Disadvantages Of Position Trading ━━━━━━━━━━━━━ The disadvan | Stock Market News
Disadvantages Of Position Trading ━━━━━━━━━━━━━ The disadvantages of position trading include the following:
The need for a high deposit – Position trading with the minimum amount of funds is simply irrelevant. It is likely that the strong price fluctuations will lose everything.
Swap – The swap is a commission paid to the broker for the transfer of the trade to the next day. If the position is open for a long period, the swaps can accumulate a large amount.
Risk – The risk is much lower when compared to day-trading or swing trading, but if a mistake is made, it will likely be fatal. If a trader goes against the trend, he will lose not only his deposit, but also the time in which he could generate a profit – don’t forget, we are speaking about months. ━━━━━━━━━━━━━ @Market_Share
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