability to trade well. Even worse, you may lose that money and not even be able to return the loan much less a profit.

In short, to gain an portfolio to be proud off, you will need to trade more frequently, assume more calculated risks, increase the currencies pairs to be traded on whenever possible. By following these steps, you will slowly but surely be on your way towards building an impressive portfolio.

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