What is margin?

Foreign Exchange Margin Trading is also called margin trading, which means a bank or a broker's agency provides credit and the investor can do a certain proportion of trading while having 10% or lower capital.

The advantage of letter of credit is that using it in transaction will increase your profit or loss.

Managing a Margin Account 

Doing transaction using margin might be a profit strategy, however it is necessary for you to know its risk beforehand.

* You should confirm that you understand fully how your margin account operates. You have to read the in agreement signed by your clearing company and you. Should you have any question, please communicate with your customer representative.

* When the margin in your account falls to the set point, the positions in your account may be partially or completely cleared.

* Before you position is cleared, you will not receive margin superaddition notice.

You should check your amount in your margin to reach stated standard. Whenever you executive positions, you can use Stop Loss Order to limit falling risk.