Markets
Platforms
Accounts
Investors
Partner Programs
Institutions
Contests
loyalty
Trading Tools
Resources
Retail foreign exchange trading refers to the trading of currencies by individual investors (retail traders) through online platforms. Unlike institutional traders, who may trade large volumes of currency in the interbank market, retail forex traders typically trade smaller amounts and use leverage provided by brokers. Retail forex trading is conducted via platforms that offer access to currency pairs, allowing traders to speculate on currency price movements, often using tools like margin and leverage to amplify potential profits or losses.
An individual investor uses an online forex broker to speculate on the movement of the EUR/USD currency pair, making trades based on technical analysis and economic news.
• Involves individual investors trading currencies via online platforms.
• Typically involves smaller trade volumes than institutional forex trading.
• Uses leverage and margin to allow retail traders to speculate on currency movements.
Leverage allows traders to control larger positions with a smaller amount of capital, amplifying potential profits or losses.
High leverage can lead to significant losses, and market volatility can result in rapid price movements that impact trades.
Retail forex traders often use technical analysis, economic indicators, and news events to make trading decisions.
Start Your Journey
Put your knowledge into action by opening an XS trading account today
Register to our Newsletter to always be updated of our latest news!
