Foreign Investors Planning on Investing in the US Forex Courses Teach Beginners How To Trade

Forewarning on Forex Trading

Some newcomers to forex trading might be intimidated by lot sizes of 100,000 units but a 1% margin is all that is required by most dealers to create a position. However, investors must be careful about drawdown and have predetermined stop points that will limit risk because currencies can move rapidly and quickly eliminate any equity the investor has in their trading account. Once that equity is gone, the investor will be responsible for any remaining loss after the position has been liquidated.