With huge leverages in forex, you can easily have a position of over a million dollars. Since the forex market is open 24 hours, how are interests calculated? Won't you be broke just by paying interests on a million dollar position? I will be reading some books on currency trading very soon (as soon as they arrive!) but I just want to get some first impressions/answers from fellow members first.
Does the situation change when you are shorting a currency? (well, I suppose you are always going long and short at the same time on two currencies?)
Thanks.
Does the situation change when you are shorting a currency? (well, I suppose you are always going long and short at the same time on two currencies?)
Thanks.