Yes, margin requirements can periodically change to account for changes in market volatility and currency exchange rates. Any margin changes will be shown in the MMR column in the Simple Dealing Rates window of the Trading Station. Margin requirement changes…
Trading with higher leverage means there is a greater risk of loss, as well as potential for profit. Depending on the amount of leverage used, small moves in a CFDs price could generate significant changes in an account balance.
The "underlying asset" is the instrument that a CFD is based on. For example, the underlying asset for the SPX500 is the S&P 500 Index of US stocks.
FXCM will impose no limits to profit.
No, FXCM maintains a no re-quote policy for forex orders, indices, metals, and oil. Circumstances may exist based on order size, trading pattern, and/or market conditions when individuals may not receive execution at the requested rate. In such cases, orders…
Yes, there are. CFDs give traders a lot of options that he would not otherwise have, allowing him to be flexible. CFDs are traded with leverage, allowing a trader to control a large market position while employing a smaller amount…
FXCM uses a "lot-based" trading system. This allows our platform to aggregate all client positions into standardised trade sizes, simplifying the process of trading in several different markets on one account. It also allows the platform to track profits and…
A pip is the increment FXCM uses to account for profits and losses. It is the standard used in the Forex market, in place of "points" or "ticks". On Forex instruments, the "pip" is the second-to-last digit in a price…
No. Due to the imperfect nature of hedging, hedging with different assets is still prone to considerable risk, and hence does not figure into margin calculations. Please be advised that trading on margin carries a significant risk of loss…
Fair Value is a calculation that factors various things that tend to affect the price of a stock index futures contract, such as interest and dividends. A Fair Value Rate adjustment is often applied by many media outlets when quoting…