Foreign Exchange Margin Trading
Margin accounts are also used by currency traders in the forex market.
Foreign exchange margin trading. In terms of trading volume it is by far the largest market in the world. Your fx broker s margin requirement shows you the leverage you can use when trading forex with that broker. Key takeaways margin trading in forex involves placing a good faith deposit in order to open and maintain a position in one. Forex margin rates are usually expressed as a percentage with forex margin requirements typically starting at around 3 3 in the uk for major foreign exchange currency pairs.
Margin is the amount of money that a trader needs to put. It includes all aspects of buying selling and exchanging currencies at current or determined prices. Boc foreign exchange margin trading service provides you an around the clock secure and convenient online foreign exchange trading platform up to 16 1 leverage to capture investment opportunities. Foreign exchange margin trading is an investor s foreign exchange trading with a trust provided by a bank or broker.
The foreign exchange market forex fx or currency market is a global decentralized or over the counter otc market for the trading of currencies this market determines foreign exchange rates for every currency. Traders should take time to understand how margin works before trading using leverage in the foreign exchange market. Trading forex on margin is a popular strategy as the use of leverage to take larger positions can be profitable.