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#286 - Pros & Cons Of Forex Trading For The Average Investor: Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we’re going to be talking about the pros and cons, generally of Forex trading for the average investor. We did a little bit of a series a couple of...

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Hey everyone. This is Kirk here again from Option Alpha and welcome back to the daily call. Today, we’re going to be talking about the pros and cons, generally of Forex trading for the average investor. We did a little bit of a series a couple of weeks ago on Forex trading and I wanted to circle back and just go over some of the pros and cons, I guess for the average person who’s maybe considering it or thought about Forex trading. Look. Forex trading in general, I think is very attractive to a lot of people because of the liquidity, because of the 24/7 markets that you can trade Forex in. I think it draws a lot of people in because of the appeal and the size and just this connotation that Forex trading is awesome. But I think it carries a lot more risk than people are really ready for. And so, I think for the average investor, it's not something necessarily that they have to do or that they need to do to be successful. I think Forex markets serve a very definitive purpose as we talked about in other shows in allowing companies and nations to basically hedge and trade risk and I think that that's what the purpose is. I don't think it's meant necessarily for the average regular kind of retail trader like me and you. Now, if you wanted to trade Forex pairs or currencies, you can easily do it with ETFs and that's the way I'd suggest doing it. Use an ETF product and then trade options around that. That's a much better way to control risk and manage positions as opposed to just getting into some of these Forex pairs and taking on a bunch of risk that's associated with it. The Forex market can move very fast. I don't think people understand how fast and how violently things can happen even when they're sleeping, so that's definitely a risk that I think many people don't associate with trading until they get into it. Hopefully this helps out. As always, if you guys have questions, let us know. Until next time, happy trading.

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