Can some kind person please explain to me what ledgering is…okay i understand it in terms of monies:confused: value and its representation but can you actually loose more money than you initially put on the original trade?
[B]LEDGERING to me is an accounting term – did you mean LEVERAGING instead ?[/B]
if so, levering is simply the use of margin to allow you to buy MORE shares than you have money to do, and its risks are that you can become overledgered and the broker will immediately close out that position.
in equities, the broker gives you a “margin call” allowing you three days to make good on the loan before they grab your stock for repayment, but that is an INSTANT transaction in forex !
normally you cannot lose more than you originally put in, because the accounting of the broker will end your trade and collect your shares before you get to that position, BUT if youve been successful for a year, now have 30 billion dollars in the account you started with $12.75, you can certainly lose more than your original amount.
enjoy and trade well
mp
[B][I]Within the great hall at Elfinore stands a wondrous coffer, precisely four cubits square and securely latched against the outside world. Inside that repository, shut away from impertinent eyes, abides many an intriquing trading secret garnered from around the world and over the ages !
As a child, i used to watch from the darkness as the secrets were debated and annotated by the elders. No one there held a single thought of my presence – BUT I KNOW WHERE THEY HID THE KEY !! [/I][/B]