How small an exchange rate swing can you make money on?

[NickFitz]

The good thing is that, when the stop-loss calls kick in, they can take everything you have and you're left with nothing other than the clothes you stand up in.

Or is that the bad thing?

Either way, it's probably safe to assume that if you have to ask, you shouldn't do it - just like joining a cult, you'll end up signing over everything you own for a purse of pixie-dust that you must never open. Although you won't get the purse of pixie-dust.

[SantaClaus]

that's not necessarily the price you will pay + fees. The concept is right though, buy on the low point of the spread and sell high and monitor for break outs from the spread which you should cover via a stop loss.

Open a trading account and give it a go ...

Without experience, you may aswell ask Cartman to push the buttons.

Oh, the answer to the original poster's question is: dealer's spread + 1 pip is the smallest swing you can make money on.
How you leverage that depends on how sensible/stupid you are.

[HairyArsedBloke]

Rumour has it that the krauts are going to quit the euro on Friday and reintroduce the Mark.

[DiscoStu]

[AtW]

Dirty Spekulants - the lot

[meridian]

The concept of buying and selling is not the question here.

To directly answer the question - yes, 200 pip swings with £10k at 100x leverage is more than enough to make money on.

FXCM's cable spread is 3 pips, so anything more than that can technically make "anything".

[d000hg]

The concept is right though, buy on the low point of the spread and sell high and monitor for break outs from the spread which you should cover via a stop loss.

The concept of buying and selling is not the question here.

[HairyArsedBloke]

Open a trading account and give it a go ...

[Jeebo72]

The £/$ rate is fluctuating from 1.48-1.50 quite a lot. If you had a reasonable amount, say £10k, is that enough of a swing to make anything?

that's not necessarily the price you will pay + fees. The concept is right though, buy on the low point of the spread and sell high and monitor for break outs from the spread which you should cover via a stop loss.

Open a trading account and give it a go ...

[d000hg]

The £/$ rate is fluctuating from 1.48-1.50 quite a lot. If you had a reasonable amount, say £10k, is that enough of a swing to make anything?