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Reward and Risk
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What will happen with the Great Britain Pound? Is this the end? The pound will use its value as the brexit will be approved, or is it going to bounce back. In these very days we will witness this historic impact, the rise or the fall. There are several e-micro futures contracts you could trade to make your dollar risk even less, but these are only on a few currency pairs.
In addition, the volume on these contracts is pretty low. When trading in the spot forex market, trading micro lots at most brokerage firms will allow you to trade with stops that actually cost you as little as one dollar!
Yes, you read that right. Yet another major difference in these markets is the cost to trade, based on the margin required to buy one contract in futures or a lot in spot forex. The cost to purchase one contract in the futures markets varies by several factors: Some lots are much cheaper, some are more expensive. So there you have a few of the big differences.
The very basics are: With a spot forex account, you get to trade only currencies, but more of them. In the futures market, generally your expenses will be higher when measured by dollar risk, amount needed to trade, and cost to do the individual trades.