Short - term traders need leverage to
amplify trading gains.
Not exact matches
Stock
trading sites will charge upwards of 8 % or more a year in interest fees, eating away at any
gains you make during good times and
amplifying your losses during bad times.
Yes, it can assist in opening a larger
trade size, but thus
amplifies gains and losses.
But the trader must respect the power of the margin in
amplifying losses (as well as
gains), conduct necessary due diligence, and have an adequate risk management plan prior to placing their first
trade.