This may seem like a bunch of stupid questions, but I'm new to Forex Trading and trading in general and I'm trying to cement in mind if I am allowing enough funds to cover a position that I was thinking about. (I think position is the word I'm looking for?)
Here is what I have been thinking about;
-want to trade AUS/USD
- if I purchase $1,OOO,OOO usd at 200:1 leverage at .5% would 20k be enough money to hold my position if the USD dollar rises against me by 3 cents?
- how long can I hold my position if I did not want to put a stop/loss in there. Is this an indefinite thing, or at some point am I forced to sell off or lose it all?
- if I hold this position for lets say 6 months, do the brokers charge me any negative interest because the USD has lower interest rates than the AUS?
- are there any other charges that creep up on a daily basis whilst I'm hanging on hoping for things to move in my favour?
I think that is all that has been bugging me for quite some time now. Thanks for any help on this.