Tuesday, 19 July 2011
Forex Margin Trading: Make more money with less
Forex margin trading is a way to apply leverage to increase the purchasing power of your money. Leverage simply means using a small amount to control a much larger sum. This is possible because it is unlikely that the value of a currency will change by more than a certain percentage over a short period. So you can place a few hundred dollars in your brokerage account to trade on margin - the amount you think the price will fall. Indeed, your broker to lend you the balance.
Trade on margins is also known as stock and futures trading, but because of the special nature of foreign currency, you can get much more leverage on the forex market. According to the plan your broker, you may be able
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Forex margin accounts allow currency traders to control a large amount of currency with only a small deposit This gives great potential for profit, and lets everyone enjoy the fun of currency trading.
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