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- The Margin Advantages of Trading FOREX.
By Omar Vargas
There is one aspect that is considered as one of the best advantages of FOREX Trading. This is related to the amount of money you need to place a trade, this is known as “margin”, and in short, this is all that can be lost in a the case you had a bad trade.
I state it like this because, even though I know with
proper self-taught education you’re NOT going to lose as
much as you win anyway, I want you to know that despite the
super-high leverage associated with FOREX trading (200:1 is
possible; meaning that if you put up $1 the trading vendor will
allow you to trade like you really have $200), it’s still
arguably less risky than futures (commodities) trading. And, forget stocks, you’ll never get this type of LEVERAGE
in the equities market.
Futures markets are often prone to sudden and dramatic
moves, against which you can not protect yourself, even by
trading with protective stops. Your position may be
liquidated at a loss, and you
Before a person gets confused in so many alternatives of doing Forex Trading he should have a good understand about the basics of Forex. By practicing the trades on Demo Account the person becomes eligible to handle the ups and downs in Forex Trading.
RépondreSupprimerRegards,
Ramiz Jilani
Forex Fund Management