http://saclongchamp4.webs.com/ RKEY RKEY There are many different advantages to trading forex instead of futures or stocks, such as:
1,sac longchamp. Lower Margin
Just like futures and stock speculation, a forex trader has the ability to control a large amount of the currency basically by putting up a small amount of margin. However,longchamp pas cher, the margin requirements that are needed for trading futures are usually around 5% of the full value of the holding, or 50% of the total value of the stocks, the margin requirements for forex is about 1%. For example, margin required to trade foreign exchange is $1000 for every $100,000. What this means is that trading forex,converse all star, a currency trader’s money can play with 5-times as much value of product as a futures trader’s, or 50 times more than a stock trader’s,prix converse. When you are trading on margin,converse discount, this can be a very profitable way to create an investment strategy,converse pas cher, but it’s important that you take the time to understand the risks that are involved as well,abercrombie. You should make sure that you fully understand how your margin account is going to work,converse all star. You will want to be sure that you read the margin agreement between you and your clearing firm,abercrombie. You will also want to talk to your account representative if you have any questions.
The positions that you have in your account could be partially or completely liquidated on the chance that the available margin in your account falls below a predetermined amount. You may not actually get a margin call before your positions are liquidated. Because of this,converse pas cher, you should monitor your margin balance on a regular basis and utilize stop-loss orders on every open position to limit downside risk.
2,longchamp pas cher. No Commission and No Exchange Fees
When you trade in futures,sac longchamp pas cher, you have to pay exchange and brokerage fees,longchamp pas cher. Trading forex has the advantage of being commission free,longchamp pas cher. This is far better for you,sac longchamp pas cher. Currency trading is a worldwide inter-bank market that lets buyers to be matched with sellers in an instant.
Even though you do not have to pay a commission charge to a broker to match the buyer up with the seller, the spread is usually larger than it is when you are trading futures,chaussures converse femme 46295
http://saclongchamp5.webs.com/,abercrombie online. For example, if you were trading a Japanese Yen/US Dollar pair, forex trade would have about a 3 point spread (worth $30). Trading a JY futures trade would most likely have a spread of 1 point (worth $10) but you would also be charged the broker’s commission on top of that. This price could be as low as $10 in-and-out for self-directed online trading,converse all star,converse pas cher 76300
http://saclongchamp5.webs.com/, or as high as $50 for full-service trading. It is however,converse pas cher homme, all inclusive pricing though,sac longchamp pas cher. You are going to have to compare both online forex and your specific futures commission charge to see which commission is the greater one,sac longchamp pas cher.
3. Limited Risk and Guaranteed Stops
When you are trading futures,converse pas cher, your risk can be unlimited,abercrombie & fitch usa. For example,converse all star, if you thought that the prices for Live Cattle were going to continue their upward trend in December 2003,sac longchamp solde, just before the discovery of Mad Cow Disease found in US cattle. The price for it after that fell dramatically, which moved the limit down several days in a row,sac longchamp. You would not have been able to leave your position and this could have wiped out the entire equity in your account as a result. As the price just kept on falling,converse pas cher 98295
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4. Rollover of Positions
When futures contracts expire,sac longchamp solde, you have to plan ahead if you are going to rollover your trades,longchamp soldes. Forex positions expire every two days and you need to rollover each trade just so that you can stay in your position,abercrombie outlet.
5,sac longchamp. 24-Hour Marketplace
With futures, you are generally limited to trading only during the few hours that each market is open in any one day,converse pas cher. If a major news story breaks out when the markets are closed, you will not have a way of getting out of it until the market reopens,abercrombie outlet, which could be many hours away,converse all star. Forex, on the other hand,converse solde, is a 24/5 market. The day begins in New York, and follows the sun around the globe through Europe, Asia, Australia and back to the US again,Advantages Of Trading Forex. You can trade any time you like Monday-Friday,sac longchamp.
6,converse pas cher,Advantages Of Trading Forex. Free market place
Foreign exchange is perhaps the largest market in the world with an average daily volume of US$1.4 trillion,sac longchamp discount. That is 46 times as large as all the futures markets put together! With the huge number of people trading forex around the globe, it is very hard for even governments to control the price of their own currency.