How do BoxOptions differ from currency trading?
In theory, it is possible to enter into a position of the underlying currency pair and achieve a similar payout. However, there are some distinct differences: • With BoxOptions, the maximum loss is the price of the box, whereas when trading with the underlying currency pair, the maximum loss can be much greater and would normally need to be constrained with stop-loss orders. • With BoxOptions, you can adopt a long-term position without the need for any stop-loss orders. In the case of a trend in the wrong direction followed by a trend reversal in the right direction, a position in the underlying may bail out early if the stop-loss threshold is reached. • BoxOptions provide higher potential investment leverage: a box costing $1 can quite typically correspond to a position in the underlying of about $1,000. Trading the underlying would therefore require significantly more capital for the same return.
