There are many reasons why beginners might chooseOANDA。Since OANDA allows a minimum deposit of $1, the minimum lot size is 0.00001 lots, we can start trading with the rest of our monthly expenses。OANDA's negative balance policy is particularly attractive because it guarantees that traders will never owe broker debt。But is that really the case？

Here's what you need to know aboutSome important facts about OANDA's negative balance policyHere are three outlines that can expand your horizons:

1. Reading Rules

OANDA U.S. LEGAL PAPERS HIDDEN SOME TINY PAPERS。Its risk warning page is full of common cliches, such as "Forex trading carries a high degree of risk" and "Margin trading means that any market movement will have a corresponding impact on the funds you deposit."。You won't see any explanation of the negative balance policy unless you explore the tiny font in the footer。

在在Below the "All Rights Reserved" note, you will see this paragraph: "Leveraged Forex contracts or other OTC products carry high risks on a margin basis and may not be suitable for everyone.。We recommend that you carefully consider whether the transaction is suitable for your personal situation。You may lose more than your investment (except for OANDA Europe Ltd retail customers who have negative balance protection)。"

This means that if your losses are higher than your capital, you may oweOANDA DEBT。Unless you are specifically registered through OANDA Europe Limited and not another entity under the OANDA brand。

2. OANDAThe margin rule may prevent negative balances.

After knowing the fine print, do you feel cheated？Don't worry.。The margin recovery policy enforced by OANDA is one of the most stringent in the industry.。As a result, it is difficult for any trader to suffer a negative balance, except for exceptions like the Black Thursday of the Swiss National Bank (SNB) in 2015.。

What is a recovery deposit.？This is a notification from a broker that is sent when your account fails to meet margin requirements。OANDA's U.S. entities set margin rates and maximum leverage as required by the National Futures Association (NFA)。That rule may change over time, but it's still tougher than margin requirements required by any non-U.S. regulator.。

In addition,OANDA's margin recovery policy is also quite strong.。As stated on its website, OANDA will send a margin call mail to all margin-deficient accounts every day at 3: 45 p.m. Eastern Time.。When an account is short of margin for 2 consecutive trading days, all open positions will be automatically closed at the current fxTrade exchange rate.。If, at this point in time, certain open positions are not available, they will be automatically closed at the current fxTrade exchange rate when the market for these instruments reopens.。

OANDA will observe compliance with margin requirements daily at 3: 45pm Eastern。If you manage to meet the margin requirement during the day but fall below the threshold at 3: 45 pm, then your account will be considered margin deficient。Taking all these factors into account, traders at OANDA are more likely to suffer from margin calls and forced selling than negative balances.。You may not need to care about Oanda's negative balance policy。

3. Inactive expenses do not result in a negative balance

OANDA charges an inactivity fee for accounts with no trading activity for a period of 12 months.。It will be applied on the penultimate business day of each month until the account is closed, you resume trading on the account, or the account balance is zero。

因此 ，OANDA'S INACTIVE CHARGES DO NOT LEAD TO A NEGATIVE BALANCE。You can even request a refund of up to 3 months of inactive fees when you start trading again。Otherwise, when you lose enthusiasm for trading or plan to move your trading plan elsewhere, you can withdraw all available funds。

Okay, so these are the registrationsSome Important Facts You Need to Know Before Oanda。Are you still interested in joining this world famous forex broker？Or you will first compare their policies with those of other top forex brokers？There are many things to consider before committing to any forex broker。In addition to the negative balance policy, there are issues with customer support and transaction fees。Find out more about OANDA and make sure you have confidence in your choice。

For traders looking for a broker with precise precision,Oanda is available as an option。This is because OANDA is a broker that offers 5-digit precision quotes and price action follows market developments.。Order execution is also faster at this broker。

This is beneficial for novice traders because they can trade in smaller volumes using a calculation system based on the value of the currency, rather than adopting a lot system like other brokers。

OANDA in 1996 by Dr..Michael Stumm and his colleague, Dr., The Olsen Ltd.Richard Olsen created。They have headquarters in San Francisco, USA。

OANDA has branches all over the world。Some of these offices are located in the UK, Singapore, Japan and Canada。With the number of these segments, OANDA attracts the attention of customers worldwide。

OANDA is registered in several well-known financial trading jurisdictions.。They are regulated in the US by the CFTC and NFA, in the UK by the FCA, in Australia by ASIC, etc.。Traders no longer need to worry about the security of trading at OANDA。However, these advantages make OANDA's trading rules more stringent than other brokers。

For example,OANDA only allows a maximum leverage of 1: 20, as US and Japanese rules do not allow leverage above this ratio.。In addition, the registration procedure is more complicated, due to various additional requirements, other foreign exchange brokers did not submit。In addition, hedging is not allowed in a trading account and the client must open an additional account to hedge。

Nevertheless,Oanda is known as a leading broker and offers many advantages。OANDA is exposed to greater market risk during periods of increased price volatility, such as economic and political news announcements。When market spreads increase or decrease, their pricing engine expands or narrows spreads accordingly。In this way, traders can get an up-to-date picture of market price movements more quickly。

Market prices move very fast。Especially when news releases have a big impact on market volatility。This situation is often exploited by brokers to extract re-quotes from customers。However, the trader is in contact with theNo need to worry about extra fees when trading OANDA。

The company never reverses re-quotes, so traders can make the most profit。When traders are unable to monitor open positions, they can set up take profit orders to lock in profits and stop orders to help prevent further losses。

As an experienced and well-known online forex broker,OANDA is committed to maintaining an efficient trading environment, reducing latency, and providing tools and resources to help traders successfully trade forex.。In addition, they offer online education and research resources to help traders better understand market dynamics.。