In FX trading, the concepts of “loss cut” and “forced loss cut” are unavoidable. While many traders have heard these terms, fewer truly understand how they work and why they are so important.
Success in trading rarely happens by accident. It usually grows out of doing the right things, over and over again. That’s where having a routine makes all the difference.
FX (Foreign Exchange Margin Trading) is an attractive method of trading that allows you to move large amounts of money with relatively small capital through “leverage.” However, this also means that the potential losses can be significant.
“I’m interested in FX, but I’m scared to use real money right away...”
This is where demo trading apps come in handy — they let beginners learn trading with zero risk.
A demo trade is a practice tool that allows you to experience real market movements using virtual funds. It’s perfect for beginners and an essential step for anyone touching FX for the first time.
In FX trading, “spread” is directly linked to trading costs. However, surprisingly few people accurately understand what a spread really is or whether a variable or fixed type suits them better. This article clearly explains the advantages and disadvantages of both types — referencing account types offered by major brokers — in about 2,000 words. At the end, you’ll also find a quick comparison checklist to help you choose the best option for your trading style.
