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Author Topic: New Account $'s Or GBP??  (Read 2583 times)

Offline Ralpharr2001

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New Account $'s Or GBP??
« on: June 25, 2009, 01:39:22 PM »
I am  a newbie and I am about to go live. I have have opened a live account with Alpari UK in GBP but I have this nagging thought that i should have opened the account in USD's.

Does it make a difference what currency the trading account is in?

Thanks

Ralph
"work it, don't guess it" & "failure is not an option" Gene Krantz - Flight Director Apollo 13

IC Markets & FXPro with Powerflow EA and manual trading.

Offline TheAslanGroup

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Re: New Account $'s Or GBP??
« Reply #1 on: June 25, 2009, 04:29:02 PM »
I am  a newbie and I am about to go live. I have have opened a live account with Alpari UK in GBP but I have this nagging thought that i should have opened the account in USD's.

Does it make a difference what currency the trading account is in?

Thanks

Ralph

Hi Ralph,

This is a personal preference.

A lot of people like to have their account in the same currency that they use on a day to day basis, as you don't have to worry about major fluctuations while others like to "speculate" depending on which currencies they feel will strengthen/weaken.

If you consider that the GBP/USD was around 2.0000 this time last year, a person would have been wise to fund an account in USD and take advantage of the strength in the dollar relative to the Pound.

Of course this is very easy to say with the benefit of hindsight ;) ;)

If you feel particularly strong that a currency will strengthen against your "home" currency then by all means choose that as your funding option.

But if you don't have an opinion either way, or you don't want to speculate, it is often simpler to just fund your account with the currency you use to buy your groceries and pay the bills ( this also prevents the banks from gouging you on exchange rates when you ultimately make a withdrawal ).

Best of success in your trading!

Gavin


Off-exchange foreign currency trading on margin carries a high level of risk and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. You should not invest money that you cannot afford to lose.

Offline Ralpharr2001

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Re: New Account $'s Or GBP??
« Reply #2 on: June 25, 2009, 05:11:12 PM »
Thanks Gavin,

Its good to know that i haven't made an error, i've got enough chances to do that when i start trading!  ;D

I've also opened an account, USD's, with FXCM UK for my manual trading. This is so i can manage/analyse my EA (FAPT; Megadroid) & manual trading,

Thanks

Ralph
"work it, don't guess it" & "failure is not an option" Gene Krantz - Flight Director Apollo 13

IC Markets & FXPro with Powerflow EA and manual trading.

 

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