Why You Shouldn't Put All Your Eggs in One Basket
Trading three different pairs that all involve the US Dollar isn't safe. Learn how our software mathematically protects your account from crashing.
Imagine you have $100. To be safe, you decide to invest in three totally different companies. But later, you realize all three companies are actually owned by the exact same parent company! If that parent company goes bankrupt, you lose all $100.
This happens in trading all the time. People buy EURUSD, EURJPY, and EURAUD, thinking they are being safe by taking three different trades. But since all three rely on the Euro, if the Euro suddenly crashes, all three trades will lose money at the exact same time. This is called "Correlation".
To stop this from happening, the Rainebank AI uses a mathematical formula to compare how similarly two currency pairs move. If it notices that two pairs are moving like identical twins (a correlation score over 80%), it will block you from taking the second trade...
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