Tip - Manage your Risk Volatility in the forex markets can open up numerous opportunities

Volatility in the forex markets can open up numerous opportunities to speculate and profit from small price movements.

However, there are a number of risks involved with trading forex.

Consider the EUR/USD example above – had you been wrong and the euro moved against your trade, you could have incurred significant losses.

Furthermore, as a margined product you do not own the underlying market.

This could mean losing more than your initial deposit in the event currency prices moves against your trade.

In order to limit losses, a range of risk management tools – including Stop Loss Orders – are available through the City Index forex...