About risks
- Trading on financial markets is a high-risk activity.
- When using leverage, it is possible, that losses will be greater than initial investments. Leverage allows market fluctuations, small in percentage ratio, to have a much bigger influence the client's account balance. Therefore, a trader risks to not only lose completely the initial investment, but also any sums, added to support the position.
- To avoid critical situations trading on financial markets, it is strongly recommended to use only such amounts of money, which you can lose without grave consequences.
- A trader should know the technology of financial markets, including the process of order execution. One should remember that the time of order execution is influenced by market type, liquidity, trading volume, connection with the broker and other factors independent from the trading system.
- The use of orders does not guarantee loss limitation to the preset level, as market conditions can hinder execution of such orders at a planned price because of a number of factors.
- One should remember that non-regulated markets, such as Forex, on top of general risks contain the unreliable counterparty risk.
- Statements of any possible profitability of certain deals in any sources do not guarantee, that such deals can be repeated.
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