Virtual trading, also known as trading, deposit trading.
Refers TO INVESTORS AND PROFESSIONAL financial companies (BANKS, dealers or brokers), sign the contract of entrusted trading FOREIGN exchange, pay a certain ratio (generally not more than 10%) trading margin, can be bought AND sold by a certain financing multiple of 100 thousand, hundreds of thousands or even millions of foreign exchange.
The main advantage of being in the form of a contract is to save money on investment.
When buying or selling foreign exchange in the form of a contract, the investment amount is generally not more than 5% of the contract amount, and the profit or loss paid is calculated on the basis of the whole contract amount.
The amount of the foreign exchange contract is determined according to the type of foreign currency. Specifically, the amount of each contract is 12500000, 62500, 125000, 125000 respectively, and the value of each contract is about $100,000.
The amount of each contract is not subject to change at the request of the investor.
Investors can buy and sell several or dozens of contracts, depending on the amount of their deposit or margin.
Normally, an investor can buy or sell a contract with a margin of $1,000. When the foreign currency rises or falls, the investor’s gain or loss is calculated by the amount of the contract, or $100,000.
