01 · Level 1What you press, what it costs, and where your money actually sits. Fifteen lessons, each one answering a question a first-time account holder asks.
Basics: how a trade and an account work
- 1.1
What happens when you press Buy
An order leaves your platform, gets filled at a price, becomes an open position, and ends when you close it. Four steps, and every cost attaches to one of them.
- 1.2
Pairs and quotes: what 1.0850 means
A quote is the price of the first currency in the second. The number you see moves in the last decimal place, and that place has a money value.
- 1.3
What a pip is worth in money
A pip is the smallest standard price step. What it is worth depends on lot size and the pair, so the same twenty-pip move pays differently on different trades.
- 1.4
Lots: standard, mini and micro
A lot is how much of the instrument one trade controls. Standard is 100,000 units, mini is a tenth of that, micro a hundredth.
- 1.5
The three costs: spread, commission, swap
You pay the spread on entry, commission on some account types, and swap for every night a position stays open. All three are known before you trade.
- 1.6
Overnight swap and swap-free accounts
Swap is the daily cost of holding a leveraged position. A swap-free account removes it and usually replaces it with another charge.
- 1.7
Leverage and margin: how much of the trade is yours
Leverage sets how large a position your deposit can hold. Margin is the part of your money locked against it while the trade is open.
- 1.8
Order types: market, limit, stop
A market order takes the current price. A limit waits for a better one. A stop triggers once price reaches a worse one.
- 1.9
Stop loss and take profit
Two instructions you attach to a position: one closes it at a loss you chose in advance, the other at a profit you chose in advance.
- 1.10
MT4, MT5 and cTrader: which to pick
The three platforms differ in instruments, order handling and how they report costs. The choice is reversible; the account type behind it is less so.
- 1.11
Trading from a phone
The phone app does everything the desktop one does except show you enough chart. What that changes about your decisions is the lesson.
- 1.12
Demo accounts: what they teach and where they lie
A demo teaches the platform and the arithmetic honestly. It cannot teach fills in a fast market, and it cannot teach how losing real money feels.
- 1.13
Account types: standard, raw spread, cent
The same trade costs different amounts on different account types. Raw spread accounts move the cost into commission rather than removing it.
- 1.14
Opening an account and passing verification
What documents a regulated broker has to ask for, why it has to ask, and the checks that hold an application up.
- 1.15
Deposits and withdrawals with local methods
Which local payment methods reach a broker, how long each leg takes, and why a withdrawal usually has to go back the way the deposit came.
What changes between the first chart and the last lesson of this level
At the start of this level a chart is a picture with a line on it. By the end it is a set of numbers with a meaning: a price you can read, a cost you can name, and a position size you can work out on paper before you press anything. The order of the lessons follows the order of the decisions. You first learn what a press of Buy actually sends, then what the two numbers in a pair mean, then what one pip is worth in peso, then how many pips you are exposed to. Nothing later in the level makes sense if the earlier step is skipped.
The middle of the level turns the chart into money. A pip is a unit of price movement, and its peso value depends on the lot size you choose and on the exchange rate between the pair's quote currency and your account currency. Those two facts are separate, and people who rush them end up with a position far larger than they intended. Costs come next, because a trade that looks profitable on the chart can be flat or negative after the spread, any commission, and any swap charged for holding overnight.
The last part of the level is about the account itself rather than the market. You look at platform choices, phone access, demo behaviour, account types, identity checks, and how money moves in and out through local methods. The honest summary of the whole level is that it teaches you to read a chart and to know what a trade costs before you take it. It does not teach a method for predicting price, and it does not claim that one exists.
Where first-time account holders usually get stuck
The most common sticking point is leverage. A small deposit can control a large position, and the margin requirement is only the part set aside as security, not the most you can lose. A move against the position can cost more than the margin you posted, and a stop loss is the tool that defines the loss in advance. Reading the margin figure as a limit rather than a deposit is the mistake that ends most beginner accounts.
The second is confusing the platform with the broker. MT4, MT5 and cTrader are software; the broker is the firm holding your money and setting the spread. The same software can show very different costs at two firms, so the choice of platform matters less than the choice of firm. There is no single best platform for everyone, and this course does not recommend one. What matters is that you can find the spread, the commission and the swap on the screen in front of you.
The third is treating a demo account as proof of skill. A demo fills orders with no real money behind them, and the fills can differ from live ones, particularly at busy times. It is the right place to learn where the buttons are and to test that you understand lot sizes. It is not evidence that a method makes money. Treat every demo result as practice, not as a forecast.
How long this level honestly takes, and what it asks of you
Fifteen lessons is roughly three to five hours of reading if you go straight through, and longer if you open a chart beside each one and check the figures yourself. The arithmetic lessons on pip value and margin are the slow ones, because they need a calculator and a second pass. Spreading the level over two or three weeks, a few lessons at a time, is more realistic than finishing it in one sitting.
You need no money to complete it. A demo account and a chart are enough for every exercise, and the lessons on deposits and withdrawals are about understanding the process, not about funding anything. Payment methods such as GCash and bank transfer are described so you recognise the steps when you meet them, not as a prompt to send money.
One point on regulation. In the Philippines the SEC Philippines registers and supervises certain investment activities, and the rules that apply to a firm depend on what it is licensed to do and where it is based. Requirements differ between firms and can change, so check the current register entry for any firm yourself rather than relying on a course. This level does not name firms, and it does not tell you which one to use.
Doing it once, step by step
Work through the following in order, once, with a chart open beside you and a calculator within reach. Each step produces something you can write down, so keep the notes together.
- 01
Open a demo account and find the order ticket
Register a demo with any platform you can access, then locate the button that opens a new order. Do not place an order yet. The aim is to see where the pair, the lot size, the stop loss and the take profit are entered.
- 02
Read the quote on EUR/USD
Find EUR/USD on the watchlist and note the two numbers shown, for example 1.0850. Identify which is the bid and which is the ask, and subtract the smaller from the larger. That difference is the spread, and it is the first cost you have seen on a real screen.
- 03
Convert one pip into peso
Write down the pip size for the pair, then multiply by the lot size you intend to use. Convert the result into pesos at the current rate, noting that the rate moves and the figure will not stay fixed. Check the answer against the platform's own pip value display.
- 04
Calculate the margin on a small position
Choose a lot size, note the leverage offered on the demo, and divide the position's notional value by that leverage. The result is the margin set aside, not the maximum loss. Confirm the figure in the platform's margin window before continuing.
- 05
Place one order with a stop loss attached
Buy or sell a micro lot on the demo, set a stop loss at a distance you have chosen in pips, and set a take profit at a larger distance. Watch how the profit and loss figure changes as price moves, and note when swap would be charged if you held the position overnight.
- 06
Compare costs across two firms before any deposit
Look up the spread, commission and swap on the same pair at a second firm and write both sets of figures side by side. The numbers will differ, and the size of the difference is the reason this comparison comes before funding. Check each firm's current registration details with the SEC Philippines yourself.
Questions that come up next
How long does it take to finish this level?
There are fifteen lessons. If you read one lesson a day and spend about twenty minutes on it, the level takes roughly three weeks. You can go faster, but the ideas need to settle, so a steady pace works better than a rush. There is no timer and no deadline. The page is free to return to at any point.
Do I need to deposit money before I start?
No. You can read every lesson and open a demo account without depositing anything. The lessons on costs and margin use numbers you can work out on paper. When you do deposit, the amount is your choice, and the local methods are GCash and bank transfer. The course does not tell you how much to put in.
Is this course regulated by the SEC Philippines?
The course is free educational material. It is not a financial product and it is not regulated by the SEC Philippines. The SEC Philippines regulates certain investment activities, but that does not mean this course has been approved or reviewed by them. If you open a live account later, the firm you choose will have its own regulatory status, and you should check it yourself.
What if I lose money on my first trade?
Losses are a normal part of trading. The lessons on stop loss and position size are there to keep a loss small and known before you enter. No method removes the risk of loss. If a loss would affect money you need for bills or savings, the position is too large for your situation.
Can I trade with just a phone?
Yes. MT4, MT5 and cTrader all have mobile apps. The lesson on trading from a phone covers what works well on a small screen and what is harder, such as reading detailed charts or placing complex orders. Many people start on a phone and move to a desktop later. The platform is a tool, not a requirement.
Does the course recommend a broker or a platform?
No. The course does not name brokers or say which platform is best. MT4, MT5 and cTrader are software, and the same software can show different costs at different firms. The choice of firm matters more than the choice of platform. You decide which one fits your needs.
The words used on this page
- pip
- A pip is the smallest standard step in a currency price. For EUR/USD at 1.0850, a move to 1.0851 is one pip. The money value of a pip depends on your lot size and the exchange rate to your account currency.
- leverage
- Leverage lets you control a position larger than the money you set aside as margin. It increases both potential gain and potential loss. The margin is a deposit, not a limit on how much you can lose.
- spread
- The spread is the difference between the buy price and the sell price on a chart. It is one of the costs of a trade. It is quoted in pips and varies between brokers and market conditions.
- swap
- Swap is a charge or credit for holding a position overnight. It depends on the pair and the broker. Some accounts are swap-free, but they may have other costs instead.
- margin
- Margin is the part of your account balance set aside as security when you open a leveraged position. It is not a fee and it is not the most you can lose. If the trade moves against you, the loss can exceed the margin.
- demo account
- A demo account uses virtual money on live or delayed prices. It lets you practise pressing Buy, reading a chart and placing orders without risking real money. It does not teach you how you will behave when real money is at stake.
What to take away
- At the end of this level you can read a chart, name the costs of a trade, and work out a position size before you press anything.
- Leverage is the most common trap: margin is a deposit, not a limit, and a stop loss defines your loss in advance.
- The platform is only software; the firm holding your money sets the spread and the swap, and no single choice suits everyone.
- The course teaches what a trade costs and how an account works. It does not predict price and does not promise a result.