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ADVANTAGES OF TRADING IN THE FOREX MARKET
High Leverage
Generally Forex brokerage service providers offer a leverage of 100:1 however, Brokers offers
customers leverage of 200:1. This means for every $1,000 you place in your account, you have
access to trade with $200,000 worth of contracts.
Low Margin
Traders can utilize a small amount of funds in order to take a large position. If you should happen to
incur a loss, your broker will close your position when the loss equals the balance in your account.
Liquidity: The Forex market trades between $2.5 and 3.5 trillion daily. The enormous size of the
market means that:
Trades can always be carried out immediately, and
The market is too large for any one player to control.
24 Hour Trading
The Forex market operates 24 hours a day from Monday morning Sydney, Australia time to Friday
evening New York (EST) time. Therefore traders have immediate access to information, their
accounts and transaction ability without price fluctuation vulnerability.
Trade Both Sides of the Market
You can profit from price movements in either direction, whether prices are going up or down. You
can profit in a bear or a bull market and the economy of any country is irrelevant to make profits.
Low Trading Costs
Forex brokers will only charge you for the difference of a buy and sell price quote. There are no
commissions or other charges payable by the trader.