oussama94
05-28-2017, 02:25
Leverage Risk
Leverage is the mechanism by which a trader can control a large market position with
a much smaller initial investment. TradeStation enables you to take positions of up
to 50 times greater than the value of the initial investment for major cash Forex pairs.
However, professional traders will often recommend that your **** Forex positions not
exceed more than 10 times your total account value at any one time. In addition, sound
money-management techniques suggest not risking any more than 2-3 percent of your
total account value on any one trade.
Even when market conditions are relatively calm, leverage can create large gains or losses
very quickly. This may cause your broker to take action to avoid a negative account
balance or to avoid your account exceeding that maximum allowed margin. In either
case, your broker, without prior notification, may close any or all **** positions in
the account to remedy the situation. You are responsible for the risks you take and the
consequences of those risks, positive and negative, on every trade you make. Because of
the highly leveraged risk inherent to cash Forex, Forex trading may not be suitable for all
traders
Leverage is the mechanism by which a trader can control a large market position with
a much smaller initial investment. TradeStation enables you to take positions of up
to 50 times greater than the value of the initial investment for major cash Forex pairs.
However, professional traders will often recommend that your **** Forex positions not
exceed more than 10 times your total account value at any one time. In addition, sound
money-management techniques suggest not risking any more than 2-3 percent of your
total account value on any one trade.
Even when market conditions are relatively calm, leverage can create large gains or losses
very quickly. This may cause your broker to take action to avoid a negative account
balance or to avoid your account exceeding that maximum allowed margin. In either
case, your broker, without prior notification, may close any or all **** positions in
the account to remedy the situation. You are responsible for the risks you take and the
consequences of those risks, positive and negative, on every trade you make. Because of
the highly leveraged risk inherent to cash Forex, Forex trading may not be suitable for all
traders