Frequently Asked Questions

Free swap accounts, also known as "Islamic" or "swap-free" accounts, are designed to cater to traders who have religious or ethical reasons for avoiding interest charges. 

On a free swap account, overnight positions do not accrue interest, making it suitable for traders who want to avoid the interest element in their trades. However, it's important to note that free swap accounts might have other differences or restrictions compared to standard trading accounts. 

Remember that while free swap accounts do not incur interest charges, they may have other fees or commissions, and the spreads offered on currency pairs may differ. Therefore, it's essential to thoroughly understand the account terms and how they may impact your trading strategy before opening a free swap account. 

Slippage occurs when an order is executed at a price that differs from the originally requested price. In other words, slippage occurs when there is a change in the bid/ask price between the moment a market order is placed and when it gets executed on the exchange. Slippage is the difference between the expected price of an order and the price at which the order is executed.

• When does slippage happen?

Slippage is most prevalent during periods of market volatility, where prices can fluctuate rapidly. Various factors, such as trading server delays and significant market developments, can contribute to slippage. It's important to note that slippage can occur when executing both market and pending orders across all types of trading accounts. 

• Is slippage a bad thing?

While it's advisable to minimize slippage for a smoother trading experience, it's worth noting that slippage isn't inherently detrimental since the price difference can work either in favor of or against the trader. The executed price of an order can be classified as positive slippage, negative slippage, or no slippage.

Positive slippage: occurs when the ask price is lower when buying or the bid price is higher when selling.

Negative slippage: on the other hand, happens when the ask price is higher when buying or the bid price is lower when selling. 

We offer a feature known as negative balance protection, which guarantees that even if a trade leads to a negative balance in a trading account, the amount owed is erased. The account balance is reset to zero.

To illustrate this, let's consider a scenario where a trader has a trading account balance of USD 50 and closes a trade that incurs an overnight loss of USD 100. In the absence of negative balance protection, the trader would need to deposit USD 50 to restore their balance to zero and reactivate their trading account. However, with negative balance protection in place, we reset the balance to zero without requiring the trader to cover the loss with their own funds.

The primary purpose of negative balance protection is to ensure that, regardless of the extent of trading losses, traders will never find themselves in debt; losses are confined solely to the balance in the trading account and no more.

At Tradingpro, we provide these features to foster sustainable, long-term relationships with traders. Our revenue is generated solely from the spreads on trades, and we do not benefit from our traders' losses. 

Trading Pro provides a range of spot CFD (contract for difference) commodities, enabling traders to engage in price speculation for trading instruments without possessing the underlying assets. It's worth noting that orders executed on these instruments do not come with an expiry date.

In summary, Trading Pro offers the following tradable instruments:

Cryptocurrencies:

• CFDs on cryptocurrencies like Bitcoin, Ethereum, and more are available for trading 24/7, except during scheduled breaks and server maintenance hours. These CFDs are traded against the US dollar.

Forex:

• In the foreign exchange category, trading instruments always involve pairing a base currency with a quote currency (e.g., USD/GBP). This encompasses major, minor, and exotic currency pairs.

Commodities:

• This instrument category covers metals and natural gases. Traders can access precious metals like silver and gold, which are tradable against the US dollar.

Equities:

• Trading Pro offers CFDs on stocks from international stock markets, including well-known companies like AAPL (Apple Inc.), AMZN (Amazon), and more.

Indices:

• Popular indices such as US30 and US500, among others, are available for trading activity on Trading Pro's platform.

What is Forex? Forex, short for foreign exchange, refers to the practice of swapping one currency for another, typically for various purposes, such as trading, business, or tourism. Since currency values are constantly in flux, the amount you can get in your local currency for 1 US dollar today may differ from yesterday or tomorrow. These fluctuations in exchange rates can result in either profits or losses.

Illustrating Currency Exchange with an Example: Imagine a scenario where an individual visits a currency exchange to convert USD 100,000 into euros. If the exchange rate (USD/EUR) at that moment is 0.84000, they will acquire EUR 84,000. However, if the exchange rate later falls to 0.80000, exchanging the euros back into US dollars would yield USD 105,000. This results in a profit of USD 5,000 for the person.

Forex traders analyze economic and political conditions to predict market trends, enabling them to buy or sell currencies for potential profit. In the above example, the individual foresaw a decline in the exchange rate, leading them to sell their dollars and buy them back later when the rate had dropped, thereby generating a profit.

This is the essence of forex trading.

Trading Pro and CFDs: At Trading Pro, we offer Contract for Difference (CFD) instruments, allowing clients to speculate on the price difference of various currencies and assets in the market. Through leverage, clients can engage in substantial trades without physically owning the underlying assets.

Understanding the Forex Market: The forex market is the global arena for foreign exchange transactions, conducted electronically over-the-counter (OTC) through computer networks, connecting traders worldwide, as opposed to a centralized exchange.

Key Features of the Forex Market:

• The forex market boasts a daily trading volume exceeding USD 5 trillion, surpassing other financial markets like commodities, futures, and stock exchanges.
• Forex trading operates 24/5, from Monday to Friday, allowing for the continuous buying and selling of currencies by market-maker banks, brokerage firms (such as Trading Pro), independent brokers, investors, and traders.
• Currency quotes are in constant motion, influenced by various factors like economic indicators, interest rates, bank activities, time of day, and traders' preferences and expectations.
• Client transactions are executed using user-friendly trading platforms, such as MetaTrader 4 or MetaTrader 5, enabling traders to access real-time quotes from market participants like banks and market makers.

About Trading Pro: Trading Pro is a versatile broker offering high-quality trading services to a global clientele. It provides a convenient platform for conducting these transactions and consistently offers competitive spreads, making it a preferred choice for forex traders.