What is the Account Balance?
It is the initial deposit plus or minus any realized profit or loss from trading.
What is leverage?
The ratio between the notional amount of the contract bought or sold and the margin necessary to open a position. For example, to open a standard lot of EURUSD (EUR100,000) with leverage 50, it is necessary to have EUR2,000 as margin.
Does ALB offer guarantee stop losses?
Stop losses once triggered become market orders. In calm markets, it is very likely that execution will be at the stop loss price. In case of gaps or volatile sessions, the Stop loss will be the next available Bid price in case a trader needs to sell, or the next offer price in case the trader needs to buy.
What is a margin stop out?
A position is closed automatically when Equity reaches a certain percentage of the margin. For example, with a 20% Stop out, a position will be closed automatically when equity value is 20% of the margin placed to open a position.
Does ALB allow hedging?
Yes, when a position is hedged 100% there will be zero margin. Remember however that swap costs will gradually reduce the equity value.
What is the relation between Margin and Leverage?
Margin = 1/Leverage. For example, with 50 Leverage margin is 2%
What is the Account Equity?
This is the Account Balance plus or minus any unrealized profit or loss from trading.
Can I use Expert Advisors with MT4/MT5?
Yes, but EAs are third party applications not offered by ALB. ALB does not bear any responsibility regarding potential damages and/or trade disruption caused by Expert Advisors.
Do you restrict scalping?
No, all trading methods (scalping, hedging, etc.) are allowed. The term “scalping” means instant trading. An intermediary institution does not have the right to intervene with any trading methods.
Why is there swap credit or debit in FX trading?
Spot transactions are usually traded for delivery 2 days after the execution. In online FX trading, there is not delivery of the physical currency but open trades will rollover with a credit or debit on your Account Equity depending on the currency pair traded.
What is an order?
An order is an investor's instructions to a broker or brokerage firm to purchase or sell a forex pair, precious metal or CFD contract.
What is Take profit?
A take profit order is placed on a pending order or on an open position. It is an instruction to close a position at a better condition than the current price.
Is it possible to open/close/modify trades over the phone?
Trading support will be ready to assist in case of emergency only to close positions.
What is stop loss?
An order placed with a broker to sell an open position when the price reaches a certain level. A stop-loss order is designed to limit an investor’s loss on a position in a security.
What is the margin?
Part of equity necessary to open a position.