What Market Risks Should Forex Traders Be Aware Of?
Forex market risks refer to the potential losses an investor may experience in a forex trading market due to sudden changes in currency exchange rates. These risks can arise from political, economic or market events that directly or indirectly affect the value of one currency relative to another. Risk management is an important part of any successful venture in the forex markets, as substantial losses can be incurred due to unexpected changes in the market that can render trading strategies ineffective.