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Does forex trading have compound interest?

Does forex trading have compound interest?

While you don’t earn traditional compound interest holding currencies, you can achieve compounding returns by reinvesting your trading profits. If an account grows and the trader accurately risks exactly 1-2% of the newly increased total balance per trade, the position sizing inherently compounds.
Answer
While you don’t earn traditional compound interest holding currencies, you can achieve compounding returns by reinvesting your trading profits. If an account grows and the trader accurately risks exactly 1-2% of the newly increased total balance per trade, the position sizing inherently compounds.

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