Relative Valuation

[Luke Hansen]

A foreign currency exchange trader must determine the associated risk exposure along with the potential of earning money before he can make his mind of choosing trades. Sometimes, to the honest some trades look appealing but when we try to overview the risk return ration we can then see the actual picture of the trades. Thereby, it is wise to go for relative valuation rather than being focused on only single aspect like return or risk of a trade.

 

[lal.remigiusz]

Please give me more sample of your statement about risk exposure in forex..