Newbie question

Imikno1

Newbie
Jun 13, 2022
1
0
1
39
Hi
I am new here and wanting someone to enlighten me about the picture I attached regarding Forex trading.
What does buy 3.33 means? Is that the margin of 333,000:1 ?

Thanks in advanceIMG_20220613_203948.jpg
 

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alzheimer

Banned
Apr 7, 2022
29
7
4
34
3.33 means size of your position which is equal to 333 000 GBP. The size of a position is measured in lots, 1 lot equals to 100 000 units of base currency for most pairs.
 
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hayseed

Master Trader
Jul 27, 2010
1,010
258
149
usa
Hi
I am new here and wanting someone to enlighten me about the picture I attached regarding Forex trading.
What does buy 3.33 means? Is that the margin of 333,000:1 ?

Thanks in advanceView attachment 21852
//-----

the 3.33 represents the trades lot size....

3.33 standard gbpusd lots in my accounts requires free margin of 8025 $ ...... so the 5 open trades your screenshot account would require me over 40,000$ in margin required.... that value changes .....

lot size versus notational size can be very confusing..... it's not always simple math..... and margin required can be also..... other factors come in to play.....
//-----

the most important aspect, to me, in that screenshot is someone bought 16.65 standard gbpusd lots on the back of 6 hard down days on a friday the 13th..... with a 5 pip profit target...... seems kinda risky.....

a 5 pip counter trend profit target might be perfect in some situations..... but consider what those same trades could have made following the trend the prior 5 days.....

just out of curiosity, nothing more, it would have been nice if whoever made the screenshot would have supplied another of this weeks results.....

high risk counter trend trading has some warm sunny friendly days......

often followed by some cold dark lonely nights.......h
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Haruto

Trader
Oct 26, 2022
52
5
9
47
When newbies have questions, they can raise them in forums to get answered. This is how they can fulfill their curiosity.