| Email 4: "What is Leverage?" Leverage gives traders the ability to increase their purchasing power in the market. Without it, a forex trader would need to front $100,000 in order to control a single standard contract, making forex inaccessible for many. Leverage was introduced to help lower the barrier of entry by allowing a trader to open a contract with just a portion of the contract value; the rest of the contract is provided by the broker or bank. Traders with Interbank FX can trade up to 100:1 leverage, which means a trader can control a standard $100,000 contract with just $1,000. Continue Reading at Interbank FX Sincerely, The Interbank FX Team www.xe.com/currencytrading · www.interbankfx.com
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