Ok so im going to be opening an account soon. Probably £500 to give my first live trading a try. I want to know if i trade with a £500 account, and say for example i open a trade £1 per pip £50 stop loss. If i hit my stop loss will i only lose 50 pounds? Because when trading demo accounts even if im only down £10 ill be down like £1000 in margin. I dont quite understand why and just want to know if ill actually owe more money than im losing when trading. Thanks.
Forex and lot sizes and margin
in Foreign Exchange (FX)
Posted
Ok so im going to be opening an account soon. Probably £500 to give my first live trading a try. I want to know if i trade with a £500 account, and say for example i open a trade £1 per pip £50 stop loss. If i hit my stop loss will i only lose 50 pounds? Because when trading demo accounts even if im only down £10 ill be down like £1000 in margin. I dont quite understand why and just want to know if ill actually owe more money than im losing when trading. Thanks.