Trading platforms are software for accessing the financial markets, which allow you to open your account and manage the securities portfolio. An Example can be Software like Bitcoin Profit.
Some trading platforms are:
- Markets: in the online trading sector, it is considered one of the pillars. It has been operating in the market for many years and offers a diversified offer effectively. Among its most appreciated features, the simplicity of use, a free part that contains the advice of the most important analysts worldwide. It includes a wide variety of assets such as (by way of example but not limited to) commodities, ETFs, indices, cryptocurrencies, and blends.
- Iqoption: this platform has also been operating in the financial market for many years; previously, it was one of the reference points regarding binary operations. To date, one of the elements that distinguish it is a very wide range of cryptocurrencies.
Another factor that makes it highly appreciated among traders all over the world is its functional, pleasant, and user-friendly interface.
On the internet, there are several advertisements, which refer to the world of online trading. Some of them are deceptive; if you look at them with detachment, it is easy to recognize them, since they all have a common denominator: they promise stratospheric gains, without the use of any study or theoretical preparation. Clean faces almost always appear both men and women, who claim to have earned $ 4000 in a fifteen-minute operation, starting at $ 100. Or, to have invested $ 10, and to have earned $ 1,500 in minutes.
Stress and psychology in trading
One of the most important factors in online trading is the psychological one. Those who think that it is a negligible or secondary element fall into error.
Trading operations presuppose an in-depth knowledge of the market in which it operates and of the rules underlying the online sale of financial securities. But these concepts are empty, if not associated with a solid ability to maintain transparency, quick reflexes, intuition, and endurance of stress. We have to deal with often unpredictable markets, which do not always move in the direction we expect. Therefore, an open and concentrated attitude is fundamental when deciding to approach this reality.
Leverage in trading
The fundamental concept, which every trader must learn when approaching the world of online trading, is that of leverage. Operating in the markets without having fully understood their meaning can prove to be very dangerous and can make the online trading operation assimilated to that of gambling. Therefore, the smartest thing an aspiring trader can do is to understand the concepts of leverage and margin well.
The leverage was defined by some "generous friend or dangerous trap." In a sense, it's true. It is a very powerful tool, with which you invest funds that can even be much higher than your financial resources.
They are the brokers that allow you to move huge financial resources. For example, using a leverage of 1: 100, you have the opportunity to invest a capital of 100,000 euros using only 1000 euros of available funds. Therefore, in this case, the broker that provides leverage of these proportions will put on the market 100 euro asking for only 1.
The margin call in trading
This concept is also of fundamental importance, and it is necessary to study it adequately. What is the margin call? By making a purely literal translation, the meaning would be margin call. It is an active feature in different online trading platforms; provides for the automatic closing of one or more positions in the event of a loss, such as not to allow hedging through the funds available in the account. It is an alert, an alert that is sent to the operator directly from the platform. In all those circumstances in which the exposure is such that there is a tangible risk of not being able to cover the investment. This prevents the trading account from going red. The margin call is the request for margin integration.
Conclusion on online trading
We have seen how online trading can help you in your online investments and how it is a financial speculation tool that allows everyone to access financial markets through an internet connection and a computer. You cannot earn online without investing, and you cannot earn online seriously without investing.