How long can you hold a stock exchange position?

Some traders position themselves with investors and don't want to profit from short-term movements, sitting in front of a computer all day.

They want to make a single successful trade and hold the position for several months, waiting for the price to reach its maximum.

It would seem that strategy and the current trend play the most important role here, and the position itself will exist until the trader closes it or until a stop order is triggered.

But unfortunately, this isn't always the case, or rather, not everywhere.

The lifespan of positions on currency pairs,

as most brokers assure us, is practically unlimited; at least, that's the answer we received from almost all brokerage firms .

This means that if you open a deal on a currency pair on Forex, you could wait several years until the rate meets your expectations.

Taking into account leverage amounts, which, under unfavorable circumstances, could wipe out your deposit. Therefore, when planning, try to calculate the transaction size so that your deposit can withstand any exchange rate fluctuations.

Stock exchange – shares of enterprises.

The situation is similar to that on Forex, meaning that a trade can be held for any amount of time.

Moreover, when purchasing a block of shares, in addition to the exchange rate profit, you can also receive income in the form of dividends.


Futures.

This type of contract has a fixed expiration date, so you might be in for an unpleasant surprise if you expected copper prices to rise in six months and placed a futures contract, only to have the contract forcibly closed a month later.

Therefore, when working with futures, always check the contract expiration dates; only then will you be protected from unexpected consequences.

Options.

These are also contracts with a fixed expiration date, but unlike futures, you set the contract expiration date yourself.

Currently, options are available with durations ranging from 30 seconds to one day. When opening a trade, you must select a duration within this range. This means the maximum expiration date for options is one day. Read more about options here: http://time-forex.com/sovet/luchshie-options

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