Know What Is High Risk Trading

Know What Is High Risk Trading

To become a forex trader or a reliable investor you don’t just look at the sweet side, you can’t see only profit but also need to pay attention to the investment scheme and what if there is a loss.

Lots of factors that influence beautiful dreams turn out to be a terrible thing, that’s a risk.

Learning forex trading is an investment that belongs to the High Risk Return Investment group, or a high-risk investment.

In addition to a very high risk trading, but it turns out that the profit will also be very high.

It is very comparable between the risk with the profit to be obtained, this is the same as two opposite sides of the coin but cannot be separated.

High Risk Trading

Risk of Forex Trading Negatives It would be a good idea to have an umbrella before it rains, so before you are tempted and obsessed with the profit you will get.

We will discuss the negative risks first in the world of forex trading.

Trading has a Total Loss Possibility, which means you are very likely to lose all available funds.

Even this possibility reaches 90% of the funds you have to invest in the forex business.

Wait a minute, why is that 90% really scary?

This is the worst thing if it happens, otherwise it means safe.

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For example, Achmad Azzam opens a position to buy 1 lot of EURUSD at the price of x.xxxx then when EUR strengthens from USD, Azzam will generate a lot of profit.

But what if Azzam has already opened a buy position but it turns out that the graph actually decreases?

To what extent can Azzam’s position survive the weakening price attack?

For that reason, the margin is deemed as a god, when the god wants to help his servant, when the minus condition, the god (margin) can still hold the price tantrum.

So what if it turns out that the nominal margin cannot stop the number of minuses that Azzam is doing?

There will be a margin call alias called a god or die, all funds will run out.

Therefore, brokers often advise you to deposit with a minimum of $ 250 USD or not infrequently which gives a minimum of $ 500USD because so that the fund can become a helper to hold the position when the price moves opposite from an open position.

There is a negative risk of forex trading, you can run out of funds in an instant when you read the market movements.

Positive Risk of Forex Trading Then we will talk happy to learn forex trading, that is you will get profit when the price of your open position has touched the price that has been set.

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You need to note that, prices will never go up and down in one direction repeatedly.

What does it mean?

Azzam’s open position at that time was minus because the movement was down 100-200 points so the price would move up again and even pass the open position.

Then the Azzam will get a profit, just how big the god (margin) will help.

For that, you must learn the right forex trading and use the capital suggested by the broker so that the resistance of the margin is strong enough when there is a minus.

Source : Resiko Profit Besar Jika Belajar Trading Forex

Know What Is High Risk Trading